Showing posts with label Oxidized Asphalt. Show all posts
Showing posts with label Oxidized Asphalt. Show all posts

September 21, 2017

Tender Sytesm Vs Cops




Systemic delay in repairing roads.Systemic delay in repairing roads.


HYDERABAD: The long-drawn tender process followed by the Greater Hyderabad Municipal Corporation (GHMC) for relaying dug-up roads should either be done away with completely or streamlined to put the city's road infrastructure back on track, feel traffic cops.

Pointing out that currently it takes at least six months to complete just the tender process for restoration of dug up roads, which the city just cannot afford, traffic cops said there are several instances of road stretches being dug up repeatedly and not being re-surfaced, leaving behind un-motorable roads as the civic body's tender process takes its own sweet time.

As per the current system, when an agency seeks permission from GHMC for road digging, cost of required restoration work has to be submitted by the agency to the civic body before taking up the work. However, the tender process for restoring roads starts only after digging is completed.

"While it not possible to refuse permission for any development work, in most cases the contractor just dumps mud or loose gravel on the stretches. It is the gap between the completion of work and the actual filling of the road that results in traffic woes. We have suggested that the procedural fulfilling of tender be done away with and the road be filled immediately after the work is done," said AV Ranganath, deputy commissioner of police, traffic (Hyderabad II).


In fact, Malkajgiri, Anandbagh, Banjara Hills (Road No 5), Ayyappa Society , Secunderabad, LB Nagar, Bowenpally , Madhavpuri Hills, Chandanagar, PJR Enclave, KPHB and Sultan bazaar are examples of areas where such dug up road stretches have become a never-ending nightmare.


"The Maharani Jhansi Road from Putlibowli Chowrasta to Afzalganj has been in a poor condition for the past two ye ars. Only surgical repair work by pouring bitumen is done after the frequent digging work," complained resident Balasubramanyam Perugu.

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Chandramohan Singh, a resident of Marredpally , said, "The road from Reliance Fresh super market to the check post in West Marredpally was repaired about six months back but is back to its potholed self. Even the road near Lions Hospital, which was dug up for laying drainage pipes, has not been restored."


While GHMC authorities admitted the tender process takes at least two months, they said that in the case of Malkajgiri the delays stretched to nearly a year because the payment was completed only recently by Water Board, which has taken up pipeline laying work. "Once the work is completed, estimates are drawn up and sent for sanction. Then a tender is called for and a contractor is decided. The process requires at least two months.While dealing with other departments we can't press for payment beforehand," said M Shanker, deputy chief engineer, maintenance, GHMC.

Source- Times of India

September 7, 2017

What Keeps u Moving ?

Event-driven projects 'shielding Mena economies'

DUBAI, 21 hours, 28 minutes ago

The Middle East and North Africa (Mena) region has undergone an enormous change over the past two decades, with unprecedented growth in economies and construction markets as countries in the region leveraged booming oil prices to invest in infrastructure and transform their cities into modern metropolises, according to an industry expert.

But over-reliance on oil revenues has caused government spending (and consequently growth) to fall as the oil price dropped, leaving the countries of the region seeking to reprioritise spending towards diversifying their economies and funding social investment, said Mace, an international consultancy and construction company.

Despite a rebound in GCC contract awards in H1 2017 of 14 per cent from a four-year low in 2016, results are still down 20 per cent from the same time last year, showing a challenging market, stated Mace's Mena cost consultancy business in its H2 tender cost report.

This competitive pricing environment has led to relatively stable tender price inflation across the region, ranging from 0.4 per cent in Kuwait to 2.5 per cent in Saudi Arabia, it said.

Event-driven projects and relatively diversified economies have proven a saving grace against this difficult backdrop, as has continued government investment in infrastructure and energy projects across the region, it added.

"Continuing the trend from 2016, the first half of 2017 has been competitive for the Mena construction market due to the low oil prices resulting in restricted government spending across the region," remarked Fergus Rossiter, the director of Mace Cost Consultancy (Mena).
"However, as the work for upcoming major events starts to ramp up, notably Expo 2020 in the UAE and the Fifa Football World Cup in Qatar, we are starting to see an increase in tender prices, which is further fuelled by recent increases in material prices, such as reinforcement steel," he noted
"We are yet to see the full impact of the current blockade has on the construction industry in Qatar, particularly as it relies heavily upon a large quantity of materials being imported from Saudi Arabia and the UAE,” he added.

