Communicator

Dakar, Senegal - February 10, 2025

The Société Africaine de Raffinage (SAR), Senegal's leading oil refinery, has successfully received and begun processing its first shipment of crude oil from the Sangomar field. This milestone marks a significant step towards Senegal's energy independence, as the facility will now refine locally produced crude oil into essential petroleum products including gasoline, diesel, kerosene, and low sulfur fuel oil (LSFO).

The operation commenced under the supervision of SAR's Loading Master, with the safe unloading of the inaugural vessel carrying Sangomar crude. This development comes after recent renovations that increased the refinery's capacity to 1.5 million tons per annum, enabling it to meet 70-75% of Senegal's domestic market needs.

The facility, which has been operational since 1961, is jointly owned by several stakeholders, including Petrosen (46%), Locafrique (34%), Sahara Energy Resources (8.18%), TotalEnergies (6.82%), and ITOC (5%). SAR has announced plans for further expansion, targeting a capacity of 2.5 million tons per annum by 2028, which would fully satisfy Senegal's domestic demand of 1.6 million tons while supporting regional market growth.

#societeafricainederaffinage  #totalenergies  #petrosen  #senegal  #dakkar  #crudeoil  #refining  #sangomar 

Pemex Transformación Industrial, a fully owned subsidiary of Petroleos Mexicanos, has been created.

#pemex  #petroleosmexicanos  #pemextransformacionindustrial  #refining  #petrochemicals 

SP Chemical completed the first gas-based cracker in Taixing, China, in 2019, producing 780,000 tpa ethylene and 150,000 tpa propylene.

February 7, 2025 | SINGAPORE (Reuters)

Despite growing trade tensions between Washington and Beijing, China's ethane imports from the United States are expected to rise significantly in 2025 as petrochemical producers seek cheaper feedstock alternatives. Major Chinese companies are investing over $16 billion in infrastructure improvements to accommodate this growth.

Industry analysts forecast China's ethane imports to reach between 6.3 million and 8.2 million metric tons in 2025, representing an increase of 9% to 34%. The U.S. Energy Information Administration projects its net ethane exports to rise 6% to 520,000 barrels per day, with China expected to absorb most of this increase.

However, two main factors currently constrain this trade growth: limited U.S. export capacity and a shortage of specialized tankers. To address these limitations, U.S. pipeline operators Energy Transfer and Enterprise Products Partners are expanding their terminal capacities.

China has also demonstrated its commitment to increasing ethane imports by reducing its import tariff to 1% in 2025, down from 2% in 2024. Enterprise CEO Jim Teague remains optimistic about the trade relationship, noting that Chinese dependence on imported propane and ethane should protect this segment from broader trade tensions.

#ethane  #china  #imports  #usa  #feedstock  #refining  #refinery  #steamcracking  #gascracker  #propane  #ethyleneplant 

BP Gelsenkirchen Refinery

GELSENKIRCHEN, Germany | February 6, 2025

BP has announced its intention to sell its Ruhr Oel GmbH operations in Gelsenkirchen, Germany, including the refinery and associated petrochemical assets19. The marketing process begins immediately, with BP targeting to complete the sale agreement within 2025, subject to regulatory approvals.

The Gelsenkirchen facility, Germany's third-largest refinery, currently processes approximately 12 million tons of crude oil annually and employs around 2,000 workers and 160 apprentices. The sale package includes the BP refinery in Gelsenkirchen and DHC Solvent Chemie GmbH in Mülheim an der Ruhr.

The decision comes amid challenging conditions for European refiners, who face increasing competition from Middle Eastern and Asian facilities, along with pressure from vehicle electrification and high operating costs. BP had already planned to reduce the refinery's capacity from 260,000 barrels per day of crude oil to 155,000 barrels per day in 2025.

Emma Delaney, BP's Executive Vice President for customers and products, explained that the decision aligns with BP's strategy to become a simpler, more focused, higher-value company. The company has recently modernized the facility's infrastructure, including power grid renewal and establishing independent steam supply, making it attractive for potential buyers.

The Gelsenkirchen site plays a crucial role in North Rhine-Westphalia's chemical industry, producing not only conventional fuels but also having the potential to manufacture biofuels and process recycled plastics. The refinery will continue normal operations throughout the sales process.

This move is part of a broader trend in Germany's refining sector, with other major players like Shell and ExxonMobil also seeking to divest their refining assets in the country. Industry analysts expect German crude refining capacity to decrease from 2.1 million barrels per day in 2020 to 1.8 million barrels per day by 2026.

#crudeoil  #refining  #refinery  #bp  #shell  #exxon  #germany  #gelsenkirchen 

CNOOC Shell Huizhou Petrochemical Complex in Daha Bay, Huizhou, China

January 15, 2015 | BEIJING | Shell China

CNOOC Shell Petrochemicals Limited (CNOOC Shell), a joint venture between Shell Nanhai Private Limited and CNOOC Petrochemical Investment Co., Ltd., has made the final investment decision to expand its petrochemical complex at Daya Bay, Huizhou, southern China.

The project will include the construction of a third ethylene cracker with a planned annual capacity of 1.6 million tons, a key component in the production of plastics, as well as a series of downstream derivative units, including linear alpha olefins.

The investment will also build a new facility for the production of high-performance specialty chemicals such as polycarbonates and carbonate solvents that are essential to everyday life.

Linear alpha olefins can be used to produce detergent alcohols and synthetic lubricant base stocks. Polycarbonates can be used to make impact-resistant plastics, replacing carbon-intensive steel, while carbonate solvents are used in lithium batteries, which are crucial for the electric vehicle sector and energy storage.

Designed primarily to meet China’s domestic demand, the new facility will produce a wide range of chemicals used in the agriculture, industry, construction, healthcare and consumer goods sectors.

The investment will enhance CNOOC Shell’s competitiveness by expanding its product value chain, promoting its further integration with existing chemical plants, and promoting its development of stronger innovation capabilities to meet the rapidly growing customer needs in the Chinese market.

"For more than two decades, CNOOC Shell has been providing high-quality products to the Chinese market and has become one of the largest Sino-foreign petrochemical joint ventures in China," said Huibert Vigeveno, Director of Downstream and Renewables Business of Shell Group.

“This new investment is a key enabler for CNOOC Shell’s strategic transformation towards higher-end and differentiated chemicals. It is consistent with Shell Chemicals & Refining’s strategy of pursuing targeted business growth in strong regions. It is also a testament to our strong partnership with CNOOC.”

The expansion is expected to be completed in 2028.


#olefins  #ethylene  #propylene  #butenes  #steamcracking  #olefinplant  #linearalphaolefins  #lao  #polycarbonate  #shell  #cnooc  #jointventure  #china  #refining 

OQ Refineries and Petroleum Industries Company (OQ RPI) has been added as a 100% shareholding wholly owned subsidiary of OQ.


#oq  #oqrpi  #refining  #petrochemicals  #oman 

Pertamina refineries and refining capacities updated.


#pertamina  #refining  #capacity  #indonesia 

Taiyo Oil Shikoku refinery has been added and mass balance intialized.


#refining #taiyooil  #japan  #shikoku  #refinery 

Japanese refiner Taiyo Oil Co., Ltd has been created.

 

#japan #taiyooil  #refining  #refinery  #crudeoil  #naphtha 

BPLC Bina Refinery

India's Bharat Petroleum Corp. (BPLC) plans to expand its refining capacity to 45 MMtpy by 2028 from the current 35.3 MMtpy, its head of refining, Sanjay Khanna, said on Dec 17, 2024 at an industry event, as reported by Hydrocarbon Processing.

As part of the plan, BPCL—the country's second-biggest fuel retailer—will increase the capacity of its 15.5-MMtpy Kochi refinery, situated in the southern state of Kerala, to 18 MMtpy.

It will also boost the capacity of its 12-MMtpy Mumbai refinery to 16 MM tpy, Khanna said.

