The olefins analysts at Wood Mackenzie Chemicals tell us about the upcoming trends in the industry. Learn about changing technologies and the impacts they will have, the 3 key trends for olefins in Europe and the impact of ethane export terminals.
Impact of oil companies investing in petchems
We are seeing more and more traditional oil companies investing in the petrochemicals market. The best example of this is Saudi Aramco, who are investing both joint and wholly owned ventures globally.
Steve Zinger, SVP Chemicals at Wood Mackenzie Chemicals, discusses the affect that this will have on traditional petrochemicals players and pricing implications for commodity chemicals.
Olefins: New technology and ethane export terminals
The successful construction of ethane export terminals could drastically transform the ethylene markets in the United States with exports being discussed to the tune of 1 million barrels a day. This is equivalent to approximately 10 world-scale ethylene plants. Technology plays a big part in the chemicals industry. One disruptive technology we expect to see in the future is in 'crude oil to chemicals', which will change the game for the chemicals industry.
Steve discusses these changes to the olefins industry and what the result of these will be.
Three key trends in the European Olefins industry
Patrick Kirby discusses the three key trends we are seeing in the European Olefins industry today.
- Change in crude oil pricing environment – The increase in the crude oil price and changes to feedstocks for steam cracking and ethylene production is one area that European producers are managing closely.
- Trade between Europe and other parts of the world – We are currently on the verge of a big change in the industry with additional material moving from the United States to other parts of the world, which will have an impact on the European and global olefins industry.
- Number of investments in the industry – we are currently in a period of expansion across the European olefins industry with major investments from companies like INEOS who recently announced a €2.7 billion project for a world scale steam cracker and PDH plants within the region. Several other companies are in investment mode.
Watch the video where Patrick Kirby, Principal Analyst - Olefins Europe at Wood Mackenzie Chemicals discusses the implications of these changes.