Across the region tender prices have remained relatively stable, however there are considerable variations to be observed within the markets: some regions are reporting a softening in prices, while others experience some capacity constraints which are pushing them up.

Overall, the pricing environment remains very competitive with tender price inflation ranging from only 0.4 per cent to 2.5 per cent for 2017; client organisations are likely to continue to push to get the best possible prices, said Mace in its report.

Lower global commodity prices and increased competition for fewer privately and government financed projects is filtering through to increasingly competitive pricing in many markets, and despite there being plenty of work to fill order books, contractor and consultant prospects are vulnerable to tender periods taking longer to conclude, if at all, especially given recent government spending cutbacks due to the low oil price, it stated.

Contractors on key infrastructure or event-driven projects are less likely to be impacted by this, given the critical nature of these projects to the region’s ongoing economic diversification, however for the mainstream construction market, the competitive environment along with few capacity constraints in labour or materials and low commodity prices are all adding up to clients pressing for lower costs, it added.

According to Mace, factors such as the introduction of VAT across the region from 2018, as well as other taxes which may be levied as governments seek to consolidate their finances, are likely to put upward pressure on tender prices as contractors factor in these additional costs.

This effect will be particularly strongly felt in Saudi Arabia, with the highest tender price inflation at 2.5 per cent reflecting rising costs from newly imposed taxes and removal of subsidies for water and electricity, amongst others, as the Kingdom seeks to consolidate its finances.

Qatar is also expected to see some inflation in tender prices to reflect the greater materials cost risk, as new tenders force contractors to contractually bear the brunt of the costs of the blockade on the country, said the report.

Egypt is not considered in the Meed tender price index, but can be expected to see significant tender price inflation this year of at least 5 per cent, due to both the relatively hot construction market and the massive currency depreciation over the past year.

However some countries are faring better than others, with the UAE and Qatar boosted by their event-driven projects and relatively diversified economies, whilst Saudi Arabia and Oman struggle with reduced oil revenues, said the report by Mace.

Saudi Arabia and the UAE remain the biggest markets for construction projects, with the emirates looking likely to overtake the kingdom as the biggest next year, as their construction industry outperforms, stated the industry expert.

When considered with the completion dates edging closer for key event-driven projects such as the World Cup in Qatar, or the Expo 2020 in Dubai, strong demand-driven factors will counteract some of the damage from reduced government spending to the industry.

Locations less impacted by low oil prices are expected to outperform, with Dubai and Bahrain looking to beat Abu Dhabi or Kuwait. In addition, significant investment in port, road, railway and airport infrastructure across the region continues, with for example $37 billion worth of road projects being pursued across the GCC, it added.-
TradeArabia News Service

September 6, 2017

Road Projects

Contractors finalised for a number of road projects in FS 
MARK STEENBOK 
15:22 (GMT+2) Tue, 05 Sep 2017
Contractors finalised for a number of road projects in FS  | News Article
The Free State Department of Police, Roads, and Transport says there are a number of roads in the province that still need to be fixed.

MEC Sam Mashinini today said that these roads, including the one between Odendaalsrus and Wesselsbron, are not covered in the current financial year and needs attention. He added that since the end of July the department has finalised tenders for successful contractors for a number of road projects in the province. The handover site meetings for, among others, the Kroonstad-Steynsrus, Vredefort-Hoopstad, Vredefort-Viljoenskroon and Bothaville-Viljoenskroon roads commenced yesterday. He says the department needs to maintain these roads once it is completed.
“One of the problems that I am currently giving attention to, is how best do we make sure that the roads in the province are maintained over the long term. I have deliberately asked the different stakeholders to say how,  once the road between Bothaville and Viljoenskroon is completed, we can maintain it. That road is economically viable in terms of the farms there. That road is mostly used and that’s why we are targeting it,” says Mashinini.
He adds that the department’s objective is to build capacity by investing in human resources through skills development. He says the department wants to create a sustainable economic climate in the province and to deliver public infrastructure by using labour intensive technology.
He says from 2008 until last year they have had an intake of 173 contractors of which 83 graduated. In total 78 is still active and engaged in projects in the province.

June 29, 2017

£165m roads project facing legal challenge


A long-awaited £165m roads project for Belfast is now facing a legal challenge, it has emerged.

Around eight years after it was first announced, cash was finally earmarked for the York Street Interchange development as part of the DUP's £1bn deal with the Tories.

But now, a legal challenge, which has been confirmed by the Department for Infrastructure, over the awarding of the main construction contract, could delay the scheme further.

