Energy Petrochemicals and Plastics 75

Friday, July 31, 2020

Energy Petrochemicals and Plastics 75

1          OPEC+ plans to pump more crude into a precarious global oil market
https://www.worldoil.com/news/2020/7/31/opecplus-plans-to-pump-more-crude-into-a-precarious-global-oil-market

From quiet skies over Europe to sparse traffic in America’s biggest cities, a recovery in global oil demand is faltering amid the resurgence in coronavirus.

That poses a particularly delicate challenge for the OPEC cartel and its partners, who next week plan to resume some of the crude output halted during the depths of the pandemic.

2          Oil Set for 3rd Monthly Gain
https://www.rigzone.com/news/wire/oil_set_for_3rd_monthly_gain-31-jul-2020-162882-article/
Oil is set for a third monthly advance in New York before OPEC+ starts returning supply to the market after historic cuts, with the pandemic still raging unabated across many major economies.

Deep production curbs by OPEC and its allies have helped oil rebound from its plunge below zero in April, but it’s a precarious time to be adding more supply to the market with the coronavirus spreading rapidly through some American states, while staging a comeback in Asia. Futures slid 3.3% on Thursday after data showed the U.S. economy suffered its sharpest downturn since at least the 1940s in the second quarter, highlighting the impact of the outbreak.

3          Oil Price Fundamental Daily Forecast – Higher for Month, but Demand Destruction Worries Cap Gains
https://www.fxempire.com/forecasts/article/oil-price-fundamental-daily-forecast-higher-for-month-but-demand-destruction-worries-cap-gains-664202

U.S. West Texas Intermediate and international-benchmark Brent crude oil futures are edging higher on Friday after a steep fall the previous session changed the main trend to down on the daily chart. Nonetheless, the markets were able to bounce back throughout the session, finishing just under four-month highs.

4          Weekly Resin Report: Polyethylene Trading Slows
https://www.plasticstoday.com/resin-pricing/weekly-resin-report-pe-trading-slows-processors-reckon-relentless-price-hikes

The spot resin markets remained fairly active, but completed volumes disappointed, as polyethylene (PE) demand struggles to keep pace with rising prices and diminishing polypropylene (PP) supplies challenge some sourcing efforts. Even so, the PlasticsExchange reports in its Market Update that this month’s volumes have already been stronger than any during the second quarter. “With a week still remaining, it should rival our first-quarter performance,” said the resin clearinghouse based in Chicago.

5          Rystad Foresees New Oil Supply Glut
https://www.rigzone.com/news/rystad_foresees_new_oil_supply_glut-29-jul-2020-162856-article/
A new four-month oil supply glut of approximately 170 million barrels should result from the partial return in August of curtailed OPEC+ production, Rystad Energy predicts in a new analysis.

The consultancy bases its prediction on the assumption that “a mild second wave” of COVID-19 in key markets will prevent oil demand from rebounding as quickly as previously thought.

6          Oil Majors Report Dismal Second Quarter Earnings
https://oilprice.com/Energy/Energy-General/Oil-Majors-Report-Dismal-Second-Quarter-Earnings.html
On Thursday, some quarterly figures from the oil majors started coming in – and they are mostly negative.  Royal Dutch Shell reported a staggering $18 billion quarterly loss, made worse by a $16.8 billion write-down on a range of its assets. The huge loss came after earning $3 billion in the second quarter of 2019 and reporting a profit of $2.7 billion in the first quarter of this year. When excluding the write-down and other one-off items, Shell eked out a net profit of $638 million.

7          Exxon posts second straight quarterly loss on demand, price plunge
https://www.reuters.com/article/us-exxon-mobil-results-idUSKCN24W1S2
Exxon Mobil Corp (XOM.N) reported a $1.1 billion loss for the second quarter on Friday, the first back-to-back quarterly loss for the U.S. oil giant in at least 36 years.

Exxon stood out among its supermajor peers for not taking a large writedown on the value of its assets as the industry outlook darkens on the future of oil and gas prices.