The state-run company additionally expects to expand its 7.8-MMtpy Bina refinery in central India to 11.3 MMtpy by May 2028, he added.

The refiner, which is always on the scout for cheaper oil grades to maximize its profit margins, is also keen to test low-sulfur grades from South America including those from Argentina, Khanna said.

#crudeoil  #lowsulfur  #refining  #refinery  #bplc  #bharat  #bina  #kochi  #mumbai  #india  #capacityexpansion 

China's largest petrochemical industrial base has been fully completed.

On December 19, the second phase of the capacity expansion and high-end new materials project of SINOPEC's Zhenhai Refining and Chemical (ZRCC), a key project of Zhejiang Province's "14th Five-Year Plan", was fully mechanically completed, setting a number of records in the construction of domestic projects of the same size, including the most extensive application of independent innovation, the highest degree of intelligence, and the best energy saving and consumption reduction. So far, the refining capacity of Zhenhai Refining and Chemical has been increased to 40 million tons, making the total refining capacity of the Zhejiang Ningbo Petrochemical Base where it is located exceed 50 million tons, making it the largest, most technologically advanced, and most competitive world-class petrochemical industrial base in the country.

The Ningbo Petrochemical Industrial Base in Zhejiang is located in the Yangtze River Delta region and is a consumption center for downstream petrochemical products. The total investment in the Phase II capacity expansion and high-end new materials project of Zhenhai Refining and Chemical is 41.6 billion yuan, covering 18 units such as atmospheric distillation, catalytic cracking, polypropylene, and propane dehydrogenation. The new production capacity is fully focused on chemical processes, which will give rise to a number of high-value-added characteristic industrial chains such as "refining-propane dehydrogenation-propylene-acrylonitrile-ABS/methionine, refining-liquefied gas-isononanol-environmentally friendly plasticizers", focusing on the development of high-end polyolefins, high-end new materials, high-end chemicals and other products, which can provide nearly 8 million tons of related products to the downstream each year, providing strong support for the integrity and competitiveness of the industrial chain of advantageous industries such as automobiles, home appliances, and textiles in the Yangtze River Delta region, and driving the trillion-level output value of the upstream and downstream industrial chains.

The project has set multiple records and established industry benchmarks. It successfully achieved domestic production of 10 core equipment pieces, including the world's largest vertical labyrinth compressor. The project extensively implemented smart technologies, achieving simultaneous delivery of digital and physical factories, and deployed a fully independent domestic industrial operating system. It utilized the independently developed "Petrochemical Smart Cloud" industrial internet ecosystem platform to effectively support operational decisions and management. Additionally, the project was the first to comprehensively implement energy-saving measures, reducing overall energy consumption by approximately 11.7%. During the construction period, the project accumulated over 90 million continuous safe work hours, with a 100% quality pass rate for unit projects, setting a new industry standard.

Source: Xinhuanet

#china #sinopec #zhenhai #ningbo #zrcc #zheijiang #pdh #adu #fcc #acrylonitrile #abs #lng #refining #petrochemicals

*Excludes non-cash finance leases of $43 MM in Refining, $30 MM in Midstream and $2 MM in Corporate and Other.
** Our share of joint ventures’ capital spending.

December 16, 2024 | Phillips 66 News Release

Phillips 66 announced a 2025 capital budget of $2.1 billion, including $998 million for sustaining capital and $1.1 billion for growth capital. The budget underscores Phillips 66 dedication to delivering value to shareholders by funding growth in the NGL wellhead-to-market value chain and further enhancing refining competitiveness.

▪️ In Midstream, the capital budget of $975 million comprises $429 million for sustaining projects and $546 million for growth projects. ▪️ The budget advances the integrated NGL wellhead-to-market value chain by strengthening the company’s position in key basins, including increasing gas processing capacity.
▪️ In Refining, Phillips 66 plans to invest $822 million, including $414 million for sustaining capital. Refining growth capital of $408 million supports the company’s commitment to high-return, low-capital projects.
▪️ The Marketing and Specialties capital budget reflects the continued enhancement of the company’s branded network.
The Renewable Fuels capital budget reflects investments at the Rodeo Renewable Energy Complex toward the optimization of feedstocks and logistics for renewable diesel and sustainable aviation fuel production.
Corporate and Other capital will primarily fund information technology projects.

Phillips 66’s proportionate share of capital spending by joint ventures Chevron Phillips Chemical Company LLC (CPChem) and WRB Refining LP (WRB) is expected to total $877 million and be self-funded. Including Phillips 66’s proportionate share of capital spending associated with joint ventures CPChem and WRB, the company’s total 2025 capital program is projected to be $3 billion.

▪️ CPChem’s growth capital will continue to fund the construction of world-scale petrochemical facilities on the U.S. Gulf Coast and in Ras Laffan, Qatar, through joint ventures. The facilities are expected to start up in 2026.
▪️ WRB’s capital spending will primarily be directed to sustaining projects.

#phillips  #chevron  #wrb  #refining  #renewablediesel  #saf  #aviationfuel  #ngl  #cpchem  #raslaffan  #quatar  #usgc  #goldentriangle  #rodeo 

Photo: On August 23, the 45,000 standard cubic meters/hour air separation unit of Jilin Petrochemical was started up

Jilin Petrochemical Refining and Chemical Transformation and Upgrading Project is accelerating

Petrochemical Industry Going Global Alliance | November 9, 2024

At present, the CNPC's Jilin Petrochemical Refining and Chemical Transformation and Upgrading Project with a total investment of 33.9 billion yuan is accelerating. It is expected that 18 main units and 142 small overall projects of the transformation and upgrading project will be delivered before November 30. Before the end of the year, all 21 units will be delivered, and the project will be fully put into production in 2025.

After it is put into production, it can achieve an increase of 2.8 million tons of chemical products per year. After the project is put into production, while maintaining the crude oil processing capacity unchanged, it can achieve a reduction of 2.63 million tons/year in oil product output and an increase of about 2.77 million tons/year in chemical products. The effect of "reducing oil and increasing chemicals" is significant; especially after the ABS production capacity reaches 1.8 million tons/year, it will rank first in China and third in the world, highlighting the advantages of the industrial chain; new high-value-added chemical products and new materials such as EVA, bisphenol A, and butadiene rubber will be added.
 
#jilin  #petrochemical   #china   #ethylene   #refining   #chemical 

The picture shows the panoramic view of 4# atmospheric and vacuum distillation unit

April 2010: The first million-ton ethylene plant of Zhenhai Refining and Chemical was completed and put into operation. (Source)

2020: China's first 100,000 tons/year bio-jet fuel unit was completed in Zhenhai Refining and Chemical. (Source)

Jan 2022: Zhenhai Refining and Chemical's 1.2 million tons/year ethylene unit produced qualified products. (Source)

28^th June 2021: The first phase of Sinopec Zhenhai Base project was completed in Zhenhai, Ningbo, Zhejiang. The commissioning of this project will add 1.2 million tons of ethylene annual production capacity and 4 million tons of refining annual capacity to Zhenhai Refining and Chemical. (Source)

27^th Sep 2021: The 4# atmospheric and vacuum unit was put into operation. In 2022, the energy (steam) consumption of the unit dropped from 11.51 kg of standard oil/ton at the initial start-up to 9.45 kg of standard oil/ton, with significant energy-saving and consumption-reducing effects.