DUP Tory deal new £1bn allocation breakdown - where will the money go in Northern Ireland?

The Department has said that “the tender process to appoint a contractor to bring the scheme to a construction ready stage has now been completed... however, tender award cannot occur at present due to a legal challenge. The legal process is ongoing.”

The interchange is intended to solve the Belfast's increasing traffic problems.

It aimed to transform traffic flow where the Westlink, M2 and M3 converge.

The bulk of the cash needed to build it, around 40%, was originally due to come from the EU.

The upgrade of the York Street Interchange aims to tackle the traffic gridlock which occurs daily.

As Northern Ireland's busiest junction, it carries 100,000 vehicles daily, mostly commuters to and from Belfast from around Co Antrim.

It was revealed this week that part of a £1bn fiscal package for Northern Ireland as part of the DUP deal with the Conservatives, will include £400m for infrastructure. And as part of that, money will be freed up for the York Street Interchange.

At the end of last year, former Infrastructure Minister Chris Hazzard accepted a recommendation from a public inquiry that the York Street Interchange scheme should progress in principle but reiterated warnings that Brexit had placed a question mark over funding.

Speaking about the project, Wesley Johnston, an expert on Northern Ireland's roads, has said that commuters can still expect delays at the York Street interchange even after work has been completed.

Belfast Telegraph Digital

September 29, 2016

Global Bitumen Market

The global bitumen market is forecast to grow at a Compound Annual Growth Rate (CAGR) of four percent between 2015 to 2020, and the world’s largest energy traders such as the Vitol Group and the Trafigura Group Pte. are in a race to increase their market share.

The bitumen market was valued at around $75 billion in 2014 and is expected to reach $94 billion in 2020, according to a report by Zion Research, titled, “Bitumen (Paving Bitumen, Oxidized Bitumen, Cutback Bitumen, Bitumen Emulsion, Polymer Modified Bitumen and Others) Market for Roadways, Waterproofing, Adhesives, Insulation and Other Applications - Global Industry Perspective, Comprehensive Analysis and Forecast, 2014 – 2020”.

Bitumen is a semi-solid form of petroleum, which is used to make asphalt for roads, waterproofing for roofs, insulation, and adhesives. It is either obtained by distillation of petroleum or is available naturally, such as in Canada’s oil sands.

Bitumen is used mainly in road manufacturing. A surge in road construction activity in Asia will propel growth for the product going forward. 75 percent of the global consumption of bitumen was used for road construction in 2014.

Waterproofing of roofing and building construction was the second major consumer of bitumen in 2014. Increased construction of homes to cater for the growing population is likely to add to the bitumen demand in the future.

Along with roofing, polymer modified bitumen (PMB), which is used as a chemical additive and adhesive, will witness rapid growth compared to other forms of bitumen.

Trucks, trains, and barges have been used traditionally to transport bitumen from refineries to local consumers; however, a drop in supply from the aging refineries in the U.S. and Europe has necessitated the use of oceangoing tankers, to supply the material from its source of production to the end consumer.

Vitol, the largest independent oil-trading house teamed up with U.S.-based Sargeant Marine Inc., which distributes asphalt to customers worldwide to form Valt, which operates the world’s largest dedicated asphalt fleet, handling parcel sizes from 20 metric tons up to 37,000 metric tons through its fleet of fourteen specialist vessels, according to its website.

“It used to be mostly a small distribution business,” Chris Bake, a senior executive at Rotterdam-based Vitol, said in an interview. “Now it is more of a whole arbitrage business requiring a global reach and shipping capacity,” reports Bloomberg.

Trafigura group is also not far behind. Its Singapore-based unit, Puma Energy has added four new bitumen vessels, taking the total number of vessels to 11, which cater to the Asian markets.

“We see a definite upward trend in the number of nautical miles for bitumen,” said Valt Chief Commercial Officer Nick Fay, who estimates an annual increase of about 7 percent. “All the new refineries that are getting built don’t make bitumen,” reports Bloomberg.

The Guvnor Group is planning to invest in the Perth Amboy asphalt refinery and storage facility in New Jersey, which has been shut since 2008, reports Bloomberg.

There is hardly any public information about the bitumen market, which makes it ideal for the large energy traders, who use their energy expertise and global connection to supply to far-off markets.

“There is a perception that the world is going to be more disconnected -- supply and demand-wise -- and we are there to help connect the dots,” Klintholm said.

Nonetheless, increased use of asphalt for roads and environmental concerns with bitumen manufacturing could pose a risk for the growth of the bitumen industry in the future.

