MOL Group Petrochemicals
MOL Group – A leading integrated oil and gas company
MOL plays a leading role in the Central European oil, gas
and petrochemical business
►
►
One of the best performing
integrated energy companies
in the world
Leader in core markets of
Hungary, Slovakia and in
Croatia
Operational integration
DOWNSTREAM
UPSTREAM
E&P
Gas Transmission
R&M
TVK (86.8% MOL
MOL Plc.
►
State of the art asset base
serving a high growth region
8.1% SN)
SN (98.4% MOL)
►
Highly successful regional
partnerships: Slovnaft, TVK,
INA, IES
Petrochemicals
SPC (100% SN)
IES (100% MOL)
INA (MOL 47,15 %, Croatian government 44 %)
2
MOL Group – A leading integrated oil and gas company
Crude to plastic optimisation
E&P
►5
►662
►
Data
MMboe SPE 2P
reserves
refineries with total
470,000 bbl/day
refining capacity
1600+ filling stations
Competitive
advantages
Hungarian onshore
operation has one of the
highest net cash margin
in Europe***
►
UGS with 1.2 bcm
strategic, 0.7 bcm
commercial capacity
►
Petchem plants in
Hungary and Slovakia
►
►880
kt ethylene
capacity
Enter to power
business with CEZ
►
1.2 Mt polymer
capacity
135.5 Mboe/day
production*
70-year experience in
CEE, international
presence for 20 years
Other Energy
►
►
►
Petchem
R&M
Producing assets in
7, exploration in 15
countries
►
Unbundling
2 refineries having one
of the highest net cash
margin in Europe since
2003**
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►Extensive
crude and
product pipeline system
►
Stable EUR-base
return on storage
business
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►
The largest
integrated olefin and
polymer player in CEE
►
Full operational
integration with R&M
►
Good geographical
position
►Growing
Strong market position
demand in
electricity
Gas transmission
►TSO
in Hungary
►5,560
km high
pressure gas
pipeline operator
Stable cash-flow
from regulated
Hungarian
transmission
►
►Unregulated
international transit
Good geographical
position
Growth
drivers
►
►
Production growth via
strong development
►
Refinery upgrade projects to become premium
refinery group in Europe
►
Smooth operation of
UGS
►
►Exploration
►
Joint optimisation of 5 refineries and 2 petchem
units
►
Building TPP in
Slovnaft Refinery
►
activity to
increase reserve base
Extend MOL’s outstanding efficiency to the whole group exploiting
synergy potential
►
Nabucco
►
Alternative energy
►
* MOL fully consolidate INA as of 30 June 2009, pro-forma 2009 data
** WoodMackenzie study (2003-2008)
*** Herold
Share from 2007-2009 EBITDA
Become a regional
hub
Doubling transit
volume
►
NETS
3
MOL Group - First mover in the regional downstream consolidation
2003 - 2007: Retail expansion
► Shell Romania – 2003
► Roth Company (Austria) - 2004
► 67% in Energopetrol with INA (BiH) - 2006
► Tifon (Croatia) - 2007
2008: Acquisition of further 22.2%
share in INA through a public offer
2009: Operational
control over INA
2007: Acquisition of IES (Italy)
2004: 98.7% stake in Slovnaft via public offer
2003: Acquisition of 25.0% in INA
2002: Gain control over Slovnaft (70.0%)
2001: Gain control over TVK (34.5%)
2000: Acquisition of 32.9% of TVK,
Acquisition of 36.2% of Slovnaft
4
Petrochemical value chain structure
MOL PETROCHEMICALS
naphtha,
LPG, gasoil
propylene
MOL Refining &
Marketing Division
ethylene
sales
olefin
monomers
Steam
Crackers
LDPE
HDPE
pygas, H2
i-butene
Raw-materials processed in 2009:
2.2 million tons
 naphtha: 1821 kt
 LPG: 339 kt
 gasoil: 52 kt
Polymer
units
polyolefins
Plastics