18^th Nov 2021: The No. 2 coal-coke hydrogen production unit at the Zhenhai base was successfully put into operation. 
Over the past year (2022), the 2# coal-coke hydrogen production unit has supplied more than 100,000 tons of hydrogen and over 700,000 tons of fuel gas . It has successfully achieved 122 days of operation of the III series gasifier burner, more than 3 months of stable operation of the coal mill, and more than 80 days of wastewater stripping operation, creating the first domestic record of dual-unit operation of propylene compressors. (Source)

6^th Jan 2022; The No. 2 propylene oxide styrene (POSM) unit of Zhenhai Base was successfully put into trial operation. 
In the one year since the start of operation, the plant has achieved a stability rate of 99.42% and a product qualification rate of 100% . The plant achieved excellent results in annual PO production of 269,800 tons and SM production of 583,400 tons.  (Source)

2022: The tail oil products produced by the 3# hydrocracking unit are used as the raw materials for the 2# ethylene unit, and desulfurized dry gas is provided as the sulfur injection agent. 
As the largest single-series hydrocracking unit in China, the unit has now (6^th Jan 2023) processed a total of 2.2 million tons of wax oil, 1.64 million tons of diesel, and produced a total of 1.18 million tons of naphtha and 550,000 tons of jet fuel. (Source)

7^th Jan 2023: 
▪️ Today, on the first anniversary of the successful start-up of the ethylene unit, the unit's automatic control rate reached 97% and the stability rate reached 99.5%, the output of ethylene products was 997,500 tons, and the comprehensive energy consumption of the ethylene cracking furnace ranked first in Sinopec.
▪️ As an important downstream unit of ethylene, the 2# ethylene glycol (2# EOEG) unit actively explored the lower limit of the unit's operating load.
▪️ The National Four Units (2# butadiene extraction unit, 3# aromatics extraction unit, 2# MTBE/butene-1 unit, 2# pyrolysis gasoline hydrogenation unit) have made positive contributions to the company's optimization of ethylene production capacity structure, processing C4 to C9 cracking components and integrating them into high value-added economic value products.
(Source)

24^th Nov 2023: The 1.5 million tons/year ethylene and downstream high-end new materials industry cluster project of Zhenhai Refining and Chemical started. The project involves 2*200,000 tons/year of polyolefin elastomer (POE/α-olefin) combination, 400,000 tons/year of low-density polyethylene (LDPE)/ ethylene-vinyl acetate copolymer (EVA) (vinyl acetate (VA)), 200,000 tons/year of adiponitrile and other popular materials. (Source)

18^th Oct 2024: Sinopec Ningbo Project EPC General Contracting, Zhenhai Base Phase II Project Double Hydrogenation Unit Delivery! The 1.5 million tons/year jet fuel hydrogenation and 4 million tons/year wax oil hydrogenation units at Sinopec Zhenhai Base have passed the acceptance inspection. (Source)

21^st October 2024: The mechanical completion of the 11 million tons/year atmospheric and vacuum distillation unit of the second phase of the Zhenhai base was achieved. This project is the leading unit of the second phase of the base's refining project, and it is also the atmospheric and vacuum distillation unit with the largest crude oil processing capacity of Zhenhai Refining and Chemical. (Source)

30^th August 2024: The first batch of main and supporting projects of the Zhenhai Base Phase II - aromatics extraction, catalytic gasoline hydrogenation, and pressure tank area - achieved mechanical completion. So far, the overall schedule of the Zhenhai Base Phase II project has been completed by 95%, and the project construction is stable and orderly. (Source)

23^rd Nov 2024: The 1.5 million tons/year No. 2 aviation kerosene hydrogenation unit of the second phase of Zhenhai Base successfully introduced raw aviation kerosene, marking that the first unit of the second phase of the base has entered the feeding test run stage. (Source)


#ZRCC  #zhejiang  #sinopec  #refining  #chemical  #downstream 

7th Sep 2024 | Source: DT New Materials, via Sohu.com

The project is located in Gulei Petrochemical Base, Zhangzhou, Fujian Province, and mainly builds 16 million tons/year oil refining project and 1.2 million tons/year ethylene project. The project is the leading project of Gulei Petrochemical Base, one of the seven major petrochemical industrial bases in China. The first phase of the project mainly includes 9 sets of chemical equipment such as ethylene cracking with an actual processing capacity of 1 million tons/year, with a total investment of 27.8 billion yuan and an annual output of one million tons of ethylene.

The second phase of the Gulei Refining and Chemical Project is jointly constructed by Sinopec Group and Fujian Province. It is planned to build more than 30 refining and chemical units, including 16 million tons/year of oil refining, 1.5 million tons/year of ethylene, 2 million tons/year of aromatics , as well as supporting facilities such as public works and berths at the Gulei Petrochemical Base. On July 16, the second phase of the project was approved by the Fujian Provincial Development and Reform Commission.

#gulei  #sinopec  #petrochemical  #refining  #ethylene  #steamcracking  #oilrefining  #crudeoil 

The oil conversion of the two Chinese oil companies SINOPEC and PETROCHINA has accelerated.

Petrochemical Industry Going Global Alliance November 9, 2024 10:50

Nowadays, it is imperative for traditional fuel-based refineries to transform into chemical-based refineries. In recent years, Sinopec and PetroChina have accelerated their transformation from oil refining to new chemical materials.

Typical Enterprises of PetroChina in Reducing Oil and Increasing Chemicals

On October 31, PetroChina held a 2024 third quarter performance briefing in Shanghai, mentioning that in the first three quarters of 2024, the commodity volume of China's petrochemical products was 28.643 million tons, a year-on-year increase of 9.7%. The output of new materials was 1.618 million tons, a year-on-year increase of 62.6%. This data shows that PetroChina has achieved outstanding results in the field of refining and new materials industry by reducing oil and increasing chemicals. In 2023, the output of new materials of China's petrochemical industry was 1.37 million tons, a year-on-year increase of 60%, and the refining and new materials business achieved an operating profit of 36.94 billion yuan.

01 | Jilin Petrochemical

At present, the Jilin Petrochemical Refining and Chemical Transformation and Upgrading Project with a total investment of 33.9 billion yuan is accelerating. It is expected that 18 main units and 142 small overall projects of the transformation and upgrading project will be delivered before November 30. Before the end of the year, all 21 units will be delivered, and the project will be fully put into production in 2025. After it is put into production, it can achieve an increase of 2.8 million tons of chemical products per year. After the project is put into production, while maintaining the crude oil processing capacity unchanged, it can achieve a reduction of 2.63 million tons/year in oil product output and an increase of about 2.77 million tons/year in chemical products. The effect of "reducing oil and increasing chemicals" is significant; especially after the ABS production capacity reaches 1.8 million tons/year, it will rank first in China and third in the world, highlighting the advantages of the industrial chain; new high-value-added chemical products and new materials such as EVA, bisphenol A, and butadiene rubber will be added.

Jilin Petrochemical has developed a high-end ABS product with high impact resistance, which is the only ABS product in China that meets the technical requirements of national and American standards for Class A helmets. This product not only meets the rigidity and toughness requirements, but also has good low temperature resistance. In an environment of -30℃, it has the same impact resistance as ordinary helmets at room temperature.

02 | Daqing Petrochemical

In November 2020, Daqing Petrochemical's refining structure adjustment, transformation and upgrading project, including 1.2 million tons/year continuous reforming unit, 2 million tons/year catalytic cracking unit and 12 other main units and 29 supporting public works and auxiliary facilities, were fully completed and put into operation. At present, Daqing Petrochemical's ethylene unit de-bottleneck and downstream supporting projects have been completed and handed over, with a total ethylene production capacity of 1.38 million tons/year, and the ethylene energy consumption of the E3 unit has dropped to less than 587.5 kg of standard oil/ton, reaching the industry's energy efficiency benchmark level.

Daqing Petrochemical has strengthened cooperation with scientific research institutes and implemented major CCUS scientific and technological projects. The on-site application of the independent technology of new coke-suppressing furnace tubes has achieved good results, and promoted the high-quality development of enterprises through technological progress. Carry out research on the localization of catalysts, and 4 imported catalysts have been replaced by domestic products for the first time. In terms of new materials, Daqing Petrochemical actively implements the new material acceleration project and strives to create a "product giant". In 2023, Daqing Petrochemical will develop 7 new products such as lithium battery diaphragm materials and Zhongmenni chlorinated polyethylene type B materials, and increase the output of 19 new (high-efficiency) products such as 19G and 2820D by 522,000 tons, and produce 11 new material products with grades such as DQDN3711 and UH060P, etc. 40,800 tons. In the first half of this year, it continued to expand the production of new (high-efficiency) chemical products such as DQDN3711 and 19G, and successfully developed 4 new products such as QL505PR and special functional fibers.

