ExxonMobil Chemical in late December confirmed plans to close its standard butyl rubber plant at Notre Dame de Gravenchon
the closure was being discussed with the site's works council
Current plans call for the shutdown to take place in the third quarter of 2015
with workers to be offered jobs at other company sites
The petrochemicals subsidiary of the US oil group said it would continue to produce standard butyl rubber at other facilities
It added that the shutdown in France had "no impact" on its halobutyl operations
ExxonMobil claims to have the world's largest installed capacity for halobutyl rubber
which it produces in the US and UK as well as in a Japanese joint venture
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Esso Societe Anonyme Francaise (SAF)—a majority owned subsidiary of ExxonMobil Corp
(82.89%)—has entered a formal deal for the sale of its 140,000-b/sd (133,000-b/d) Fos-sur-Mer integrated refinery in the Bouches-du-Rhône region of southern France’s Provence-Alpes-Côte d'Azur
Esso SAF will sell its refining and logistics operations in southern France
including the Fos-sur-Mer refinery and Toulouse (Fondeyre) and Villette de Vienne terminals
a consortium of Entara LLC and Trafigura Pte Ltd.
Official signing of the deal follows completion of previously announced formal information and consultation with Esso SAF employee representative bodies required as part of the sales process
While discussions with relevant authorities remain ongoing
Esso SAF said it anticipates finalizing the divestment by yearend 2024
Entara and Trafigura separately said they expect to receive all necessary authorizations for completing the transaction by end-October 2024
Upon announcing the proposed transaction in April, Esso SAF confirmed its sale of the southern French refining and logistics assets would include transfer of 310 employees of Esso Raffinage and Esso SAF working at the sites to Rhône Energies in accordance with regulations currently in force (OGJ Online, Apr. 11, 2024)
The proposed divestments come as part of Esso's long-term strategy in France aimed at maintaining the competitiveness of its operations
Esso SAF previously said it would continue to guarantee continuity of supply fuels and specialty products such as lubricants
and bitumen to its customers in the south of France from the operator’s 244,000-b/sd (231,800 b/cd) Notre-Dame-de-Gravenchon refinery in Port-Jérôme-sur-Seine
Rhône Energies said it aims to capitalize on the Fos-sur-Mer refinery’s existing skilled teams and strong manufacturing performance to further improve the site’s margin capture
and process utilization to maximize output of high-value products
Alongside proposed investments in personnel and process safety
Rhône Energies has also committed to investing in sustainability measures at the refinery to reduce its carbon intensity footprint
as well as in growth projects to enable further co-processing of biogenic feedstocks for production of renewable fuels
Under terms of the proposed acquisition—financial details of which remain confidential—Trafigura has agreed to enter into a minimum 10-year exclusive crude oil supply and product offtake agreement
including ownership of crude oil and product stocks in tank
to ensure the refinery has a secure supply of on-demand feedstock at competitive costs
as well as a reliable off-taker of refined products destined to the domestic market
In its second-quarter 2024 earnings update on Aug
Esso SAF confirmed the requisite information and consultation process
remain under way for the proposed permanent shutdown of ExxonMobil’s 100%-owned ExxonMobil Chemical France (EMCF) primary chemical production unit at its Gravenchon site co-located near Esso SAF’s Gravenchon refinery in Port-Jérôme-sur-Seine
First announced in April in parallel with Esso SAF’s proposed divestment of the Fos-sur-Mer refining and logistics assets
planned shutdown of EMCF’s Gravenchon steam cracker will not impact refining activities at Esso SAF’s Gravenchon site
Esso SAF reconfirmed in a July 11 letter to shareholders
EMCF’s planned shutdown of the Gravenchon steam cracker—which produces 400,000 tonnes/year (tpy) of ethylene—will include closure of related derivatives units and logistics installations as part of ExxonMobil’s plan to maintain competitiveness of its European operations
In addition to committing to providing enhanced support measures to help secure employment for 677 employees that will lose their jobs as a result of the Gravenchon chemical complex’s closure
ExxonMobil previously confirmed ongoing work to determine ways it can assist in creating new uses for the lands made available following remediation of the manufacturing site
EMCF’s Gravenchon complex also produces 400,000 tpy of polyethylene and 300,000 tpy of polypropylene
Robert Brelsford joined Oil & Gas Journal in October 2013 as downstream technology editor after 8 years as a crude oil price and news reporter on spot crude transactions at the US Gulf Coast
He holds a BA (2000) in English from Rice University and an MS (2003) in education and social policy from Northwestern University
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The Exxon Mobil refinery in Notre-Dame-de-Gravenchon
2024 at 3:14 PM EDTBookmarkSaveExxon Mobil Corp
said its Gravenchon oil refinery in northern France
which has been blockaded by protesters in recent days
(Bloomberg) -- A strike at Exxon Mobil Corp.’s Gravenchon oil refinery in northern France is complicating the production of fuels at the site
repeating that the plant is at risk of halting
The government is aware of the potential impact to energy supplies if the refinery were to shut down and needs to ensure the plant’s safe operation to avoid disruption
Exxon said in an emailed response to questions
depending on how often materials can be delivered,” Exxon said
“A blockade has made it difficult to get important materials into the site
which could affect critical energy supplies to northern France.”
