Dow focuses on shale gas perspectives in Poland

MOSCOW (MRC) -- Dow Chemical is interested in shale gas exploration in Poland along with its perspectives and, therefore, is analyzing the chemical industry in Poland at present, reported the company on its site.

As a major chemical manufacturer, Dow is both a potential consumer and contributor to the production of shale gas and its associated products, notably natural gas liquids. Many of Dow's businesses are already developing chemical and technology solutions for shale gas exploration and development, such as advanced microbial control technologies, which help to protect water supplies.

"Dow has been present in Poland for four decades. We have witnessed, supported and participated in this country’s development and growth," said Christoph Sikora, Dow general manager in Central Europe. "Poland is in the forefront of European nations seeking to commercialize the extraction of shale gas and this is another milestone for the country and many industries. The size of Poland’s economy and its position in the region can produce numerous benefits from a well managed and responsible commercial shale gas program," Sikora concluded.

The Dow Chemical Company is an American multinational chemical corporation headquartered in Midland, Michigan, United States. Dow is a large producer of plastics, including polystyrene (PS), polyurethane, polyethylene (PE), polypropylene (PP), and synthetic rubber. In 2012, Dow had annual sales of approximately USD57 billion. The company's more than 5,000 products are manufactured at 188 sites in 36 countries across the globe. Dow has been present in Poland for 40 years, offering a variety of performance and base plastics and chemicals for a wide range of downstream industries including automotive, oil and gas, packaging, building and construction, furniture, wire and cable, large appliances, water treatment and agricultural products.
MRC

MOSCOW (MRC) -- BASF has signed a contract to sell its subsidiary Industrial Water Management France SAS based in Lyon, France to Degremont, the world water treatment specialist for local authorities and industrial customers, according to the company's statement.

Degremont, a subsidiary of SUEZ ENVIRONNEMENT, will continue operations at the production sites in Lyon and La Courneuve, France. Closing of the transaction is expected to take place during the third quarter 2013.

BASF provides a comprehensive range of water treatment chemicals and filtration technology for the industrial and municipal waste water treatment sector. In future, BASF’s water solutions business will fully concentrate on these innovative offerings for the water industry. To this end, BASF previously announced the plan to divest its service-oriented industrial water management business to a strategic partner to further expand the business.

We remind that, as MRC wrote previously, in late April 2013, Jacobs Engineering Group received a frame agreement from BASF to provide engineering services at BASF’s integrated chemicals complex in Antwerp, Belgium. The Antwerp site is BASF’s second-largest Verbund site; it comprises more than 50 installations located on over two square miles.

BASF is the largest diversified chemical company in the world and is headquartered in Ludwigshafen, Germany. BASF produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries.
MRC

MOSCOW (MRC) -- Indonesia's state oil and gas company PT Pertamina is evaluating the acquisition of an oil-and-gas asset in Oman, as the state-owned energy firm seeks to boost production at home and overseas, reported The Wall Street Journal with reference to Chief Executive Karen Agustiawan.

Mrs. Agustiawan declined to provide further details on the possible purchase. She said that Pertamina is actively pursuing overseas acquisitions to help secure future energy supply, as the country struggles to boost crude oil production amid a rapid rise in consumption.

As MRC informed previously, in late 2012, the company announced its plans to allocate USD3.1 billion for upstream investments in 2013, equal to 46% of its total investments.

The company earlier this week raised USD3.25 billion through a bond sale and said at the time that part of the proceeds will be used to finance offshore asset buys.

Pertamina's previous attempts at buying oil-and-gas assets abroad, however, weren't successful.

The government earlier this year vetoed Pertamina's plan to buy Harvest Natural Resources Inc.'s 32% interest in Venezuela's Petrodelta S.A., saying that Harvest demanded Pertamina pay twice the USD720 million agreed originally.

Pertamina has also dropped a plan to develop oil projects in Ecuador, citing a difficult environment there.

In Indonesia, Mrs. Agustiawan said that the company is seeking partners to jointly develop nine geothermal projects. She didn't elaborate.

We remind that PT Pertamina anticipates to boost sales of its petroleum-derived chemical products in 2013 after establishing a new joint venture focusing on the petrochemical business in the first half of this year. Pertamina would start focusing on marketing activities both in the domestic and regional markets following the formation of the joint venture, which will construct a USD5 bln petrochemical facility.

Pertamina is an Indonesian state-owned oil and natural gas corporation based in Jakarta. It was created in August 1968 by the merger of Pertamin (established 1961) and Permina (established 1957). Pertamina is the world's largest producer and exporter of Liquefied Natural Gas (LNG).
MRC

MOSCOW (MRC) -- South Korea's Hanwha Chemical is likely to undertake a maintenance turnaround at its No.1 vinyl chloride monomer (VCM) line, reported Apic-online.

A Polymerupdate source in South Korea informed that the line is likely to be taken off-stream in early July 2013. The duration of this line's closure could not be ascertained.

Located in Yeosu, South Korea, the line has a production capacity of 190,000 tonnes per year.

We remind that, as MRC informed earlier, in September, 2012, Hanwha Chemical held a trial launch of a new ethylene-vinyl-acetate (EVA) and low-density polyethylene (LDPE) plant in Ulsan with a nominal capacity of 40,000 tpy. The on-spec production from the new plant was expected to be achieved in late October last year. The start-up of this facilityl allowed the company to increase its total EVA/LDPE output to 120,000 tpy. It is planned that the company will produce 100,000 tpy only of EVA at the new unit.
MRC

MOSCOW (MRC) -- Indonesian state-run oil company Pertamina could seek a farm-in partner at the country’s first shale gas block which it has just been awarded, said Upstreamonline.

On Thursday the company signed a production sharing contract for the Sumbagut Block in North Sumatra, also committing to investing USD7.8 billion during the 30-year contract period to develop the block.

"There is a possibility that [seeking a farm-in partner] will happen in future, but it hasn't happened yet. We are just studying there now," Reuters quoted a corporate secretary for upstream subsidiary, PertaminaHulu Energi, as saying.

Pertamina may enlist the help of Talisman Energy at the block, although it was not suggested that this would be as a farm-in partner.

The state player has sent representatives to Calgary to work alongside the Canadian independent.

Pertamina estimates the Sumbagut Block could hold shale gas potential of 18.56 trillion cubic feet and is targeting initial production from the block by 2020, with output expected to range between 40 million and 100 million cubic feet of gas per day.

"We hope that the signing of the PSC for the non-conventional oil and gas block will provide good momentum for the future development of alternative energy resources," Pertamina chief executive Karen Agustiawan said on signing of the PSC.

"Shale gas will diversify our energy sources and curb our dependence on crude oil."

As MRC wrote earlier, Indonesia’s Pertamina has chosen Thailand’s PTT Global Chemical as a partner in the development of a USD5 billion petrochemical facility in Indonesia. The partnership with PTT will center on the construction of a petrochemical plant with an annual production capacity of 250,000 tons of ethylene and 350,000 tons of polypropylene — materials key for producing plastic.

Pertamina is an Indonesian state-owned oil and natural gas corporation based in Jakarta. It was created in August 1968 by the merger of Pertamin (established 1961) and Permina (established 1957). Pertamina is the world's largest producer and exporter of Liquefied Natural Gas (LNG).
MRC