Chevron Corp, Total (TOTF.PA), Royal Dutch Shell (RDSa.L), and Eni (ENI.MI) wrote down billions of dollars in assets. BP (BP.L) has signaled an up to $17.5 billion hit.

8          Refiner Phillips 66 posts quarterly loss as pandemic slams fuel demand
https://www.reuters.com/article/us-phillips-66-results-idUSKCN24W1P2
U.S. refiner Phillips 66 on Friday reported a quarterly loss compared to a year-ago profit, as coronavirus-led restrictions on businesses and travel destroyed fuel demand and hurt margins.

Fuel demand has plunged as countries around the world limit travel to stem the spread of the coronavirus. This led to a plunge in crude prices, which touched historic lows in April.

9          Chevron posts $8.3 billion loss on write downs, job cuts
https://www.reuters.com/article/us-chevron-results-idUSKCN24W1N6
Chevron Corp (CVX.N) on Friday reported an $8.3 billion loss on asset writedowns from plummeting fuel prices, a forced exit from Venezuela and expenses tied to thousands of jobs cuts.

Multibillion-dollar asset writedowns have become a prominent part of second-quarter energy results, as a global oil glut emerged as the COVID-19 pandemic cut fuel demand. Chevron rivals Total (TOTF.PA), Royal Dutch Shell (RDSa.L), and Eni (ENI.MI) each wrote down billions of dollars in assets. BP (BP.L) has signaled an up to $17.5 billion hit.

10        Shell reports $18bn loss as global oil and gas prices collapse
https://www.theguardian.com/business/2020/jul/30/shell-reports-18bn-financial-loss-amid-covid-19-collapse-in-global-oil-and-gas-prices

Anglo-Dutch oil giant revealed a net loss of $18.3bn for the second quarter 2020, down sharply from a net profit of $3bn over the same period last year and $2.7bn in the first three months of 2020. Photograph: Adrian Dennis/AFP via Getty Images

Royal Dutch Shell has reported a deep financial loss after a record writedown on the value of its oil and gas assets due to the collapse in global market prices triggered by coronavirus.

The Anglo-Dutch oil giant revealed a net loss of $18.3bn (£14.1bn) for the second quarter 2020, down sharply from a net profit of $3bn over the same period last year and $2.7bn in the first three months of 2020.

11        DuPont takes $2.5 billion charge tied to auto business, posts wider loss
https://www.reuters.com/article/us-dupont-de-results-idUSKCN24V1P2
DuPont (DD.N) reported a bigger second-quarter loss on Thursday and wrote down the value of its automotive business by $2.5 billion as the industrial materials giant struggles with a prolonged weakness in one of its biggest markets.

DuPont, which makes materials used in products ranging from engine covers to brake fluid, is heavily exposed to the auto industry, which has been among the hardest hit after the coronavirus lockdowns emptied roads and shuttered car showrooms.

12        Total writes off $9.3B in oilsands assets, cancels Canadian oil lobby membership
https://www.cbc.ca/news/canada/calgary/suncor-total-fort-hills-conocophillips-tim-mcmillan-1.5668095
French energy giant Total says it is writing off $9.3-billion worth of oilsands assets in Alberta and cancelling its membership in the Calgary-based Canadian Association of Petroleum Producers.

Total now considers oil reserves with high production costs that are to be produced more than 20 years in the future to be “stranded” given its carbon reduction targets and because the resource may not be produced by 2050, the Paris-based company said Wednesday.

13        Could Rising US-China Tensions Change Global Energy Markets?
https://oilprice.com/Geopolitics/Asia/Could-Rising-US-China-Tensions-Change-Global-Energy-Markets.html
The widening rift between the world’s two largest economies – the United States and China – has had analysts and market observers using the phrase ‘Cold War’ to describe how far the two global superpowers could go in their increasingly heated dispute.    A new Iron Curtain could mean attempts to decouple the intertwined economic and trade relations between the biggest economies in the world, Reuters market analyst John Kemp argues.

