Petrohemija Pancevo to launch project of construction of new polypropylene factory worth EUR 150 million – Two options in play, tender for technical documentation opened

HIP-Petrohemija a.d. Pancevo has opened the tender for the preparation of the technical documentation, the obtaining of the requirements, approvals, permits and the provision of other services, concluding with a valid building permit, decisions on the approval of the execution of works and a water permit, necessary for the realization of the project “The construction of new production capacities for the filtering of propylene and the production of polypropylene.”

According to the tendering documentation, two options are in play at the moment – a projected capacity of 140,000 tons of polypropylene a year and a projected capacity of 240,000 tons of polypropylene a year.

The capacity of the new factory will be chosen, as added, before the beginning of the FEED phase of the project, that is, in the fourth quarter of this year. The FEED project will further be done for one selected projected capacity: either 140 KTA or 240 KTA of the final propylene product per year.

The 140 option entails a new monomer (PGP) filtering facility, with a projected capacity of 140 KTA of propylene and a new polypropylene (PP) factory with a projected capacity of 140 KTA of the final polypropylene product.

For this option, the new factory will be supplied with the propylene from Petrohemija’s facility for the processing of crude petrol (the “Etilen” factory), the Refinery’s facility FCC, unreconstructed, as well as from the reservoir system in Block 16.

For the 240 option, the new factory will also be supplied with propylene from Petrohemija’s facility for the processing of crude petrol (the “Etilen” factory), as well as the Refinery’s facility FCC, but reconstructed, and the reservoir system in Block 16. This option entails supply from the new (future) facility in Petrohemija for the conversion of olefin.

This option is to be realized in two phases. The first phase includes a new facility for the filtering of monomer (PGP), with a projected capacity of 240 KTA of propylene and a new factory of propylene (PP) with a projected capacity of 240 KTA of the final polypropylene product.

Upon the completion of phase I, the propylene factory will produce 200 KTA of the final polypropylene product.

Phase II entails a new facility for the conversion of olefine, with a projected capacity of 50 KTA of propylene. The future new facility will secure additional quantities of propylene with a polymerization purity, whereby, upon the completion of phase II, the propylene factory will work at a projected capacity of 240 KTA of the final polypropylene product. Phase II is a continuation of the development of the project and is not the subject of the technical task.

The deadline for the application at the tender is June 17, and more details (in Serbian) can be found HERE.

Let us remind that the CEO of Naftna Industrija Srbije (NIS), Kirill Tyurdenev, stated recently at the Kopaonik Business Forum that NIS would invest more than EUR 150 million in the construction of a new petrochemical factory.

– We plan to invest over EUR 150 million in the construction of a new petrochemical factory, a facility for the production of polypropylene in Petrohemija Pancevo – Tyurdenev said at the time, talking about the company’s plans.

I. Z.

HIP-Petrohemija a.d. Pančevo

NIS a.d. Novi Sad

NIS a.d. Petrol Rafinerija nafte Pančevo

HIP Petrohemija ad Pančevo

Naftna industrija Srbije

NIS

Pančevo Oil Refinery

Kirill Tyurdenev

construction of polypropylene factory

polypropylene

propylene