NPC to invest $4.2 B for new petchem projects to enhance self-sufficiency

The head of Iran's National Petrochemical Company announced a $4.2 B investment in domestic projects to enhance self-sufficiency and complete the petrochemical industry's value chain, said Hydrocarbonprocessing.

The projects, including the production of propylene, methanol, ethylene, aromatics, and butylene, have an annual nominal capacity of 3.8 MMt and a production value of $4.4 billion.

The petrochemical industry is vital to Iran's non-oil economy, representing the second-largest source of revenue after crude oil. NPC aims to increase its annual petrochemical production capacity to 200 million tons in the next decade.

Iranian Oil Minister Javad Oji revealed plans for over 100 petrochemical projects with a total investment of about $70 billion, and the goal of achieving self-sufficiency in producing petrochemical catalysts by August 2025.

We remind, Russia has lifted restrictions on gasoline exports, the energy ministry said on Friday, after scrapping most restrictions on exports of diesel last month, saying there was a surplus of supply while wholesale prices had declined. It said it could reimpose export bans if necessary, adding that stocks of gasoline had risen to around 2 million metric tons.

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XRG Technologies, a leader in fired equipment engineering and design, and BayoTech, a leader in hydrogen production, transportation, and storage solutions, announced a new partnership to design and build a proprietary high performance reforming furnace, said Hydrocarbonprocessing.

In this next generation reformer design, XRG will utilize their combustion expertise and CFD modeling capabilities to tailor heat flux profiles to BayoTech’s proprietary reactor design, enabling more hydrogen production with the same energy input.

BayoTech is accelerating the hydrogen revolution through greater accessibility, starting with its first production plant in Missouri. This next generation reformer furnace will be incorporated into future facilities as BayoTech establishes a network of localized hydrogen production hubs in the US. Producing on a small scale with proprietary technology, BayoTech’s goal is to make reliable, cost-effective, low-carbon hydrogen accessible.

XRG Technologies is focused on combining diverse expertise with advanced simulation tools to develop innovative combustion and heat transfer solutions, enabling the industry to achieve energy efficiency and environmental stewardship goals.

Tom Korb, XRG’s VP of Technology and Commercial Development, elaborated: “XRG is pleased to partner with BayoTech in our shared vision of making the hydrogen economy a reality. This partnership is especially productive because both companies operate with an innovation and first-mover mindset. Through close collaboration, XRG and BayoTech will co-develop the next generation reformer which will improve BayoTech’s hydrogen generation system performance and accelerate the introduction of hydrogen to the transportation system and beyond.”

We remind, Russia has lifted restrictions on gasoline exports, the energy ministry said on Friday, after scrapping most restrictions on exports of diesel last month, saying there was a surplus of supply while wholesale prices had declined. It said it could reimpose export bans if necessary, adding that stocks of gasoline had risen to around 2 million metric tons.


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Three oil tankers, newly sanctioned by Washington, regularly shipped Sokol crude from Russia's Far East to Indian Oil Corp, the country's top refiner, in recent months, according to shiptracking data from LSEG, Kpler and trade sources, said Hydrocarbonprocessing.

The U.S. on Thursday imposed sanctions on maritime companies and vessels for shipping Russian oil sold above the Group of Seven's price cap, as Washington seeks to close loopholes in the mechanism designed to punish Moscow for its war in Ukraine.

The Liberian-flagged ships hit with sanctions are the Kazan, Ligovsky Prospect and NS Century, according to the Treasury Department. All three Aframax-sized tankers discharged Russian Sokol crude in India in September while two of them made the trip in October, the data showed.

In the short-term, sanctions may reduce the number of ships carrying Russian oil and prompt India to seek supplies elsewhere, but they are unlikely to stop the trade altogether due to its lucrative nature, several traders who declined to be named, said.

As long as there are willing buyers, sellers and shippers will always find a way to make the oil flow, one trader said. One trader also said India may seek supply from the Mediterranean and North Sea to replace Russian Sokol.

NS Century is currently on its way to discharge Sokol crude at Vadinar port in Gujarat for Indian Oil Corp (IOC) on Nov. 25, LSEG and Kpler data showed. IOC buys Sokol under an annual contract with Russian oil major Rosneft. A spike in global prices led to Russian oil being sold at above the price caps imposed by western nations of $60 a barrel.

The three vessels last year obtained safety certification from the Indian Register of Shipping (IRClass), according to its website. Ligovsky Prospect and Kazan, managed by Oil Tanker (SCF) Management-FZCO, were certified on Sept. 14, and May 7 last year, according to IRClass website. NS Century, managed by Dubai-based Sun Ship management (D) Ltd was certified on Sept. 15, 2022.

Societies such as London-headquartered Lloyd's Register, the American Bureau of Shipping and IRClass provide services, such as seaworthiness checks and certification, which are vital for securing insurance and entry to ports.