03 | Dushanzi Petrochemical

At present, Dushanzi Petrochemical is accelerating the construction of the Tarim 1.2 million tons/year Phase II ethylene project, which will quickly release 1.2 million tons of polyethylene, 450,000 tons of polypropylene, and 100,000 tons of rubber production capacity. At the same time, it can provide 400,000 tons of raw materials per year to drive the development of the downstream industrial chain.

The Tarim 1.2 million tons/year Phase II ethylene project adheres to the innovative and green construction concept and has built 11 major production units, 10 of which use domestic technology (9 use China Petroleum’s own technology); it maximizes the use of domestic technology and localized equipment, with a localization rate of 99%.

At the end of October this year, the first domestically produced dual-end functionalized solution-polymerized styrene-butadiene rubber SSBR3540 F was successfully started up at the 240,000 tons/year SSBR/SBS rubber unit of PetroChina Dushanzi Petrochemical , filling the domestic gap. Currently, the production capacity of solution-polymerized styrene-butadiene rubber of Dushanzi Petrochemical has reached 160,000 tons/year.

04 | Lanzhou Petrochemical

On June 3, the feasibility study report of the Lanzhou Petrochemical Company's transformation and upgrading ethylene renovation project (million-ton ethylene project) was approved by the China National Petroleum Corporation Party Committee Meeting, marking a key breakthrough in the project's advancement.

Lanzhou Petrochemical Company's transformation and upgrading ethylene renovation project eliminated 240,000 tons/year of obsolete ethylene production capacity, optimized 460,000 tons/year of ethylene, carried out 1.2 million tons/year of ethylene renovation, and built and put into use projects such as medical materials and high-end electronic protective film material production equipment, to comprehensively create a million-ton new material base.

After years of continuous optimization and adjustment of its structure, Lanzhou Petrochemical has formed an integrated refining and chemical production structure, with an annual ethylene output of 1.5 million tons, nitrile rubber production capacity ranking third in the world and second in Asia, and medical polypropylene RP260 filling the gap in the domestic medical material market. In 2024, Lanzhou Petrochemical will successfully produce metallocene ultra-low density polyethylene mPE1012 for the first time; produce the first batch of 220kv high-voltage cable material products CL2140P, breaking technical barriers; and implement the conversion of nitrile rubber NBR2805G and other brands in the rubber field. At present, Lanzhou Petrochemical's new material products have covered many high-tech industries such as medical polyolefins, automotive polyolefins, and metallocene polyolefins.

05 | Guangxi Petrochemical

The Guangxi Petrochemical Refining and Chemical Integration Transformation and Upgrading Project plans to build an ethylene refining unit with an annual capacity of 1.2 million tons and corresponding supporting facilities, including 14 chemical units and 2 refining units. It will promote the transformation of Guangxi Petrochemical from a "fuel type" to a "chemical product and organic material type", and realize the transformation from the refining-based refining and chemical basic industry to the "basic + high-end" energy and chemical material modernization. The total investment of the project is 30.5 billion yuan. After completion and production, it can reduce oil products by 3.49 million tons and increase chemical products by 3.06 million tons each year.

06 | Guangdong Petrochemical

As the world-class project with the largest one-time construction scale in China, the Guangdong Petrochemical Refining and Chemical Integration Project was fully put into production on February 27, 2023. This project is the largest refining and chemical project invested by PetroChina at one time, with a project scale of 20 million tons/year of refining + 2.6 million tons/year of aromatics + 1.2 million tons/year of ethylene, forming a unique deep processing route for heavy and inferior crude oil in the refining and chemical business, realizing "oil where oil is suitable, aromatics where aromatics are suitable, olefins where olefins are suitable".

Inventory of Typical Sinopec Enterprises Reducing Oil and Increasing Chemicals

Sinopec actively responded to the low point of the chemical industry's business cycle, adhered to the "basic + high-end" approach, continued to promote the diversification of raw materials, increased efforts in the development of new materials and high value-added products, and expanded the space for creating benefits.

Vigorously promote the development of domestic and overseas markets, strengthen strategic customer cooperation and product customization services. In the second half of the year, it is planned to produce 6.85 million tons of ethylene. The main investment projects of refining and chemical are:

01 | Zhenhai Refining and Chemical

The Zhenhai Refining and Chemical Expansion Project (Phase II) mainly includes the construction of a new 11 million tons/year refining plant, a 600,000 tons/year propane dehydrogenation plant and downstream processing units. The project will start construction in June 2022 and is scheduled to be delivered in December 2024. On August 30, 2024, the first batch of main and supporting projects of the Zhenhai Base Phase II - aromatics extraction, catalytic gasoline hydrogenation, and pressure tank area - achieved mechanical completion. So far, the overall schedule of the Zhenhai Base Phase II project has been completed by 95%, and the project construction is stable and orderly.

The Zhenhai 1.5 million tons/year ethylene and downstream high-end new materials industry cluster project mainly includes the construction of a new 1.5 million tons/year ethylene unit and downstream processing units, as well as supporting public works and auxiliary facilities. The project will start in November 2023 and is scheduled to be delivered in mid-2026. The project is funded by its own funds and bank loans. As of June 30, 2024, a total investment of RMB 2.8 billion has been completed.

02 | Tianjin Base

The Tianjin Nangang Ethylene and Downstream High-end New Materials Industry Cluster Project mainly includes the construction of a new 1.2 million tons/year ethylene plant and downstream processing units. The project is a key project of the country's "14th Five-Year Plan" with a total investment of over 30 billion yuan. It will extend its development downstream with a 1.2 million tons/year ethylene plant as the leader, and will build 13 sets of production units such as high-density polyethylene and linear low-density polyethylene.

In addition, the 260,000 tons/year polycarbonate (PC) project of Sinopec (Tianjin) Petrochemical Co., Ltd. will be put into commercial operation in Tianjin Nangang Industrial Zone in 2023. This project is another fruitful result of the joint venture between Sinopec and Saudi Basic Industries Corporation (SABIC) after the million-ton ethylene project. It will further meet the growing domestic PC market demand and promote the rapid development of the high-end new materials industry.

03 | Maoming Petrochemical

The project mainly includes the construction of a 3 million tons/year catalytic cracking complex, a 1 million tons/year ethylene complex, and supporting public works and auxiliary facilities. The project will start in June 2023 and is scheduled to be delivered in mid-2026.

This project is a key project for Maoming Petrochemical to promote new industrialization, promote high-end, intelligent and green manufacturing, and achieve the fourth leap-forward development. After all the units are put into use, the system processing capacity will increase by nearly 100% year-on-year, meeting the circulating cooling water needs of the five production units in operation and the subsequent No. 3 ethylene unit and auxiliary facilities.

04 | Hainan Refining and Chemical

On February 21, 2023, Hainan Petrochemical's 1 million tons/year ethylene and refining expansion project successfully completed the entire process, and each unit was successfully started up with one feed.

The project is a key engineering project of Hainan Province and Sinopec. It mainly includes a 1 million tons/year ethylene cracking unit and a total of 10 downstream chemical units. During the construction period, it has created jobs for more than 30,000 people, and has driven the establishment of downstream industries such as Hainan Baling New Materials Company and Oak Chemical Company, and promoted Hainan Liansu and other four companies to extend the industrial chain.

05 | Anqing Petrochemical

On July 6, 2023, with the 400,000 tons/year ethylbenzene-styrene unit producing qualified products, all units of the Anqing Petrochemical Refinery Conversion Plant Structural Adjustment Project were successfully started up safely and environmentally friendly at one time. The project is led by a 3 million tons/year heavy oil catalytic cracking unit. By increasing the production of light olefins and aromatic raw materials to produce high-value-added chemical products, it effectively enhances the adaptability and flexibility of the company's production structure to changes in demand, and explores a development path for domestic refining companies to cope with overcapacity and achieve transformation and upgrading. Among them, the 3 million tons/year heavy oil catalytic cracking unit is the world's first RTC process heavy oil catalytic cracking unit, and the 400,000 tons/year ethylbenzene-styrene unit is currently the largest dry gas method ethylbenzene unit in China.