By Rakesh Upadhyay for Oilprice.com

June 22, 2016

Chile Road Projects Tender

Chile is pushing ahead with infrastructure development. The Ministry of Public Works intends to award five to seven projects during 2016. 

The Ministry of Public Works has also set a target of having 12-13 major infrastructure projects being awarded and worth a total of US$6 billion by the time the current administration comes to the end of its term.

One road project due to be awarded shortly is for the phase two of the Vespucio Oriente link. The tender is expected to open in July 2016. 
The projects for the Ruta de la Fruta, El Loa link and the road from Los Vilos to La Serena will also be put to tender in 2016. Meanwhile the tender process for the $1 billion Costanera Central project will be put out to tender in 2017.

First publishedon www.WorldHighways.com

May 18, 2016

NHAI to convert 1,205 km of State Highways into National Highways

The Detailed Project Report for laying of a road connecting Anantapur in Rayalaseema with new Capital City of Amaravati will be ready in two months, said Transport and R&B Minister Sidda Raghava Rao.

The straight road, to be funded by the Centre, is expected to cost about Rs.18,000 crore and once ready, the travel time between the two cities will be just six hours.

A team of officials comprising Roads &Buildings Principal Secretary Sam Bob, Engineer in Chief and others left for San Francisco on a study tour on execution of such projects, he said.

Addressing a media conference here on Tuesday, Mr. Raghava Rao detailed the work done by the department ahead of the Andhra Pradesh Government completing two years on June 8.
While the length of roads under R&B is 45,000 km, nearly 4,000 km single-lane roads were widened into two-lane roads.

“While the 10-year rule by the Congress left the roads in a shambles, Chief Minister N. Chandrababu Naidu took it upon himself to improve their condition in the State and also lay new roads. Roads are the basic infrastructure required for the industrial development”, he said.

The Government’s objective was to connect rural areas to mandal headquarters, mandals to district headquarters and the district headquarters to the new Capital City Amaravati.

In the current financial year another 2,517 km of single-lane roads would be widened into two-lane roads, 38 km of two-lane roads would be developed into four-lane roads.

Road bridges

The department also proposes to construct nine Road Over Bridges and 25 bridges. Special repairs would be taken up on 2,412 km of roads.

The National Highways Authority of India gave a commitment to convert 1,205 km of State Highways into National Highways. The Roads &Buildings Department allocated Rs.3,000 crore during current fiscal for development of State highways and link roads.

In the 2014-15 fiscal, 1,336 km of roads were widened into two-lane roads and another 3,089 km of roads were repaired and three Road over Bridges and another 20 bridges constructed.
In the 2015-16 financial year, 2,636 km single-lane roads were developed into two-lane roads and special repairs were carried out on 2,890 km of roads besides constructing five RoBs and 18 bridges.

World Bank funds

The roads being laid with World Bank funds such as Rajahmundry to Kakinada were monitored and the contractors who do not execute quality work removed. The R&B also took over 5,420 km of Panchayat Raj roads recently and tenders were being called shortly to develop 545 km of roads.

For the Krishna Pushkaram, R&B would spend Rs.389 crore on improvement of roads and the works completed by July-end, he said.

Source- The Hindu

April 22, 2016

Highway Project Model

Introduced last year by the Union ministry of road transport and highways, acceptance of the hybrid annuity model or HAM for tendering of road projects by the National Highways Authority of India (NHAI) was initially weak. It continues to remain so.

For instance, the first bid under the HAM model, for four-laning of the Solan-Kaithalighat section in Himachal Pradesh, had no takers. The bid terms had to be revised.

Till date, five projects totalling 279 km (Rs 6,700 crore in value) have been awarded. The FY16 target for HAM was set at 1,400 km. Experts, however, say with more than half of NHAI’s project pipeline lined up under HAM and the government having addressed the sector's key concerns, this is likely to pick up.

After the first bid failed, the government addressed some of the key impediments, particularly on forest clearance and land acquisition. Further, HAM, often referred to as a mix of the Build, Operate, Transfer (BOT) and Engineering, Procurement, Construction (EPC) models, addresses the concerns on both.

Under the latter model, a winning contractor builds the road project and hands it over to the government after completing the construction. Under BOT, he builds the project and operates (collects toll, maintains the road) it, handing it over on completion of the concession period.