Workers at the Gravenchon plant are protesting over the company’s decision to close chemical operations this year
Exxon said last week it may have to halt the refinery
(Corrects to remove reference to operations being disrupted in headline.)
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ExxonMobil Corp.’s majority held Esso SA Francaise (SAF) has yet to determine the cause of a fire that broke out on Mar
11 at the operator’s integrated 231,800 b/d Notre-Dame-de-Gravenchon refining platform in Port-Jérôme-sur-Seine
was quickly contained and subsequently extinguished by an on-site team by 4:00 a.m
at which time the manufacturing platform’s internal emergency operation plan also was lifted
While Esso SAF confirmed the refinery is currently mobilized to supply customers
the operator said it remains unable to provide information regarding what caused the fire or the extent of damage resulting from the incident
Of five employees injured during the event
only one remained under observation at a local hospital as of 11:30 a.m
The operator said it is continuing to work with relevant authorities and emergency services to assess the situation as well as determine necessary means to be implemented for repairs
the Gravenchon refinery began manufacturing sustainable aviation fuel (SAF) via co-processing of renewable feedstock such as vegetable oils
and waste oils with crude oil in existing units at the site in line with the refinery’s goal of producing more than 160,000 tonnes/year (tpy) of low-carbon fuels—including SAF—by 2025
While Esso SAF did not reveal a current volume of SAF production at Gravenchon
the operator said co-processing activities at the refinery—which began in May 2022—form part of ExxonMobil’s broader global ambition to deliver about 2 million tpy of low-emission fuels by 2025 and 11 million tpy by 2030
The Gravenchon refinery fire follows Esso SAF’s Mar
8 confirmation that it began the process of restarting units taken offline on Jan
20 as part of a major scheduled maintenance shutdown at the operator’s 126,350-b/d Fos-sur-Mer integrated refinery in the Bouches-du-Rhône region of southern France’s Provence-Alpes-Côte d'Azur
Unidentifed units involved in the routine maintenance event—which also involved works to improve the refinery’s energy efficiency
as well as thermal integration projects to reduce carbon dioxide emissions at the site as part of the operator’s decarbonization strategy—are slated to return to full
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Reporting by Rowena Edwards; editing by David Evans
The chemical recycling technology company Plastic Energy has commissioned a pilot plant at its research and development labs at Loughborough University Science & Enterprise Park (LUSEP) in the United Kingdom
Plastic Energy plans to test the output of its recycling process
and to improve the quality of the final product
Another aim is to optimise the efficiency and design of Plastic Energy's large-scale projects going forward
the lab will employ the same process on which the company's larger plants are based
during which the input material is heated in the absence of oxygen
The resulting Tacoil may be used in the production of new monomers for plastics production
"As Plastic Energy continues to expand globally
the pilot plant will be instrumental in helping Plastic Energy to test new feedstocks
further scale up its process and optimise our chemical recycling technology," commented David McNamara
Plastic Energy is engaged in a number of projects with high-profile partners. The company has two operational chemical recycling plants in Spain (in Almeria and Seville). In addition, the company is building an advanced recycling unit together with petrochemicals giant Sabic in Geleen
This project was reported to be "in the final stages of construction" in July
The plant had originally been slated to go online in the second half of 2022
the facility was expected to go online sometime this year
Customer Service+49 7224 9397-701servicenoSpam@GO-AWAYeuwid.de
Editorial Team+49 7224 9397-0recyclingnoSpam@GO-AWAYeuwid.com
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Esso Societe Anonyme Francaise (SAF)—a majority owned subsidiary of ExxonMobil Corp. (82.89%)—has entered formal discussions for the sale of its 140,000-b/sd (133,000-b/d) Fos-sur-Mer integrated refinery in the Bouches-du-Rhône region of southern France’s Provence-Alpes-Côte d'Azur.
