MEGlobal announces ACP for March 2024

MEGlobal announced that its Asian Contract Price (ACP) for monoethylene glycol (MEG) will be US$850/MT CFR Asian main ports for arrival March 2024, said the company.

The March 2024 ACP reflects the short-term supply/demand situation in the Asian market.

We remind, MEGlobal has nominated its February 2024 monoethylene glycol (MEG) Asian Contract Price (ACP) at $850/tonne, USD10/tonne higher than its January ACP, said the company. The price is on a CFR (cost & freight) Asia basis.
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Eni’s chemical business reported an adjusted operating loss of €237m in the fourth quarter of last year on lower demand across all business segments, the Italian producer said.

The poor demand was driven by poor macroeconomic conditions and higher production costs, "which reduced the competitiveness of Versalis productions with respect to US and Asian players in an oversupplied market," the company said in a statement.

Sales of chemical products fell 3% year on year to 800,000 tonnes in the fourth quarter of last year.

The average plant utilization rate for the chemicals business stood at 48% in the fourth quarter, up from the 44% in the same period of 2022.

Eni's group net group profit fell by 76% year on year to €149m in the fourth quarter. For the full year, group net profit fell by 66% year on year to €4.75bn.

We remind, Eni, the renowned oil giant based in Italy, has officially announced its strategic initiative to convert the longstanding Livorno refinery into a bio-refinery, marking a pivotal shift in its operational focus towards sustainable energy solutions.

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Eneos, a prominent player in the Japanese petrochemical industry and a significant entity within Eneos Holding, is gearing up for a planned maintenance shutdown of butadiene production at the Kawasaki Line in March, said Chemanalyst.

This particular production facility, equipped with a substantial capacity of 105 thousand tons of butadiene, is slated for a temporary cessation until May to facilitate essential maintenance and extensive repairs.

Previous reports shed light on Eneos, formerly identified as JXTG Nippon Oil & Energy, and its affiliation with Eneos Holding. The company resumed butadiene production in Yokkaichi, Japan, on November 7, 2023, after facing an unexpected interruption in October due to an unscheduled repair. The affected production line, capable of yielding 105 thousand tons of butadiene, experienced downtime owing to a breakdown at the on-site cracking unit.

Operations resumed only after the successful restoration of the cracker. During this period, the butadiene production line at the same facility, boasting a capacity of 60,000 tonnes per year, continued its routine operations.

Eneos Holding, previously recognized as JXTG, holds the distinction of being Japan's largest oil company, engaging in a spectrum of activities encompassing the exploration, import, and refining of crude oil. The company plays a significant role in the production and distribution of diverse petroleum products, including butadiene, ethylene, propylene, styrene, paraxylene, orthoxylene, as well as fuels and lubricants. Eneos Holding has been expanding its production capacity globally in recent years, establishing its presence in various countries. The products manufactured by the company bear the distinctive ENEOS brand.

The corporate trajectory of Eneos Holding involves the merger of two Japanese entities, JX Holding and Tonen General, culminating in the formation of JXTG in April 2017. Subsequently, on June 25, 2020, JXTG underwent a transformative name change to Eneos Holdings, with its subsidiary, JXTG Nippon Oil & Energy, following suit and adopting the name Eneos.

The planned maintenance shutdown of butadiene production at the Kawasaki Line underscores Eneos' commitment to ensuring the efficient and reliable operation of its facilities. This strategic approach to maintenance aligns with industry standards, providing an avenue for optimizing production processes and enhancing overall operational efficiency. As a pivotal participant in the petrochemical landscape, Eneos continues to navigate the challenges and demands of the industry, steadfast in its commitment to upholding the highest standards of safety, reliability, and sustainability. The company's proactive measures in maintenance reflect its dedication to delivering quality products while prioritizing the well-being of its operations and the broader environment.

We remind, in early February, Royal Dutch Shell, a prominent Anglo-Dutch oil and gas company, declared force majeure concerning the supply of butadiene to its facility in Norco, Louisiana, USA. Market reports have confirmed the shutdown of a line with a substantial capacity of 265,000 tonnes of butadiene annually. This operational halt is anticipated to persist at least until the conclusion of February, with the precise cause of the disruption remaining undisclosed.

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The acquisition process for Quantafuel by Viridor commenced approximately a year ago, with Viridor proposing a deal valued at around £90 million, said Chemanalyst.