Primary concerns such as land acquisition, traffic risk and inflation in BOT projects have been adequately addressed in HAM. Further, with NHAI pitching in 40 per cent of the capital, the project equity risk is likely to be lowered to 18 per cent (as against 30 per cent for BOT) of the project cost, resulting in a superior return profile to that under BOT.
Highway contracts: Hybrid annuity projects to gain pace
HAM scores over EPC for the government as well. From 100 per cent cost of capital to be borne by NHAI under EPC, the exposure is reduced to 40 per cent under HAM.

The question is whether companies would opt for HAM in its new avatar. Virendra Mhaiskar, chairman, IRB Infrastructure, terming HAM a deferred EPC payment structure, feels it might not offer good operating margins or a return creation opportunity vis-a-vis the current BOT model that his company prefers. “Just to wet our feet and find out how really the process happens, we (IRB) might participate in a few bids under HAM but for now, we are not looking at it in a big way,” he said.

Experts say the approach on HAM will depend on a company's stance and current needs. It would have little to do with any concern over the project or model.

Santosh Yellapu of Angel Broking says, “How companies want to build their order books would determine if they want to bid for HAM projects.” According to him, larger companies such as IRB Infra, Ashoka Buildcon and IL&FS Transportation Networks might not participate in the current round of HAM bids, as their current order book is comfortable. Smaller companies such as MBL Infrastructures, MEP Infrastructure Developers and Welspun Corporation, whose order book is in the process of being strengthened, might have more appetite.

A report by ratings agency ICRA adds that features of the HAM model are expected to elicit a favourable response, especially from large EPC players and some BOT ones. Even so, despite a large part of the concerns being addressed, there are other issues influencing companies. Analysts at Emkay Financial Services point to the large difference between L1 (lowest bid price) and L2 (second lowest price) as signifying that no developer wants to bid aggressively.

Some are more optimistic. Kunal Seth of Prabhudas Lilladher feels the larger entities might be warming up to the idea. Also, with BOT projects unlikely to see any meaningful return for older entities such as Gammon, GMR Infra and HCC, given the strain on their finances, some experts feel the trend of declining bids under the BOT model could go on. As more bids open under the HAM model, it might compel the larger ones to change their operating strategy.

For example, the pipeline for EPC projects, though higher than BOT, is less than half that for HAM. “Instead of bidding for three-four small road projects, a large HAM project might be more rewarding for the bigger players as well,” says Seth.

Source- Business Standard

February 22, 2016

Coastal Road Phase 1

The Maharashtra Coastal Zone Management Authority (MCZMA) is yet to give its final nod for the Rs 12,000-crore coastal road project, but the BMC is gearing up to begin work on it and will be rolling out the work tenders for the first phase in three months. The decision to roll out the work tenders was taken after the peer review report on the first phase.

“The peer review report for phase 1 of the coastal road project is complete and the tenders for the first phase stretching from Priyadarshini Park to Bandra will be out in three months,” said Additional Municipal Commissioner Sanjay Mukherjee. Apart from Coastal Regulation Zone (CRZ) clearances, the civic body is also awaiting clearances from the Navy as well as the Coast Guard, before actual construction of the coastal road begins.

The current BMC budget has made an allocation of Rs 1,000 crore for the project.
The Maharashtra Coastal Zone Management Authority (MCZMA) is yet to give its final nod for the Rs 12,000-crore coastal road project, but the BMC is gearing up to begin work on it and will be rolling out the work tenders for the first phase in three months. Apart from Coastal Regulation Zone (CRZ) clearances, the civic body is also awaiting clearances from the Navy as well as the Coast Guard, before actual construction of the coastal road begins.

The current BMC budget has made an allocation of Rs 1,000 crore for the project. The decision to roll out the work tenders was taken after the peer review report on the first phase. It is a detailed study of the project and covers the shortcomings of the consultant’s report. It was submitted on February 17.

“The peer review report for phase 1 of the coastal road project is complete and the tenders for the first phase stretching from Priyadarshini Park to Bandra will be out in three months,” said Additional Municipal Commissioner Sanjay Mukherjee.

Apart from making recommendations on the number of lanes, the report also includes a data analysis for different times of the day.