Esso SAF has entered exclusive negotiations to sell its refining and logistics operations in southern France, including the Fos-sur-Mer refinery and Toulouse (Fondeyre) and Villette de Vienne terminals, to Rhône Energies, a consortium of Entara LLC and Trafigura Pte Ltd., the four companies said in separate releases on Apr. 11.
The proposed transaction—which remains subject to a formal information and consultation procedure already underway with Esso SAF employee representative bodies, as well as to regulatory approvals—would include transfer of 310 employees Esso Raffinage and Esso SAF working at the sites to Rhône Energies in accordance with regulations currently in force, Esso SAF said.
The proposed divestments come as part of Esso's long-term strategy in France aimed at maintaining the competitiveness of its operations, while guaranteeing continuity of supply to its customers in the south of France, according to Charles Amyot, chief executive officer and chairman of Esso SAF.
“We are convinced that under the leadership of Rhône Energies and thanks to its support, the teams will continue to work tirelessly to supply the energy products needed on the market while continuing the site's commitment to the energy transition,” said Amyot.
Following the proposed sale, Esso SAF said it will continue supplying customers in throughout the region with fuels and specialty products such as lubricants, base oils, and bitumen, from its 244,000-b/sd (231,800 b/cd) Notre-Dame-de-Gravenchon refinery in Port-Jérôme-sur-Seine, Normandy, in northern France.
Under terms of the proposed acquisition—financial details of which remain confidential—Trafigura said it would enter into a minimum 10-year exclusive crude oil supply and product offtake agreement, including ownership of crude oil and product stocks in tank, to ensure the refinery has a secure supply of on-demand feedstock at competitive costs, as well as a reliable off-taker of refined products destined to the domestic market.
Upon completing the acquisition, Rhône Energies said it plans to further improve the refinery’s margin capture, crude flexibility, and process utilization, and to invest in sustainability of the site to reduce its carbon intensity footprint.
Rhône Energies confirmed additional investments into the refinery would entail growth projects to enable further co-processing of biogenic feedstocks for production of renewable fuels.
Completion of the proposed transaction is anticipated by the end of 2024, the parties said.
Announcement of Esso SAF’s proposed divestment of the Fos-sur-Mer refining and logistics assets comes on the same day as ExxonMobil’s 100%-owned ExxonMobil Chemical France (EMCF) revealed its plan to permanently close the primary chemical production unit at its Gravenchon site co-located near Esso SAF’s Gravenchon refinery in Port-Jérôme-sur-Seine.
Following more than €500 million in losses since 2018, EMCF aims to shut down its Gravenchon steam cracker—which produces 400,000 tonnes/year (tpy) of ethylene—as well as related derivatives units and logistics installations, the operator said.
“Despite efforts to reduce costs and improve the site’s economics, [the site] not competitive in the market…[as] configuration of the steam cracker, its small size compared to newer units, high operating costs in Europe, and higher energy prices make it uncompetitive,” ExxonMobil said.
Anticipated to occur in 2024 but still subject to relevant government approvals, the proposed closure would result in the loss of 677 ExxonMobil jobs in France that would be reduced over time through 2025. No employment separation is considered before 2025, the company said.
As part of the proposed shuttering, ExxonMobil said it plans to close associated buildings, decommission equipment, and over time, fully remediate the site.