06 | Shanghai Petrochemical

As China's first 10,000-ton 48K large-tow carbon fiber project, Shanghai Petrochemical's 24,000 tons/year raw fiber and 12,000 tons/year 48K large-tow carbon fiber project. The first domestic production line was put into operation in October 2022 and produced qualified products, marking that Sinopec's large-tow carbon fiber has successfully moved from key technology breakthroughs, industrial trial production, and industrialization to scale and localization of key equipment, breaking the passive situation of my country's carbon fiber production and equipment being controlled by people, and truly realizing independent control.

07 | Baling Petrochemical

On December 15, 2023, Line A of Baling Petrochemical's 600,000 tons/year caprolactam industry chain relocation and upgrading transformation and development project was completed and successfully started up at one time, marking the completion and production of the world's largest single-unit caprolactam production and research and development base with leading technology, opening up a new path for the green transformation and development of heavy chemical industry along the river.

The project adopts Sinopec's new generation of caprolactam green complete set of new technologies with independent intellectual property rights, and realizes industrial application for the first time. The project construction includes 58 sets of new coal gasification, caprolactam, polyamide, synthetic ammonia, hydrogen peroxide, cyclohexanone and other equipment, covering the entire industrial chain from coal-to-hydrogen to polyamide, with a localization rate of 99.9% of the equipment, including the central control system, which is completely localized.

08 | Kuche Green Hydrogen Demonstration Project

On August 30, 2023, the Kuche Green Hydrogen Demonstration Project was fully completed and put into operation. This is the first project in my country to achieve the full industrial chain of 10,000-ton green hydrogen refining and chemical production. It has an annual hydrogen production capacity of 20,000 tons by water electrolysis, a hydrogen storage capacity of 210,000 standard cubic meters, and a hydrogen transmission capacity of 28,000 standard cubic meters per hour. It is the largest photovoltaic power generation direct green hydrogen production demonstration project built using the abundant solar energy resources in western my country. The green hydrogen produced by the project is transported to Tahe Refining and Chemical through pipelines to replace natural gas hydrogen production, which can reduce carbon dioxide emissions by 485,000 tons per year.

The project will build new photovoltaic power generation, water electrolysis hydrogen production, green hydrogen storage and transportation equipment, as well as public works and supporting auxiliary production facilities. The major equipment and core materials such as photovoltaic components, electrolyzers, hydrogen storage tanks, hydrogen pipelines, etc. are all domestically produced, which is of great significance to promoting the rapid development of the domestic hydrogen production equipment industry.


#sinopec  #petrochina  #china  #refining  #petrochemicals 
 

Source: Jilin City, China Petroleum News, China Petrochemical News, Super Petrochemical, official websites of various companies, China Chemical Information Weekly

24 Sep 2024: The construction preparation of the project is progressing in an orderly manner, and the general layout of the construction, construction infrastructure planning, and standardized construction site construction have been completed. The site leveling of Changling North New District has been completed by about 75% , and it is planned to meet the conditions for handover by the end of October 2024. The site clearing and earthwork transportation of the refinery supporting renovation project site are currently being organized. The site leveling of Hunan Petrochemical District 2 has been started, and it is planned to meet the conditions for handover by the end of this year; the construction of three supporting first-class highways related to the project has started. Credit

Sinopec Hunan Petrochemical (Yueyang) ethylene refining and chemical integration project

12 Jul 2024, Sinopec Yueyang ethylene refining and chemical integration project starts trial operation

Recently, with the rise and fall of the 67-ton tamping hammer, Sinopec Yueyang Region (Hunan Petrochemical) 1 million tons/year ethylene refining and chemical integration project started the trial tamping in the Changling North main plant area.

Hunan Petrochemical's 1 million tons/year ethylene refining and chemical integration project is located in Yueyang Green Chemical High-tech Industrial Development Zone and started construction on January 3 this year.

19 Sep 2024, Total investment of 35.68 billion yuan! This million-ton ethylene refining and chemical integration project has made new progress

Hunan Petrochemical's 1 million tons/year ethylene refining project is being accelerated, with a total investment of 35.68 billion yuan and an estimated output value of over 100 billion yuan, which will drive downstream investment of over 150 billion yuan. The project is located in Yueyang Green Chemical High-tech Zone and has completed a number of construction preparations and safety management planning.

◾️ Project name: Sinopec Yueyang 1 million tons/year ethylene refining and chemical integration project

◾️ Project type: Greenfield Construction Project

◾️ Project location: Hunan Yueyang Green Chemical High-tech Industrial Development Zone. This project is distributed in the Changling and Baling areas of the park.
▪️ The Changling section is located in the northeast of the Changling area of the park, referred to as the Xinchang New District, with a land area of 201.05 hectares, all of which are newly acquired land.
▪️ The Baling section is located on the south side of the Baling's refining department, with a total land area of approximately 46.4 hectares, of which 27.26 hectares are newly acquired land; the expansion of the cogeneration unit is located in the thermal power department, with a land area of approximately 19.14 hectares, and does not involve additional land acquisition.

In addition, the off-site project covers an area of 90.57 hectares, involving the acquisition of 25.4 hectares of new land and the use of 65.17 hectares of existing land.

Construction content: This project will build:

◾️ a new 1 million tons/year ethylene unit

◾️ a total of 14 downstream units, including:
▪️ an ethylene unit,
▪️ an EVA unit,
▪️ an HDPE unit,
▪️ an LLDPE unit,
▪️ an aromatics-to-benzene unit,
▪️ a butadiene extraction unit,
▪️ an MTBE/butene-1 unit,
▪️ a pyrolysis gasoline hydrogenation unit,
▪️ an aromatics extraction unit,
▪️ a styrene extraction unit,
▪️ a C5 separation unit,
▪️ a CHPPO unit,
▪️ a phenol/acetone unit,
▪️ a bisphenol A unit.

At the same time, necessary storage and transportation projects, public works, auxiliary facilities and off-site projects will be constructed.

#sinopec  #hunanpetrochemical  #hunan  #yueyang  #ethylene  #refining  #chemicalintegration  #china  #steamcracker

Changling Refinery information details have been updated and its crude oil processing capacity adjusted to 8 million tonnes per year.


#hunanpetrochemical  #sinopec  #hunan  #yueyang  #changling  #refinery  #china  #crudeoil  #refining  

Nov 2024, Hunan Petrochemical Company Profile

Sinopec Hunan Petrochemical Co., Ltd. was formed by the integration of the former Baling Petrochemical and Changling Refining and Chemical (the two companies were personally approved by Premier Zhou Enlai in the late 1960s). In the past two years, under the guidance and support of national ministries and commissions, the Hunan Provincial Party Committee and the Provincial Government, and the Sinopec Party Committee, the company has adhered to the idea of ​​"promoting reform through development and promoting development through reform" and actively promoted integrated development and reform. Hunan Petrochemical completed its industrial and commercial registration on June 6, 2023 and officially achieved integrated operations on January 1, 2024.

The company currently has a product chain of oil refining, caprolactam-polyamide, elastomers, epoxy resins, propylene oxide, asphalt-carbon materials, etc. Among them, the primary processing capacity of oil refining is 10 million tons/year, the production capacity of caprolactam is 1 million tons/year (including 400,000 tons of Hengyi in Zhejiang Baling), the production capacity of thermoplastic elastomer is 550,000 tons/year (including 170,000 tons in Hainan Baling), the production capacity of epoxy resin is 120,000 tons/year, and the production capacity of propylene oxide is 100,000 tons/year. There are more than 100 main products. There are 10,804 registered employees and 9,153 employees on the job. In 2023, a total of 9.5 million tons of crude oil will be processed, with an operating income of 75.6 billion yuan and taxes and fees of 11.1 billion yuan.