Source: http://indianexpress.com/article/cities/mumbai/maharashtra-work-tenders-for-phase-i-of-coastal-road-in-3-months/

February 18, 2016

Global Bitumen Market @ 72 B and is Growing

ALBANY, New YorkFebruary 8, 2016 /PRNewswire/ --
The global bitumen market will expand at a CAGR of 3.90% from 2014 to 2020. The market was valued atUS$71.44 billion in 2013. It is expected to reach US$93.38 billion by the end of 2020, according to a research report released by Transparency Market Research. The report titled "Global Bitumen Market - Industry Analysis, Size, Share, Growth, Trends and Forecast, 2014 - 2020".
According to the research report, the global bitumen market is primarily driven by the growing rate of use in construction of roadways around the world. The report states that there is a rapid increase in the rate of creation of roadways and other related activities, creating a high demand for the global bitumen market. Polymer modified bitumen, a type of bitumen, is highly preferred due to the advantages it provides, such as high porosity, high skid resistance, and low noise. All three properties are the most sought-after ones in the global roadways industry, giving PMB an advantage over other materials.
The global bitumen market's growth rate is, however, restrained to a high degree by the environmental hazards created by the use of bitumen. The report segments the global bitumen market in terms of products and applications, and also provides a geographical dissection. By products, the global bitumen market was dominated by PMB in 2013. The segment held more than 65% of the market for that year and is expected to be the fastest-growing segment for the report's forecast period. PMB is also used for waterproofing purposes.
The report states that more than 80% of the global bitumen market, from the perspective of applications, was dominated by road construction in 2013. Other applications of bitumen arise in automotive, adhesives, paints and enamels, and the roofing industries. From a geographical point of view, the global bitumen market was led by North America in 2013. North America took up over 30% of the global bitumen market in 2013, a market share attributed to expansion of state infrastructure. However, the report states that the fastest growth rate in the global bitumen market for its given forecast period will be held by the Asia Pacific region owing to rapid rate of industrialization.
The key players of the global bitumen market are Villas Austria GmbH, Valero Energy Corporation, Shell Bitumen, Petroleos Mexicanos, Nynas AB, NuStar Energy, JX Nippon Oil & Energy Corporation, Marathon Oil Company, Indian Oil Corporation, ExxonMobil, China Petroleum and Chemical Corporation ChevronTexaco Corporation, British Petroleum, and Bouygues S.A., The report states that the global bitumen market is highly competitive and fragmented due to the presence of a large number of regional players.
Get Sample Report, Segments or table of Contents as per your Requirements: http://www.transparencymarketresearch.com/sample/sample.php?flag=CR&rep_id=295
Key segments of the Global Bitumen Market 
Bitumen Market - Product Segment Analysis 

Bitumen Market - Application Analysis 
Roadways 

Waterproofing (Roofing) 

Adhesive 
Insulation 
Others (including decorative and industrial applications) 
Bitumen Market - Regional Analysis 
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  • Rest of World (RoW)

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January 16, 2016

Green Bitumen from Canada

PACIFIC FUTURE ENERGY, which is planning to build the world’s “greenest bitumen-to-fuels refinery” in Canada has announced plans to transport bitumen to the refinery by rail in a near-solid “neatbit” state.
The company initially announced that it would build the C$15bn (US$10bn) refinery on the British Columbian coast back in 2014, and would export refined products, rather than raw bitumen, to Asia. It has now submitted a full formal project description, produced by SNC Lavalin, to Canadian regulators. The refinery will refine bitumen from oilsands in western Canada.
Bitumen is usually transported by pipeline as “dilbit”, a diluted, more fluid version containing about 70% bitumen and 30% diluent, or by rail as “railbit”, which contains around 88% bitumen. Pacific Future Energy, however, believes that transporting neatbit, which is as the name suggests, 100% bitumen, is more environmentally sound. 
The company describes neatbit as having “a consistency similar to peanut butter”, which does not flow unless heated. It has very low flammability, is stable, and is classified as non-dangerous for transport. In the rare chance of a train derailment or a crash, the bitumen could not flow anywhere and would be much easier to clean up, minimising environmental damage. 
First Nations groups and environmentalists alike have criticised plans for pipelines through pristine landscapes. In addition, Pacific Future Energy has pledged to use TC-117 railcars, a new model specifically designed for oil transport.
Pacific Future Energy has selected an area known as the Dubose Flats in which to build the 200,000 bbl/d refinery. The refinery will be powered by wood waste biomass, from the local forestry industry, and the company claims its net carbon emissions will be near zero. 
Exporting refined products will pose less of a risk than raw bitumen to the marine environment in the case of a spill. The refinery is expected to create 3,500 jobs during construction and 1,000 during operation.
“Not only would our proposal provide a value-added way to get Canadian oil to growing world markets, but it would also protect both Canada’s land and marine environments from the effects of a heavy oil or bitumen spill,” said CEO Robert Delamar.
Pacific Future Energy will consult with Canada’s First Nations, the Canadian Environmental Assessment Agency the British Columbia Environmental Assessment Office and the public as it finalises plans for the refinery. The company hopes to begin construction in 2018, with startup scheduled for 2021.
Several other bitumen refining plants are planned on the British Columbia coast, including by Eagle Spirit Energy and newspaper tycoon David Black.