A separate entity, the Esso Gravenchon refinery in Port-Jérôme-sur-Seine, remains financially stable, and in current market conditions, will continue to operate and supply France with fuels, lubricants, basestocks and asphalt, ExxonMobil confirmed.
Regarding the impacted workforce, the operator said it will initiate its search for individual and collective solutions following consultation with applicable works councils, and enhanced support measures aimed at helping employees finding new jobs will be made available.
In the meantime, ExxonMobil said it is already contemplating options for how it can assist in creating possible new uses for the lands made available following remediation of the chemicals manufacturing site.
In addition to ethylene, EMCF’s Gravenchon complex also produces 400,000 tpy of polyethylene and 300,000 tpy of polypropylene, according to ExxonMobil’s 2023 annual report to investors.
Robert Brelsford joined Oil & Gas Journal in October 2013 as downstream technology editor after 8 years as a crude oil price and news reporter on spot crude transactions at the US Gulf Coast, West Coast, Canadian, and Latin American markets. He holds a BA (2000) in English from Rice University and an MS (2003) in education and social policy from Northwestern University.
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In addition to protests on the street, big oil companies are facing a growing push from their own investors to overhaul their business model in light of climate change.
At a shareholders meeting today in Dallas, ExxonMobil investors will vote on several advisory measures, including calls to cut spending on new oil exploration in the Arctic. The activist investors behind the measures, which are nonbinding, say flagging fossil fuel profits are evidence that the world's biggest oil company needs to adapt its business model.
Other Exxon investors say the proposals amount to the company planning its own demise.
Here & Now's Robin Young speaks with Natasha Lamb, a portfolio manager for Arjuna Capital, the investment company proposing the shareholder measures.
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says it and ExxonMobil Canada have closed the $1.9-billion sale of their oil and gas-producing assets in the Montney and Duvernay areas to Whitecap Resources Inc
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We apologize, but this video has failed to load.Try refreshing your browser, ortap here to see other videos from our team.Play VideoArticle contentThe two companies each owned 50 per cent of XTO Energy Canada, which held the assets, while Imperial itself is majority owned by ExxonMobil.
Imperial says the assets sold include almost 230,000 net hectares in the Montney shale and about 29,000 net hectares in the Duvernay shale, plus additional holdings in other areas of Alberta.
Whitecap says the acquisition will add the equivalent of about 32,000 barrels per day of production (including condensate and natural gas liquids) and over 2,000 drilling locations in the two fossil fuel plays.
Calgary-based Whitecap says the deal also includes a gas processing facility, and that integration of the acquired assets is already well underway.
Imperial said in January it would look to sell XTO Energy Canada as part of its strategy to focus on key oilsands assets.
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The American giant is set to shut down part of the petrochemical activities at its major site in northern France
and is selling its Fos-sur-Mer refinery in southern France to an American-Swiss consortium
By Adrien Pécout
Esso-ExxonMobil's Port-Jérôme-Gravenchon refinery in Port-Jérôme-sur-Seine (northern France) on December 26
MARTIN ROCHE / PHOTOPQR / OUEST FRANCE / MAXPPP The profits of the number one oil company in the United States
the American group has amassed a net profit of almost $92 billion (over €85 billion) between the beginning of 2022 and the end of 2023
approximately 2,400 employees of its French subsidiaries were dismayed
The main shock came first: ExxonMobil Chemical France announced the closure of a large part of its petrochemical activities by the end of the year
citing "more than €500 million in losses since 2018." This will result in "the cutting of 677 jobs" by 2025: 647 at the Gravenchon site in Normandy
in the commune of Port-Jérôme-sur-Seine (northern France)
and 30 at the company's head office in the Paris region
Another subsidiary made another announcement
While Esso intends to keep its refinery at this same Gravenchon site
it is preparing to sell its refinery at Fos-sur-Mer (southern France)
as well as its depots at Toulouse and Villette-de-Vienne (southeastern France)
As the 310 or so employees concerned have learned
a consortium is preparing to take control by the end of the year
The duo brings together Swiss commodities trading giant Trafigura – found guilty by the US courts in March in a corruption case in Brazil – and American refinery operator Entara
It promises to "maintain the current workforce."
You have 73.41% of this article left to read
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