The company attaches great importance to scientific and technological innovation, and has won 27 national awards in total, including 1 first prize in the National Technological Invention Award, 5 first prizes in the National Science and Technology Progress Award, and 1 China Industrial Award. It has more than 640 authorized patents and has been rated as an innovative enterprise of Sinopec. Its production technologies for caprolactam, thermoplastic elastomers, epoxy resins, propylene oxide, etc. are all world-leading, and all have independent intellectual property rights.

The company has successively won the honorary titles of the first batch of national first-class enterprises, national civilized units, national May 1st Labor Medal, national advanced grassroots party organization, and national outstanding enterprise for ideological and political work.

In the next step, the company will focus on building the development positioning of Hunan Petrochemical as "characteristic, green and outstanding", implement the development strategy of "innovation-driven, value-oriented, green and intelligent, and talent-driven", adhere to the development path with the construction of "1 million tons/year ethylene refining and chemical integration project" as the core, promote the formation of an industrial structure of "clean oil products + modern chemical industry + high-end chemical new materials", and strive to realize the development vision of "building a world-leading green petrochemical new materials innovation base".

#hunan  #petrochemical  #sinopec  #balingpetrochemical  #changlingrefining  #hunanpetrochemical  #refining  #chemical  #china 

Datails about SINOPEC Hainan Refining and Chemical Co., Ltd. and Danzhou complex have been updated.

 

#sinopec #danzhou  #refining  #chemicals  #steamcracker  #ethylene  #china  

Heilongjiang Haiguolongyou Petrochemical Co., Ltd. (formerly named Daqing Lianyi Petrochemical Co., Ltd.) and Daqing refinery have been added.
 

#daqing #lianyi  #longyou  #haiguo  #hayguolongyou  #heilongjiang  #refinery  #refining  #china  

Information details about Petrochina Daqing Refining and Chemical Company have been updated.


#petrochina  #daqing  #refiningandchemical  #crudeoil  #Heilongjiang 

Petrochina Daqing Petrochemical has been created and its site's mass balance initialized.

 

#daqing #petrochina  #petrochemical  #massbalance  #refining  #crudeoil  #ethylene  #steamcracking  #heilongjiang 

African Energy Week 2024 presents the vision of a diversified energy future

AFRICAN ENERGY WEEK: OIL & GAS DEMAND EXPECTED TO REMAIN STRONG THROUGH 2050

Global demand for oil and gas is expected to remain strong in the coming decades, according to Haitham al-Ghais, Secretary-General of the Organization of the Petroleum Exporting Countries (OPEC). Speaking at the  Africa Energy Week (AEW) in Cape Town,  South Africa, on 6 November, Haitham al-Ghais explained that this increase in energy demand would be driven by global population growth and a doubling of global GDP by 2050. “OPEC sees the outlook for global oil and gas consumption as very positive. By 2050, energy demand will increase by 24%,” he said.

The world population, currently 8 billion, is expected to reach 9.7 billion by 2050, with a significant share of this growth concentrated in developing countries, particularly in Africa. Al-Ghais stressed that this population increase and the economic growth of emerging megacities and cities of several million inhabitants would amplify the demand for energy, requiring the mobilization of all available resources, including fossil fuels.

The leading role of oil and gas

According to OPEC projections, oil and natural gas will still account for 55% of global energy supply in 2050, with oil alone accounting for 30% of this share. “The world will need all kinds of energy resources in the coming decades,” the OPEC Secretary General said, adding that renewables, although growing, will not be enough to meet this increased demand. In order to meet the growing needs and stabilize markets, OPEC estimates that massive investments will be needed in the oil sector. “Until 2050, the oil sector will require investments of $17.4 trillion,” al-Ghais said, adding that this funding will be mainly directed towards production programs to ensure stable supplies and prevent sudden fluctuations in fuel prices.

A strategic event for the sector

The African Energy Week, which brings together over 1,000 participants, including officials from 22 African countries, industrialists, business people and analysts, continues until November 8. The event provides a platform to discuss energy challenges in Africa and how the continent can meet the growing global energy needs.

Source

#oilandgas #crudeoil #naturalgas #africa #refining #refinery #oildemand #energy #fossilfuels #fuelprices #oilsector

ExxonMobil’s Esso division has completed the sale of the Fos-sur-Mer refinery, one of France’s major refineries, and two other oil terminals to Rhone Energies, a consortium formed by Trafigura with Entara LLC. The deal was announced on Friday, November 1, 2024.

The Fos-sur-Mer refinery has a crude oil processing capacity of 140,000 barrels per day. The transaction includes the Toulouse and Villette-de-Vienne terminals, operated by Exxon’s local unit Esso.

This sale marks a significant reduction in Exxon’s refining capacity in Europe, with its total refining capacity in the region decreasing to approximately 1.1 million barrels per day. However, Exxon remains the second-largest refining capacity holder in northwestern Europe, after TotalEnergies.

The sale is part of Exxon’s efforts to divest non-core assets and focus on its core business. The company is also close to selling its 25% stake in a German refinery, MiRO Mineraloelraffinerie Oberrhein GmbH.

#crudeoil  #refining  #refinery  #exxonmobil  #totalenergies  #france  #miro  #rhoneenergies 

The refinery will be owned by a consortium of Trafigura and Entara, operated by Rhone Energies.

We are awaiting confirmation on the local structuring of the Refinery.

#refining 

Company created following the takeover of Exxonmobil refinery in France.

#refining 

Created Swiss investor company for acquisition of Exxon Fos-su-mer refinery 

#refining 

Shandong Jincheng Petrochemical estimated crude oil consumption has been added.

 

#shandong #jincheng  #petrochemical  #crudeoil  #refining 

As of September 8, Guangdong Petrochemical has processed more than 30 million tons of crude oil since it was put into production in early 2023, Longchang Petrochemical reports. In the past year, it has helped Jieyang's GDP, industrial added value above designated size and other important economic indicators to grow first in Guangdong Province and become an important supply base for refined oil and chemical products in eastern Guangdong and even South China . The company guaranteed the "crude oil basket" according to the principle of optimal cost performance, and fully opened the "marine energy lifeline". In the past two years, it has received and unloaded 35.37 million tons of crude oil carried by 137 tankers, involving 36 varieties in 17 countries. The functional status of China Petroleum Offshore Import Crude Oil Optimization Center has been continuously strengthened and upgraded.

#petrochina  #longchang  #guangdong  #petrochemical  #crudeoil #refining  #china  #crudeoilimport 

The mass balance of Guangdong Petrochemical has been initialized with identification of crude oil imports and the addition of two technologies: Huanqiu Steam Cracking and Grace's Unipol PP with their respective capacities.

#unipolpp  #steamcracking  #ethylene  #huanqiu  #guangdong  #petrochemical  #china  #refining

Shazand Petrochemical has been added.

#iran  #shazand  #arak  #arpc  #petrochemical  #refining  #naphtha 

Nigerian upstream company Oanon has shown interest in refinery.

Punchg Nigeria:

Oando, two others shortlisted to purchase Trinidad’s refinery

#refining #Refinery 

Petroineos Fuels Ltd. has been added and parent identified.

#petroineos #fuels  #ineos  #petrochina  #refining 

Ineos confirms closure of the Refinery in Scotland, operated by their JV Petroineos. The site will be converted into an import and export terminal.

Petrochemicals activities on the site, part of the Ineos Olefins and Polymer Business continue.

“Business as usual” for INEOS businesses at Grangemouth

#refining #Refinery 

LAGOS, Sept 2 –  Nigeria’s Dangote Oil Refinery has commenced gasoline processing after recent crude shortages caused delays, according to a company executive on Monday. The $20 billion facility, built by Nigerian billionaire Aliko Dangote on the outskirts of Lagos, started operations in January, initially producing products like naphtha and jet fuel.