December 21, 2015

Roads that De-Ice themselves

As winter approaches, shops, cities and householders are stocking up on salt, gravel and sand in anticipation of slippery roads. However this annual ritual in colder climates might quickly grow to be pointless. Researchers report in ACS’ journal Industrial & Engineering Chemistry Analysis a brand new street materials that would de-ice itself.

Each winter, when climate forecasters predict snow or icy circumstances, native governments deploy vans that mud roads with salt, or different chemical mixtures to assist forestall ice build-up. Residents escape their very own provide to maintain their walkways and driveways from freezing over and turning into dangerously slick.

However the de-icer does not keep on the streets for lengthy. Melting snow and automobiles driving by wash or pressure it off, making re-application crucial. To interrupt this cycle, Seda Kizilel and colleagues needed to see if they might devise a method to ice-proof the street itself.

The researchers began with the salt potassium formate and mixed it with the polymer styrene-butadiene-styrene. They added this combination to bitumen, a serious element of asphalt.

The ensuing materials was simply as sturdy as unmodified bitumen, and it considerably delayed ice formation in lab research. The brand new composite launched de-icing salt for 2 months within the lab, however the results might final even longer when used on actual roads, the researchers observe.

In that occasion, the salt-polymer composite can be evenly embedded all through the asphalt. Thus, as automobiles and vans drive over and put on away the pavement, the salt might regularly be launched—probably for years.

Extra info: Derya Aydın et al. Gelation-Stabilized Useful Composite-Modified Bitumen for Anti-icing Functions, Industrial & Engineering Chemistry Analysis (2015).

Summary
Ionic salts as anti-icing brokers have been extensively used to get rid of accumulation of ice on asphalt surfaces. Nevertheless, salt may be simply eliminated by rain or cars and requires frequent software on roads.

Apart from this financial consideration, anti-icing brokers compromise the mechanical properties of asphalt and have a adverse influence on dwelling organisms and the setting when utilized in giant quantities.

Incorporation of hydrophilic salts into bitumen, a hydrophobic asphalt binder, and managed launch of particular molecules from this hydrophobic medium can present an efficient answer for decreasing ice formation on pavements.

Bitumen has beforehand been modified by numerous polymers, together with styrene-butadiene-styrene (SBS) for improved power and thermomechanical properties. Nevertheless, an anti-icing perform was not thought-about in these earlier designs. In a earlier research, we developed a useful polymer composite consisting of potassium formate (HCOOK) salt pockets dissolved in a hydrophilic gel medium and dispersed in a hydrophobic SBS polymer matrix.

Right here, we developed an revolutionary technique to acquire polymer composite-modified bitumen and investigated additional the anti-icing properties of the practical bitumen. We improved incorporation of this polymer composite into bitumen and demonstrated correct distribution of the composite inside bitumen by means of morphological and rheological evaluation.

We characterised the anti-icing properties of modified bitumen surfaces and demonstrated vital will increase in freezing delay of composite-modified bitumen in comparison with base bitumen in a temperature- and humidity-controlled chamber. As well as, we characterised the discharge of HCOOK salt from polymer composite-modified bitumen and noticed salt launch inside the vary of 1.07–10.eight% (w/w) in 67 days, relying on the composite content material. The outcomes show the potential of this polymer composite-modified bitumen for anti-icing performance and for industrially related purposes.

Source- Sunnews Journal

October 30, 2015

Bitumen Blend Loosing out to Cheaper Crude Oil But Gaining over straight run Fuel Oil


Demand for imported crude, petroleum bitumen blend and straight-run fuel oil by independent teapot refineries in China's eastern Shandong province was more or less steady this week, despite narrowing refining margins on lower local oil product prices.

But teapot refineries that have recently been granted both import quotas and import licenses for crude oil continued to take in crude cargoes, particularly largest Shandong teapot refiner Dongming Petrochemical.

The 7.5 million mt/year (150,000 b/d) Dongming has received a 240,000-mt cargo shipped from the Gulf of Mexico at Rizhao port early this week, adding to imports of 350,000 mt earlier this month. The latest shipment brings the total volume of crude imported under its import quota of 6 million mt/year to 2.84 million mt.