14        Oilfield Services Say Goodbye To $45 Billion In Assets: Morgan Stanley
https://oilprice.com/Latest-Energy-News/World-News/Oilfield-Services-Say-Goodbye-To-45-Billion-In-Assets-Morgan-Stanley.html

The Big Three in the oilfield services industry wrote down $45 billion in assets over the past year as their clients tightened their belts, according to Morgan Stanley, cited by Bloomberg.

The three largest oilfield services providers in the world are Schlumberger (NYSE: SLB), Halliburton (NYSE: HAL), and Baker Hughes (NYSE: BHGE).

Schlumberger, with a market cap of $27 billion; Halliburton, with a market cap of $13 billion; and Baker Hughes, with a market cap of $17 billion, have a combined market cap that is just $12 billion over the total amount written down.

Recycling Renewables and Sustainable Business 46

Friday, July 31, 2020

Recycling Renewables and Sustainable Business 46

1          Citi, Bank of America join Morgan Stanley in carbon-disclosure group
https://www.bankingdive.com/news/citi-bank-of-america-morgan-stanley-carbon-disclosure-group/582592/
Bank of America and Citi have joined the Partnership for Carbon Accounting Financials (PCAF), a consortium that intends to standardize the way banks measure and reduce their climate impact, the banks announced separately Wednesday.

Citi also pledged $250 billion over the next five years to finance and facilitate low-carbon solutions in the areas of renewable energy, clean technology, water quality and conservation, sustainable transportation, green buildings, energy efficiency, and sustainable agriculture and land use.

2          Deglobalization gains pace in lithium battery supply chain
https://blogs.platts.com/2020/07/30/deglobalization-lithium-battery-supply-chain/
The COVID-19 crisis has exacerbated concerns across the lithium-ion battery industry about China’s dominance of the supply chain. The pandemic has also highlighted the need for local supply chains, in order to improve sustainability and work towards net zero targets.

Despite some momentum, however, the development of regional supply chains still faces challenges that go beyond simply raising equity.

3          Is The UK’s Ambitious Plan For 30 Million EVs Feasible?
https://oilprice.com/Energy/Energy-General/Is-The-UKs-Ambitious-Plan-For-30-Million-EVs-Feasible.html
Seven percent – that’s the portion of electric vehicles and plug-in hybrids as a percentage of total sales as of the first quarter of this year. There were some 110,000 EVs on British roads at the end of March. And yet the country’s National Grid is planning for 30 million in just two decades. Can it be done? Some would argue that the EV single-mindedness of European governments may blind them to all the challenges associated with the large-scale electrification of transport, such as the need to build charging infrastructure that is capable of handling the expected – or rather hoped-for – surge in EV sales in the coming years.

4          What’s Holding Geothermal Energy Back?
https://oilprice.com/Alternative-Energy/Geothermal-Energy/Whats-Holding-Geothermal-Energy-Back.html
It’s abundant, and it’s emissions-free: the heat from the earth’s mantle that reaches well into the crust and gives deep drillers a headache occasionally is the new star on the renewables block. Nevertheless, oil and gas companies have been somewhat reluctant to embrace it. Let’s first clarify: geothermal energy is only “new” in terms of the media attention it has been getting. Researchers – including people from the oil and gas industry – have been working for decades on technologies to extract the heat from the earth and either use it directly or turn it into electricity. It is only gaining prominence now as these technologies advance and the world’s attention becomes increasingly focused on alternatives to fossil fuels.

5          Extra 23 million people could face coastal flooding within 30 years, even with emission cuts, study says
https://www.theguardian.com/environment/2020/jul/31/extra-23-million-people-could-face-coastal-flooding-within-30-years-even-with-emission-cuts-study-says

The combined impacts of human-caused sea level rise, storm surges and high tides could expose an extra 23 million people to coastal flooding within the next 30 years, even with relatively ambitious cuts to greenhouse gas emissions, a new global study has found.