As part of this proposal, Viridor also pledged additional capital to support Quantafuel's ongoing development efforts. This initiative aimed to bolster Quantafuel's position in the market and enhance its growth trajectory. Fast forward to May 2023, and Viridor assumed the role of majority shareholder in Quantafuel, marking a significant milestone in the acquisition process.

Viridor's interest in acquiring Quantafuel was sparked by an announcement made by Quantafuel in October 2022. At that time, Quantafuel revealed its intention to conduct a strategic review aimed at identifying potential financial partners. This strategic review was initiated to address short-term liquidity challenges faced by Quantafuel and to explore sustainable financial solutions to support the company's growth and development initiatives.

At the heart of Quantafuel's innovative approach lies its pioneering plastics-to-liquids process. This cutting-edge technology enables the conversion of waste plastics into a raw material that closely resembles refined products derived from virgin fossil fuels. This transformative process holds immense potential for the chemicals industry, offering a sustainable solution for the production of new plastics. Notably, Quantafuel's technology is particularly adept at processing plastic films, which are notoriously challenging to recycle through conventional mechanical methods. These conventional methods often result in a downgrade in quality, rendering the recycled material unsuitable for many applications. Moreover, traditional recycling processes are ill-suited for applications in the food sector due to stringent food safety regulations.

Headquartered in Oslo, Quantafuel operates a demonstration plant located in Skive, Denmark. Additionally, the company has ambitious plans to establish additional facilities in the UK and Dubai. This expansion reflects Quantafuel's commitment to scaling its operations and leveraging its innovative technology to address global plastic waste challenges. The integration of Quantafuel into Viridor Polymers serves to strengthen Viridor's position as a key player in the polymers reprocessing domain. Moreover, this integration underscores the shared commitment of both companies to driving innovation and catalyzing the transition toward a circular plastic economy.

Viridor has expressed its intention to leverage Quantafuel's technological expertise as a catalyst for further advancements in the field of plastics recycling. This strategic alignment aligns with Viridor's broader vision to lead innovation in the plastics recycling sector and achieve comprehensive plastic circularity by 2025. By harnessing the synergies between their respective expertise and resources, Viridor and Quantafuel are poised to unlock new avenues of innovation and drive forward the transition toward a more sustainable and circular future.

The acquisition of Quantafuel by Viridor represents a significant milestone in the journey toward sustainable waste management and circularity in the plastics industry. Through collaboration and innovation, both companies are well-positioned to address the complex challenges associated with plastic waste and drive meaningful progress toward a more sustainable and circular future.

We remind, the Circular Plastics Case Competition, now in its second iteration, is making a comeback, presenting a platform for emerging business professionals to revolutionize the plastics value chain. Organized by non-profit organization Net Impact in collaboration with Hillenbrand Inc and The Coca-Cola Company, this competition challenges participants to devise innovative solutions that keep plastics within the economy, reducing environmental impact.

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INEOS Inovyn announces a new Ultra Low Carbon range (ULC) of Chlor-Alkali products that reduce the carbon footprint of caustic soda, caustic potash and chlorine by up to 70% compared to industry averages, said the company.

The new range uses renewable energy sources to power INEOS Inovyn manufacturing sites. The first production sites include Rafnes in Norway, which uses local hydroelectric power and Antwerp in Belgium, where electricity comes directly from North Sea wind turbines.

Customers using the ULC Chlor-Alkali range will now be able to significantly reduce their scope 3 emissions, to develop sustainable downstream products which address their own market needs. The range is certified under the ISCC (International Sustainability & Carbon Certification) PLUS scheme.

INEOS Inovyn, Europe’s largest Chlor-Alkali producer already provides a range of standard products with the lowest industry carbon footprint in Europe, recognised through its Environmental Product Declarations (EPD). Today’s announcement represents a major step in its ongoing sustainability journey.

‘INEOS Inovyn’s standard Chlor-Alkali portfolio already offers 30% lower Green House Gas emission than the European industry average. With the launch of our new ULC range this gap increases to 70% for caustic soda, helping customers meet their ambitious GHG reduction targets,’ adds Arnaud Valenduc.

We remind, INEOS Electrochemical Solutions (IES), a global leader in electrolyser manufacturing for chlor-alkali applications, is proud to announce a new contract with Tamilnadu Petroproducts (TPL), a leading Indian manufacturer of industrial intermediate chemicals at their Chennai facility in India.

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