Adding on to the volume received by four other Shandong teapot refineries with import quotas, teapot refineries have imported a total of around 3.74 million mt of crude since end-July, when Dongming took its first cargo.

The four refineries are: Sinochem Hongrun Petrochemical, Kenli Petrochemical, Yatong Petrochemical and Lihuayi Petrochemical -- better known as Lijin.

For November, the 3.5 million mt/year Yatong Petrochemical is taking in a crude cargo much larger -- possibly a VLCC -- than its first import cargo comprising 60,000 mt of Indonesian Duri crude in mid-October, said a source from the refinery. But details, including the crude grade, of its planned November import could not be ascertained.

Meanwhile, the 3.5 million mt/year Lijin Petrochemical, which is scheduled to restart from an ongoing full turnaround in early November, has not fixed any imported crude cargoes for the coming month so far.

Shandong's teapot refineries are able to crack crude and fuel oil, but they have been using less imported fuel oil since November 2014 because of relatively high procurement costs.

After the government granted teapot refineries access to imported crude, crude has been the top feedstock choice, while bitumen blend is still considered favorable for those that have no access to both domestic and imported crude.

THREE BITUMEN BLEND CARGOES HEARD FIXED FOR NOV SO FAR

Demand for petroleum bitumen blend among Shandong teapot refiners remained thin over the week, with around three cargoes heard so far fixed for November delivery.

This compares with an estimate 530,000 mt of bitumen blend imports, in five cargoes, into Shandong ports in October.

The latest arrival is a 97,000-mt cargo from Malaysia into Rizhao port this week, taken by the 3 million mt/year Yuhuang Petrochemical. The supplier was heard to have resold the cargo to Yuhuang -- which earlier had no plans to buy bitumen blend for October -- after the original buyer decided not to take the cargo.

Still, overall estimated bitumen blend imports in October were lower than September's imports of 1.1 million mt in 12 cargoes.

The fall in bitumen blend imports was attributed to more teapot refineries being allowed to import crude, freeing up domestic crude supply to other refiners and displacing the share of bitumen blend in refiners' feedstock mix as a result.

Adding to this, Shandong customs officials have been scrutinizing imports of bitumen blend more closely since end-September in a bid to identify misrepresented fuel oil cargoes. This has led some teapot refineries to suspend their import activities for the time being.

Premiums of November-delivery common grade bitumen blend cargoes are now heard lower, at around $20-$25/mt to the Mean of Platts Singapore 380 CST high sulfur fuel oil assessments on a CFR basis, from MOPS 380 CST HSFO assessments plus $27-$30/mt, CFR, last heard for October cargoes.

Common grade bitumen blend has a density of 0.98-0.99 kg/l, sulfur content of 2%-3% and carbon residue of 12%-14%.

And in the domestic spot market, bitumen blend prices were heard to have fallen to around Yuan 2,200/mt this week, from Yuan 2,300/mt last week, due to weak buying interest from teapot refiners.

Teapot refineries in Shandong -- China's main buyers of imported straight-run fuel oil before November 2014 -- have largely switched to comparatively cheaper bitumen blend that does not incur consumption tax and import tariffs.

ONE M100 FUEL OIL CARGO FIXED FOR NOVEMBER, POSSIBLY TO SHANDONG

On Russian M100 fuel oil, western trader Mercuria was understood to have chartered the Cap Laurent to load 100,000 mt of M100 fuel oil from Russia's Kozmino this week to northern China, possible to Shandong.

And on Thursday, a 90,000-mt combination cargo of M100 and straight-run fuel oil had arrived at Longkou port. Regular M100 importer Hengyuan Petrochemical was heard as the buyer.

M100 fuel oil cargoes for early November delivery were heard talked at premiums of around $50/mt to MOPS 180 CST fuel oil assessments on a CFR basis, steady from last levels heard for October, but down from premiums of $55/mt for September.

Still, teapot refiners see the latest premium levels as too high, sources said.

Meanwhile, eyes are on Russian state-owned Rosneft's upcoming M100 term supply for loading over January-December 2016.

Rosneft currently has a term contract for 2.8 million mt of M100 for loading over January-December 2015 from Nakhodka or Vanino with Mercuria, at a term premium of around $85-$88/mt to MOPS 180 CST HSFO assessment on a FOB basis.

--Staff, newsdesk@platts.com
--Edited by Irene Tang, irene.tang@platts.com
 
 Singapore (Platts)--29 Oct 2015 723 am EDT/1123 GMT
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