IOC and IRClass did not immediately respond to requests for comment. Sokol crude is produced at the Sakhalin-1 project, managed by a Rosneft subsidiary after the exit of ExxonMobil.

Prior to sanctions and restructuring of the project's ownership, India's ONGC Videsh, the overseas investment arm of state-run Oil and Natural Gas Corp, and Sakhalin Oil and Gas Development Co (SODECO), a consortium of Japanese firms had a stake in the project.

We remind, Russia has lifted restrictions on gasoline exports, the energy ministry said on Friday, after scrapping most restrictions on exports of diesel last month, saying there was a surplus of supply while wholesale prices had declined. It said it could reimpose export bans if necessary, adding that stocks of gasoline had risen to around 2 million metric tons.

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Russia has lifted restrictions on gasoline exports, the energy ministry said on Friday, after scrapping most restrictions on exports of diesel last month, saying there was a surplus of supply while wholesale prices had declined, said Reuters.

It said it could reimpose export bans if necessary, adding that stocks of gasoline had risen to around 2 million metric tons. "Over the past two months, while maintaining high volumes of oil refining ... , saturation of the domestic market has been ensured and a surplus in the supply of motor gasoline has been created, including in the exchange sales channel," the ministry said on Friday.

"A decision was made to terminate the temporary ban on the export of motor gasoline." Russia, the world's top seaborne exporter of diesel, introduced a ban on fuel exports on Sept. 21 in order to tackle high domestic prices and shortages. Only four ex-Soviet states - Belarus, Kazakhstan, Armenia and Kyrgyzstan - were exempt.

The government eased restrictions on Oct. 6, allowing the export of diesel by pipeline, but kept measures on gasoline exports in place. Overseas supplies of diesel and other fuels by truck and railway also remained prohibited at the time.

The scrapping of the ban might complicate Russia's efforts to reduce its oil and petroleum product exports by 300,000 barrels per day until the end of the year, compared with the average level seen in May and June. Russia has, however, confirmed that it will continue its additional voluntary supply cut until the end of December, as previously announced in coordination with the OPEC+ group of exporters.

Diesel is Russia's biggest oil product export, at about 35 million metric tons last year. Almost three-quarters of that was transported via pipeline. Russia also exported 4.8 million tons of gasoline in 2022. Industry sources had told Reuters that the government was poised to scrap the remaining restrictions in mid-November.

Officials had said the ban would be lifted once the domestic market stabilized. Analysts had expected the restrictions to be scrapped after completion of the grain harvest.

We remind, Russian fuel producers have been told by the government to prepare for the scrapping of all remaining restrictions on the export of diesel and gasoline. Russia, the world's top seaborne exporter of diesel, introduced a ban on fuel exports on Sept. 21 to tackle high domestic prices and shortages.

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Venezuela is close to approving a license for Shell and the National Gas Company of Trinidad and Tobago to develop a promising offshore natural gas field and export its production to the Caribbean country, said Hydrocarbonprocessing.

The license could set in motion a long-running effort by Trinidad to boost its gas processing and petrochemical exports, while providing Venezuela with a much-needed extra source of cash. The two countries aim to speed cross-border energy development since the U.S. in January issued a two-year authorization allowing the field's development.

Venezuela, which holds Latin America's biggest gas reserves, and neighboring Trinidad, the region's largest LNG exporter, would complement each other's needs to produce and export gas. Both nations are discussing a 25-yr exploration and production license for the Dragon field, which holds up to 4.2 Tcf of gas and lies in Venezuelan waters near the maritime border between the two countries.

Some terms are still to be settled, but if all goes well a deal could be signed in coming days, the people said. Shell would operate the project with a 70% stake and Trinidad's NGC would hold the remaining 30% under proposed terms, the people said.

Venezuela's state-run oil firm PDVSA, which discovered Dragon's reserves and paid for existing infrastructure, would not have a stake in the project, but Venezuela would receive cash or a portion of gas production as royalties. In 2013, PDVSA finished testing gas output at Dragon, but the field has never been commercially active due to the company's lack of capital and, more recently, U.S sanctions.

The U.S. last month temporarily eased sanctions on Venezuela and amended the authorization for Dragon, allowing Caracas to receive proceeds from gas sales. Since then, negotiations have moved faster, a third person said. Trinidad's Energy Minister Stuart Young in early October said the parties had begun price negotiations for Dragon's gas.

Shell declined immediate comment. NGC referred questions on the talks to Trinidad's energy ministry. The ministry, PDVSA, and Venezuela's oil ministry did not reply to requests for comment.

We remind, Russia has lifted restrictions on gasoline exports, the energy ministry said on Friday, after scrapping most restrictions on exports of diesel last month, saying there was a surplus of supply while wholesale prices had declined. It said it could reimpose export bans if necessary, adding that stocks of gasoline had risen to around 2 million metric tons.

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