Page 16 - DMEA Week 06 2021

DMEA NEWS IN BRIEF DMEA

Iran’s petrochemical output due to higher cost of sales. Cost of sales Petrobras started the binding phase related
The company said the decline was mainly
to the privatisation of another 3 refineries.
‘to reach 100mn tonnes by moved up to more than TRY3.9bn lira in Refining assets to be sold included
the 46,000 bpd Isaac Sabbá (REMAN)
2020 from TRY2.4bn in 2019, Sasa said in its
2022’ financials filed with Borsa Istanbul. refinery in Manaus (Amazona), the 8,000
bpd Lubricants and Oil Derivatives of
Sasa’s revenue for 2020 came in at
Iranian Petroleum Minister Bijan Namdar TRY5bn versus TRY2.8bn lira in 2019. the Northeast (LUBNOR refinery) in
Zanganeh has said that Iran’s petrochemical Gross profit from commercial operations Fortaleza (Ceará), and the 6,000 bpd Shale
production capacity will reach 100mn stood at TRY1.1bn last year, compared to Industrialization Unit (SIX) refinery in
tonnes/yr by 2022. He was speaking at the TRY315.4mn in the previous year. São Mateus do Sul (Paraná). In addition,
IranPlast conference in Tehran. Sasa, in operation in the polyester sector Petrobras is also selling the 166,000 bpd
Iran has more and more relied on hard for 55 years, produces polyester staple fibres, REGAN refinery in Betim (Minas Gerais).
currency revenues from petrochemical polyester-based and specialty polymers and
sales abroad since the US adopted a policy intermediates (DMT) and filament yarns.
of using sanctions to drive down Iranian US sells seized Iranian fuel
crude oil exports to as close to zero as
possible. The US also aims sanctions at Petrobras could sell the under sanctions programme
Iranian petrochemical exports, but given
the diversity of oil-based and gas-based 333,000 bpd LAM refinery to ollowing its sanctions program last year,
petrochemical products, the difficulty of the US managed to sell more than a
tracking the multitude of varied shipments Mubadala million barrels of seized Iranian fuel, as
of petrochemicals and the complexity Reuters reported.
of determining where petrochemical Petrobras has concluded the final round The seizures are part of Washington’s
components of finished products derived of the binding phase of the sale process of tough economic sanctions on Tehran
from—among other challenges—American the 333,000 bpd Landulpho Alves Refinery imposed over its nuclear programme and
officials face a daunting task in this area. (RLAM) and associated logistic assets in the US designation of a number of Iranian
Zangeneh also reportedly said that Iran’s Bahia (Brazil). Mubadala Capital, which is groups as terrorists, continuing decades of
petrochemical income would hit $25bn per the financial investment arm of Mubadala rancor between the two nations. Iran rejects
year by 2022, adding that plans were under Investment Company, an investment US accusations of wrongdoing.
way to further lift the amount to $37bn by vehicle owned by the government of Abu In fact, the administration of former
2026, based on an output capacity of around Dhabi (United Arab Emirates), presented US President Donald Trump used civil
133mn tonnes per year. the best final offer in an amount of forfeiture procedures to seize some 1.2mn
“Since the beginning of the current $1.65bn. Petrobras will need the approval barrels per day of gasoline it said were being
Iranian year [the year began on March 21, of the relevant corporate bodies to sign the sent from Iran to Venezuela aboard four
2020] five petrochemical projects from purchase and sale agreement. tankers.
investments of $3bn have been inaugurated In addition, Petrobras has decided to In light of the situation, the shipments,
by Iranian President Hassan Rouhani,” close the sale process for the Presidente the largest seizure by Washington of
Zangeneh noted. Getúlio Vargas Refinery (REPAR) in Paraná, Iranian fuel to date, were transferred to
He then referred to 19 petrochemical as the presented proposals fell short of the other vessels and sent to the United States,
projects coming on stream in a second company’s economic-financial evaluation. where the fuel was meant to be sold and
phase with a value of $11.4bn and combined Petrobras will start a new competitive the proceeds distributed to a fund for U.S.
capacity of 25mn tonnes/yr but did not process for the refinery. victims of state-sponsored terrorism.
specify a time frame for that phase.. In November 2019, Petrobras started the To remind, last week, the United States
final phase of the privatisation process of filed a lawsuit to seize another cargo, this
four refineries. As part of an antitrust deal one of crude oil it says came from Iran,
Net profit at Turkish with the Brazilian Ministry of Justice, the rather than Iraq.
company has been forced to sell 4 of its 13
Specifically, on February 3 2021, the
specialty polymers maker refineries, accounting for half of Brazil’s United States filed a forfeiture complaint in
the US District Court alleging that all oil
2.1 mb/d refining capacity. It includes the
Sasa hit by cost of sales 130,000 bbl/d Abreu e Lima (RNEST) aboard a Liberian-flagged vessel, called M/T
Achilleas, is subject to forfeiture based on
refinery in Pernambuco, the 333,000 bpd
Turkish specialty polymers and chemicals Landulpho Alves (RLAM) refinery in Bahia, US terrorism forfeiture laws.
manufacturer Sasa Polyester Sanayi has the 208,000 bpd Presidente Getúlio Vargas
reported 2020 consolidated net profit of (REPAR) refinery in Paraná and the 208,000
Turkish lira (TRY) 312.2mn ($44.3mn), as bpd Alberto Pasqualini (REFAP) refinery
against the TRY1.1bn recorded in 2019. in Rio Grande do Sul. In February 2020,

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