With a massive capacity of 650,000 barrels per day, the Dangote Refinery is Africa’s largest and aims to reduce Nigeria’s heavy dependence on imported oil products, a costly burden for the country despite being a major oil producer.

“We are currently testing gasoline, and soon it will begin flowing into our product tanks,” said Devakumar Edwin, Vice President of Dangote Industries Limited. Edwin did not specify when
 the gasoline would reach the local market but confirmed that state oil firm NNPC Ltd, Nigeria’s sole gasoline importer, would exclusively purchase the gasoline. “If there are no buyers locally, we will export it, as we have done with our jet fuel and diesel,” he added.

The introduction of gasoline from Dangote’s refinery could significantly ease NNPC’s ongoing struggles to meet local fuel demand. Since January, NNPC has accumulated $6 billion in debt to oil traders for supply, hampering its ability to adequately serve the Nigerian market, where long fuel queues have persisted since July. Fuel prices have surged by 45% from the official rate of 617 naira ($0.3942) following the removal of subsidies last year.

“The timing of Dangote’s gasoline production is critical, especially given NNPC’s current challenges in securing imported supply due to financial constraints,” noted Clementine Wallop, Director for Sub-Saharan Africa at Horizon Engage, a political risk consultancy. She emphasized the need for NNPC to demonstrate transparency in its financial dealings as it begins to purchase from Dangote.

Despite being Africa’s leading oil producer, Nigeria imports almost all of its fuel due to years of neglect and underinvestment in its national refineries.

naija247news

#diesel  #naphtha  #gasoline  #crude  #crudeoil  #refining  #Refinery #jetfuel  #kerosene  #africa  #nigeria 

Interesting development in Ghana. Only shortly after the start-up of the Dancote Refinery in Nigeria, Ghana announces a project to build a 300 k bbls/day Refinery and Petrochemicals Hub.

Ghana produces itself only approx 120 k bbls/day.

Investors include Chinese and Singaporean companies.

Will be interesting to follow.

(5) Ghana's $12 Billion Oil Refinery: What You Need to Know | LinkedIn

#refining 

Created entity, modelling the consortium. Requires further verification.

#refining 

Update from investor Touchstone.

Part of the consortium for the Ghana Refining and Petrochemicals Consortium.

#refining 

Data incomplete!

Assumed 100% subsidiary of UIC Singapore, but requires confirmation.

#refining 

Investor into the Ghanain Refinery (hub) project

#refining 

Credit: Petro Rabigh, Rabigh Phase 1

Saudi Aramco, has signed a definitive agreement to acquire an additional stake of approximately 22.5% in Rabigh Refining and Petrochemical Co. (“Petro Rabigh”), the refining and petrochemical complex located on the Kingdom of Saudi Arabia’s west coast, from Sumitomo Chemical for $702 million.

Aramco and Tokyo-headquartered Sumitomo Chemical currently each own 37.5% of shares in Petro Rabigh, which was listed on the Saudi Exchange in 2008. Upon completion of the transaction, which is priced at SAR7 per share, Aramco will become Petro Rabigh’s largest shareholder with an equity stake of approximately 60%, while Sumitomo Chemical will retain an equity stake of 15%. The transaction, which is subject to customary closing conditions including regulatory approvals and other third-party approvals, is part of a package of financial measures intended to reinforce Petro Rabigh’s financial position.

Under the terms of the share sale and purchase agreement, all proceeds received by Sumitomo Chemical from the sale will be injected into Petro Rabigh, through a mechanism to be agreed with Petro Rabigh. Aramco will also provide additional funds to Petro Rabigh, via a mechanism also to be agreed, matching the $702m from Sumitomo Chemical to improve Petro Rabigh’s financial position and support Petro Rabigh’s future strategy, bringing the aggregate injection amount to US$1.4 billion.

In addition, Aramco and Sumitomo Chemical have agreed to a phased waiver of shareholder loans of $750m each, which will result in a $1.5bn direct reduction in Petro Rabigh’s liabilities.

These measures are expected to improve Petro Rabigh’s balance sheet and cash liquidity as part of a remedial plan that Aramco and Sumitomo Chemical intend to explore with Petro Rabigh, which also includes initiatives to upgrade the refinery with the aim of helping improve the profitability of the business. The agreement also aligns with Aramco’s downstream expansion and Sumitomo Chemical’s move away from commodity chemicals toward specialty chemicals.

Source: Aramco news, 7^th Aug 2024

#refining  #refinery  #aramco  #sumitomo 

Oil company Chevron is moving its headquarters from California to Houston after repeated warnings that the Golden State's regulatory environment makes it difficult to do business there. The move announced Friday will end the company's more than 140-year existence in the largest U.S. state.

Chevron has already scaled back new investment in California refining, citing "confrontational" government policies in a state with some of the strictest environmental rules in the US. In January, refining chief Andy Walz warned that the state was playing a "dangerous game" with climate rules that threaten to spike gasoline prices.

Chevron joins a long list of California emigrants that includes Oracle Corp., Hewlett Packard Enterprise Co., Tesla Inc. and Social Network X. The migration among former Silicon Valley tech giants has been driven largely by tax and cost-of-living considerations, according to Bloomberg.

However, according to Ilon Musk's view, it's not so much about taxes as it is about policies implemented by the state's leadership. And that includes the green agenda (with its taxes on conventional oil and gas) and drug liberalization and so on.

#usa  #texas  #california  #chevron  #oilandgas  #refining  #netzero  #carbontax  #greenagenda 

Sunset on a refinery

"Oil refineries across Europe will be forced to shut as the West abandons fossil fuels in the race to net zero," – said BP CEO Murray Okincloss, commenting on the company's financial statements, The Telegraph reports.

He believes that older and smaller refineries in the EU will close or switch to biofuels as conventional oil refining becomes unprofitable due to a combination of soaring fuel taxes and falling demand from drivers switching to electric cars.

“So I would expect the least efficient refineries, which are the smallest, oldest around the world, to gradually close down as the world transitions over the next 10 to 30 years.”

BP has four refineries in Europe, three of which are already planned for conversion to produce biofuels including sustainable aviation fuel (SAF). Grangemouth Refinery in Scotland, which is owned by Ineos, employs 500 people but is scheduled to shut early next year.

Data from Fuels Europe shows that refining capacity in the EU, as well as in the UK, Switzerland and Norway, is already declining. Capacity has fallen from 781 million tonnes a year in 2009 to 677 million tonnes now. This means that Europe accounts for about 15% of the world's refining capacity - well behind the US with 21% or  APAC with 36%.

Contradicting the statements reported above, BP said in June that it was scaling back this year’s plans for the development of new sustainable aviation fuel (SAF) and renewable diesel projects at its existing sites, pausing planning for two potential projects while continuing to assess three for progression, according to Oilprice.

“This is aligned with BP’s drive to simplify its portfolio, focusing on value and returns,” the UK-based supermajor said.

In June, BP declared to continue investing in deepwater fields in the Gulf of Mexico, and made a statement saying it was "scaling back" new biofuels projects.

The company has tempered its enthusiasm for its low-carbon program, and with it cut its climate commitments, adapting to an operating model that assumes continued high oil demand into the 2040s and beyond.

“Labour policy says oil and gas production in the North Sea will be with us for decades to come ... They launched a consultation process with the sector last night and we’ll be engaged deeply with them on that,” Okincloss said.

The oil giant's net profit for the second quarter of this year was higher than expected ($2.76 billion). The company's low-carbon and natural gas division, on the other hand, performed poorly, posting a loss of $0.1 billion.