producers
PP
MOL Petrochemicals
(TVK+SPC)
 First choice supplier in domestic (H,
SK) polyolefin markets
 Strong positions in other CEE
markets – nice positions in WE
 SCM coordinated optimisation, fully
integrated with Refining
Polymer sales in 2009:
1.2 million tons
 LDPE: 233 kt
 HDPE: 394 kt
 PP: 527 kt
5
Petrochemicals – Crude to plastic optimization
Petrochemicals is a significant risk mitigator in the hydrocarbon value chain
R&M
Petrochemicals
Transfer to Petchem
16%
Petrochemicals support
R&M growth as captive
market for excess
gasoline through naphtha.
►
Refining
(naphtha, LPG, gasoil)
Olefins
(ethylene, propylene)
Polymers
(LDPE, HDPE, PP)
84%
Base transfers
Current annual feedstock transfer of 2.3Mt
from Refining to Petchem…
►
►
…and 0.6Mt from Petchem to Refining
6
naphtha
gasoil
LPG
propylene
* permanently shut down in 2009
propylene
ethylene
TVK, Tiszaújváros site
TVK PP 4
180 ktpa
Himont
1999
TVK PP 3
100 ktpa
Himont
1989
TVK HDPE 2
220 ktpa
Mitsui
2004
TVK HDPE 1
200 ktpa
Philips
1986
Polyethylene (LD/HD)
SPC, Bratislava site
SPC PP 3
255 ktpa
Dow
2005
SPC LDPE 3
88 ktpa
CDF
1977
*
TVK LDPE 2
65 ktpa
BASF
1991
Olefins
SPC LDPE 2
40 ktpa
ICI
1976
TVK LDPE 1
32 ktpa
ICI
1970
TVK Steam Cracker 2
290 ktpa
Linde
2004
Ethylene sales
SPC LDPE 1
50 ktpa
ICI
1964
SPC Steam Cracker
219 ktpa
ABB Lummus
1975
naphtha
gasoil
LPG
TVK Steam Cracker 1
370 ktpa
Linde
1975
REFINERIES
MOL Petrochemicals: Key assets and product flows
Polypropylene
propylene
by-products
ethylene
by-products
7
Local presence of MOL Petrochemicals
Focus markets:
► Western Europe: niche position
► Central Europe including: Hungary, Slovakia, Czech Republic, Poland, Romania, the Balkans (BG,
BiH, CRO, SRB, CG, MAC, SLO), the Baltics (Latvia, Lithuania, Estonia)
► EE: Ukraine
R=1000 km circles
with TVK/SPC in focal points
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One of the largest polyolefin players in CEE
Polyolefin capacities in the region*
145
140
120
105
Basell-Orlen
Polyolefins
Polymir
DIOKI
Dow
HDPE
420
355
400
Polimeri Europa
500
MOL
Petrochemicals
0
Borealis
(Schwechat)
100
86
80
60
50
HIP
155
Rompetrol
Petrochemicals
160
200
Petrom
(Arpechim)
LDPE
247
LukoilNeftekhim
300
Our competitive
advantages:
► efficient
assets
► up-to-date
product
portfolio
320
300
► our
175
75
100
1000
970
HIP
Lukoil
Borealis
(Burghausen)
Basell-Orlen
Polyolefins
Unipetrol
(Orlen)
MOL
Petrochemicals
0
60
30
Petrom (OMV)
(Arpechim)
100
Rompetrol
Petrochemicals
200
PP
700
535
* Region contains: H, CZ, SK, PL, SLO, A, CRO,
RO, BiH, SR, CG, MAC, GR, BG, UA, BLO, EGermany, N-Italy
400
400
290
215
200
180
140
Lukoil
Hellenic
Petroleum
Dow
Unipetrol
(Orlen)
Basell-Orlen
Polyolefins
MOL
Petrochemicals
Borealis
0
Rompetrol
KazMunaiGaz)
60
100
30
Hipol
300
regional position
to rapid
growth regions of
Eastern Europe
800
500
► strong
► proximity
900
600
integrated and
optimised feedstock
supply
9
Polyolefins production capacity
►
Commodity products, competitive quality
►Grades
in portfolio for each major application area
►Flexibility
to develop tailor-made products
Trade name
TIPPLEN
PP
HDPE
Capacity
(kt/a)
180
Licence
Basell (Spheripol)
100
Start Up
1999
Location
TVK, HU
1989
TATREN
255
DOW (Unipol)
2005
SPC, SK
TIPELIN
200
Philips Petroleum
1986
TVK, HU
220
Mitsui Chemicals
2004
55
ICI
1970
65
BASF
1991
50
ICI
1964
TIPOLEN
TVK, HU
LDPE
BRALEN
40
88
SPC, SK
1975
CdF Chimie
1977
10
Applications
Application
TIPOLEN
BRALEN
Tubular
Autoclave
Extrusion, blow moulding


