Page 6 - MEOG Week 50 2021

MEOG PIPELINES & TRANSPORT MEOG

Idemitsu receives

Emirati blue ammonia

UAE JAPANESE refiner Idemitsu this week said it to have signed ammonia deals with ADNOC,
had received the first shipment of blue ammonia with Inpex and Itochu having all agreed supply
from Abu Dhabi National Oil Co. (ADNOC) contracts this year, while various South Korean
following a deal in August. firms have done the same.
The cargo was shipped from the Fertil plant The ammonia was produced using gas feed-
at Abu Dhabi’s Ruwais downstream hub in the stock supplied by ADNOC and CO2 emitted in
west of the emirate and arrived at the 255,000 its production was captured and stored for use
barrel per day (bpd) Yokkaichi refinery in Japan in the company’s enhanced oil recovery (EOR)
on December 9, and has now been transferred efforts.
into an ammonia tank at the facility. Fertiglobe is the largest export-focused nitro-
According to the Japanese firm, the ammonia gen fertiliser platform globally, and the largest
was shipped in liquefied form using an ISO tank producer in MENA with an output capacity of
container. It will be used in the refinery’s boiler 5mn tonnes per year of urea and 1.5mn tpy of
and furnaces to reduce nitrogen oxide (NOx) merchant ammonia from facilities in Algeria,
emissions. Egypt and the UAE.
The contract was signed between Idemitsu The JV is working with holding company
and Fertiglobe, a joint venture between chemi- ADQ, Japan’s Mitsui and Korea’s GS Energy to
cals specialist OCI and ADNOC that was listed develop a new world-scale 1mn tpy blue ammo-
on the Abu Dhabi Securities Exchange (ADX) nia project at TA’ZIZ Industrial Chemicals
earlier this year. ADNOC was responsible for Zone in Ruwais in addition to the 300,000 tpy of
transporting the ammonia. hydrogen it already produces at the downstream
Idemitsu is one of several Japanese companies hub.™

PRICES & PERFORMANCE

Iraq to finalise repayment

of war dues to Kuwait

IRAQ/KUWAIT IRAQ will reach a major milestone in the next around $629mn
few weeks when it completes the payment of The Iraqi official heading up a govern-
reparations to Kuwait for damage caused during ment committee to co-ordinate with the UN,
the invasion of the country in 1990. The Central Abdul-Basit Turki told Asharq Al-Awsat: “Once
Bank of Iraq (CBI) last week announced that it everything has been paid, the UN should act
confirmed the possibility of paying the “entire immediately to terminate the sanctions,” adding
remaining amount of compensation before the that the country’s Foreign Ministry should call
end of the current year 2021 to end this file”. for a UN Security Council meeting to remove
Kuwait has received around $52bn in repara- punitive measures against Baghdad.
tions from Iraq since 1991, including 5% of all oil Payments were halted in 2014 as Iraq fought
revenues since 2010. The funds are transferred off the invasion of so-called Daesh, and only
in an account with the US Federal Reserve then resumed in 2018.
passed on to a United Nations-operated com- That year, the two governments held high-
pensation fund. level talks over the import of gas as payment
On December 9, the CBI said it had “termi- in kind for the remaining outstanding $4.6bn
nated all necessary banking arrangements with of reparations. Gas exports were due to start at
the US Federal Reserve to stop the automatic 50mn cubic feet (1.4mn cubic metres) per day
deduction of Kuwait’s compensation from Iraqi before rising to 200 mmcf (5.7 mcm) per day.
crude oil export revenues”. However, with Iraq remaining, until now, reli-
Following the payment of $490mn in Novem- ant on Iranian gas for electricity generation, the
ber, the outstanding amount is understood to be flows are yet to begin.™

P6 www. NEWSBASE .com Week 50 15•December•2021