#refining  #refinery  #crudeoil  #naturalgas  #oilandgas  #europe  #saf  #sustainableaviationfuel  #renewablediesel  #biofuels 

Credit: @ExxonMobil, Port-Jérôme (Gravenchon) refinery

ExxonMobil Chemical 🇫🇷 France (EMCF) announced on April 11 the definitive shutdown of the steam cracker and the polyethylene, polypropylene, adhesives and associated logistics facilities units at the Gravenchon site in Port-Jérôme-sur-Seine (Seine-Maritime) in 2024. This will result in the loss of 677 jobs out of a workforce of 2,400 employees in France during 2025, the company said in a press release. In detail, 647 positions will disappear on site and 30 at the company's management in Nanterre (Hauts-de-Seine). The Port-Jérôme refinery activities are not affected. The site will continue to produce and supply fuels, lubricants, base oils and bitumens. Similarly, the activity of Infineum, the joint venture between ExxonMobil and Shell for the production of additives, is not part of the announcement. In 2020, 35 million euros were invested in these operations also located in Gravenchon.

#fuels  #lubricants  #bitumen  #polyethylene  #polypropylene  #steamcracking  #steamcracker  #refining  #refinery  #france  #exxonmobil 

Saudi Aramco is betting that the internal combustion engine will be around for a "very, very long time" as the world's largest oil company sees a business opportunity in the growing popularity of electric vehicles.

The state-owned oil group, which generated $500 billion in revenue last
year mainly from the production and sale of crude oil, acquired a 10 percent stake in Horse Powertrain for €740 million in June 2024, a company that makes internal combustion engines.

The calculation by Saudi Aramco and Horse's other shareholders - Chinese automaker Geely and its French rival Renault - is that as the industry stops designing and developing its own internal combustion engines, it will start buying them from third parties, the Financial Times said.

"It will be incredibly expensive for the world to completely eradicate or do away with internal combustion engines," said Yasser Mufti, Saudi Aramco's executive vice president in charge of the deal. "If you look at
affordability and a lot of other factors, I think they will be around
for a very, very long time."

Asked if he thought internal combustion engines would exist forever, Mufti answered in the affirmative. Saudi Aramco has previously said it believes that even in 2050, more than half of all cars will still be running on some form of fuel.

Photo: Aramco News, 28^th June 2024
At the signing ceremony, front row, from left: Renault Group Senior Vice President of International Development & Partnerships Francois Provost, Aramco Senior Vice President of Technology Oversight & Coordination Ali A. Al Meshari, and Geely Head of Strategy & Partnership (Chairman’s Office) Fiona Fei. Back row, from left: Valvoline Global Operations CEO Jamal Muashsher, HORSE Powertrain Limited CEO Matias Giannini, Aramco Executive Vice President of Products & Customers Yasser M. Mufti, Geely General Counsel Tihua Huang, and Aramco Vice President of Downstream Growth & Development Andrew Katz.

#diesel  #gasoline  #aramco  #crudeoil  #refining  #fuels  #combustionengines 

Mass Balance of SOCAR Türkiye Refinery initialized with crude oil imports.

#crudeoil #massbalance  #Refinery #refining 

Al Zour refinery in 🇰🇼 Kuwait was officially commissionned on 29^th May 2024.

#crudeoil  #lng  #refining  #Refinery

Go to Solutions

#Sustainability #hydrogen  #refining 

Aramco, one of the world’s leading integrated energy and chemicals companies, has entered into discussions with Hengli Group Co., Ltd. (“Hengli Group”) regarding the potential acquisition of a 10% stake in Hengli Petrochemical Co., Ltd. (“Hengli Petrochemical”), subject to due diligence and required regulatory clearances.

The companies signed a Memorandum of Understanding (MoU) regarding the proposed transaction, which aligns with Aramco’s strategy to expand its downstream presence in key high-value markets, advance its liquids-to-chemicals program, and secure long-term crude oil supply agreements.

Hengli Petrochemical, a controlled subsidiary of Hengli Group, owns and operates a 400,000 barrel per day refinery and integrated chemicals complex in Liaoning Province, China, and several plants and production facilities in Jiangsu and Guangdong Provinces.

Source: SAUDI ARAMCO NEWS | DHAHRAN, SAUDI ARABIA | APRIL 22, 2024

#refining  #crudeoil  #petrochemicals  #China

As per Wood Mackenzie "Global data and analytics" they are not expecting further refinery closure in Europe, other than the already announced of PetroIneos in Grangemouth and the Shell CDU closure in Koeln.

For full overview of Refineries go to our Refinery-Module.

#Refinery #refining 

Operating performance at small private Chinese refineries has plummeted to a two-year nadir. This downturn, excluding factors like the Shanghai quarantine and the onset of the pandemic, marks the most significant decline since nearly 2016. Notably, diesel constitutes the primary output of these "underground" refineries.

The impetus behind the refinery cutbacks stems from dwindling demand in various sectors, notably the housing market, as reported by Bloomberg. Concurrently, Chinese production has been on a downward trajectory since September.

Diesel prices have cascaded to their lowest echelon since July. In a bid to uphold respectable profit margins—reportedly hovering around the 10-year average, according to Mysteel OilChem—these refineries are curtailing production, albeit at the expense of volume.

Mysteel OilChem underscores the dire lag in diesel demand for refining, spanning from mining to infrastructure development.

"Serving as a cornerstone of China's refining capacity, underground refineries currently grapple with diminished profits from bitumen—a key component in road paving—as well as escalating crude oil prices," reports Mysteel OilChem.

A semblance of reprieve may emerge with the onset of the farming season and the potential renewal of U.S. sanctions on Venezuela, posits Energy Aspects Ltd., which could precipitate a dip in oil prices.

#china  #refinery  #refineries  #refining 

Recent discussions spotlight the potential sale of Lukoil Neftochim in Bulgaria, echoing a broader narrative of severing ties with Russia. Bloomberg's analysis underscores the significance for Bulgaria to distance itself from Russian influence, particularly by ousting Lukoil from the country, aligning with EU and NATO allies.

Amidst Bulgaria's evolution since the end of communist rule, divesting from Russian interests emerges as a crucial step. Contrasting Hungary and Serbia, severing ties would solidify Bulgaria's allegiance to Western alliances.

Critical to this transition, as per Bloomberg and Bulgarian officials, is the acquisition of Lukoil Neftochim by a reputable international entity from Europe, the US, or the Gulf states. This move aims to dismantle Lukoil's sway over Bulgaria's political and economic spheres.

Emphasizing the need for independence in critical supplies, the Bulgarian government aims to avoid reliance on unfriendly nations like Russia. Yet, sentiments within Lukoil Neftochim, employing approximately 1300 individuals, reflect a fondness for the Russian company, underscoring historical ties.

While Lukoil has not publicly announced intentions to sell the refinery, speculation persists, with the Bulgarian Finance Ministry suggesting active pursuit of potential buyers. Litasco SA, Lukoil's international marketing and trading arm, refrained from comment, further fueling speculation surrounding the refinery's fate.

#bulgaria #russia  #refining #Refinery 

Assumed shareholding change from the 1st of January 2024

#refining #Refinery 

Following the sale from Esso, the Refinery-Site was assigned to Bangchak Corporation.

#refining 

Hydrogen hype is creating new opportunities in many places

#hydrogen #refining 

"bp is transitioning its former oil refinery site into an energy hub. Subject to internal and Government approvals, the new hub plans to produce and supply renewable fuels and energy products to support our net zero ambitions."

Kwinana Energy Hub | Who we are | Home (bp.com)

Modelled Bio-Refinery, which is connected with the Cepsa Refinery in Huelva. #refining 

The Co-op Refinery Complex (CRC) is investing more than $89 million in its 2023 Turnaround. Over approximately 60 days, parts of the facility will be taken down for repairs, maintenance and upgrades as part of the annual mega-project. The investment is an integral part of ensuring that the Refinery continues to operate safely and reliably. #refining 

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Following Saudi Aramco's expansion in China #refining 

Following announcement from Aramco #refining 

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Also investor in Bio-Refinery and Hydrogen projects. #refining  #hydrogen 

Major Bio-Refinery and Hydrogen project. #refining  #hydrogen 

Holding company of major refinery in Pakistan #refining