Thick general purpose films


Shrink films


Thin packaging films


Extrusion coating

Injection moulding

Special high MFR grades

Strengths of LDPE:
MFI (Melt Flow Index) in range 0,3 to 200 (synonyms of Melt Flow Index are Melt Flow Rate and Melt
Index)
Grades of stable quality from autoclave and tubular process are available
Film grades from tubular process shows very good optical properties, drawability and broad
processing-window
Special very high MFI grades from autoclave process are unique on European market
11
Applications
Applications
TIPELIN
Unimodal
Bimodal
Blown film


Blow moulding


Pipes and sheets extrusion


Split fibres

Strengths of HDPE MITSUI technology
Excellent product quality ( Unimodal and Bimodal MWD)
Outstanding combination of the mechanical properties: high tensile modulus combined with an ESCR,
which is much higher than with standard unimodal HDPE blow moulding grades (potential for wall
thickness reduction)
Outstanding combination of excellent film impact strength and good processability at bimodal film resin
( potential for film thickness reduction), possibility to produce PE100 pipe grade
Strengths of HDPE PHILIPS technology
Medium and high density polyethylene are produced by continuous suspension polymerization using
low pressure catalytic process
Density range of 0,934 – 0,955 g/cm3
High polymer purity and constant quality
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Possibility to produce PE80 pipe grade
Applications
APPLICATIONS
TIPPLEN
TATREN
H
RC
IC
H
Extrusion: pipes, sheets for thermoforming

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
Blow moulding: bottles




BOPPF: mono and co-extruded, metallised


Tapes: weaving tapes, monofilaments, ropes, twines


Cast film: mono and co-extruded, metallised

Fibres: multifilament, CF, BCF, staple fibres


IC



Spun bond
Extrusion coating – PP fabrics

Injection moulding: general, thin wall
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
H
Homopolymers: the result of the polymerization of a single monomer. A homo polymer consists of a
single type of repeating unit.
RC
Random Copolymers: a copolymer consisting of alternating segments of two monomeric units of random
distribution, including single molecules. A random copolymer usually results from copolymerization of two
monomers (propylene and about 7 weight percent ethylene) in the presence of a free-radical initiator.
IC
Impact Copolymers: contains about 22 weight percent ethylene for improve impact resistance of PP

13
Number of Commercially Produced Grades - 2010
PP
Trade
name
Type
Nr of grades *
Production cycle
TIPPLEN
Homopolymers
12
Monthly
Random copolymers
7
Monthly
Impact copolymers
12
Monthly
Homopolymers
5
Monthly
Impact copolymers
9
Monthly
Unimodal
8
Monthly
Bimodal
7
Monthly
TIPOLEN
Tubular
7
Monthly
BRALEN
Autoclave
12
Monthly
TATREN
HDPE
LDPE
*Catalogue grades
TIPELIN
14
MOL Petrochemicals: Sales offices network
15
Thank you for your kind attention!