In a worst-case scenario where emissions continue to rise and no efforts are made to adapt to the rising sea levels, coastal assets worth US$14.2tn – about 20% of global GDP – could be at risk by the end of the century.

6          We must not miss this glorious chance to address the climate and biodiversity crises | Jonathon Porritt
https://www.theguardian.com/commentisfree/2020/jun/24/climate-biodiversity-crises-government-green-recovery-coronavirus

Trillions of dollars will be invested by governments in reviving their economies over the next two or three years. If those dollars are well spent, ensuringlow-carbon, nature-restoring prosperity, we have a real chance of avoiding runaway climate change and ecosystem collapse. If they’re spent on taking us back to pre-coronavirus days, we’re screwed. The climate’s screwed. The planet’s screwed. And all future generations are screwed. It’s as simple – and as binary – as that.

7          Small crustacean can fragment microplastics in four days, study finds
https://www.theguardian.com/environment/2020/jul/30/small-crustacean-can-fragment-microplastics-in-four-days-study-finds

Small crustaceans can fragment microplastics into pieces smaller than a cell within 96 hours, a study has shown.

Until now, plastic fragmentation has been largely attributed to slow physical processes such as sunlight and wave action, which can take years and even decades.

Environmental scientists at University College Cork (UCC) in Ireland studying the 2cm-long amphipod Gammarus duebeni found that microplastic beads were not only ingested but were also fragmented incredibly quickly into nanoplastics.

8          Transparent and Double-Sided Sun-Tracking Solar Panels Could Be the Future
https://www.altenergymag.com/article/2020/07/transparent-and-double-sided-sun-tracking-solar-panels-could-be-the-future/33513

Solar panels have been around for some time, but they still have yet to overtake traditional energy sources. A lot of people still have reservations about the technology, even if it’s become more affordable and efficient. Something needs to change for photovoltaics to become the widespread technology they need to be.

Becoming more affordable or practical are essential steps in driving the switch to renewables. Still, more innovation needs to happen for them to catch on in a broader market. The solar panel industry needs to see substantial changes, and thankfully, it looks like there are some on the horizon.

9          EU Plastic Tax Approved by European Council
https://www.plasticstoday.com/legislation-regulations/eu-plastic-tax-approved-european-council
With its latest agreement on the new Multiannual Financial Framework (MFF) and coronavirus recovery fund, the European Council has also approved implementation of the so-called plastic tax, effective January 1, 2021. While the European Council believes the €0.80/kg levy on non-recycled plastic packaging waste will have a beneficial environmental impact, the European Plastics Converters (EuPC) association thinks it will have the opposite effect.

10        Portugal selects multi-billion post-coronavirus hydrogen projects
https://www.reuters.com/article/us-portugal-energy-hydrogen-idUSKCN24T1S5
Portugal’s government has selected more than 30 multi-billion euro hydrogen projects interested in building production units of so-called “green” energy in the country after the coronavirus pandemic.

The selection comes as Portugal prepares an application to Europe’s Important Project of Common European Interest (IPCEI) scheme for hydrogen, part of a strategy to speed up renewable hydrogen projects in polluting sectors.

11        China’s new green development fund raises $12 billion in phase 1
https://www.reuters.com/article/us-china-environment-idUSKCN24T0E0
China’s first dedicated environmental fund, which will invest in green projects and firms, has already raised 88 billion yuan ($12.59 billion) in its first phase, an environment ministry official said at a briefing on Tuesday.

The National Green Development Fund will mainly be used to invest in national strategic programmes such as the green development of the Yangtze river region, said Zou Shoumin, a director responsible for finance at China’s Ministry of Ecology and Environment (MEE).

12        Hydrogen Pipeline Network Could Transform European Energy, Operators Say
https://www.forbes.com/sites/davekeating/2020/07/28/hydrogen-pipeline-network-could-transform-european-energy-operators-say/

Hydrogen is the hottest new energy source being discussed in Brussels at the moment, and a group of eleven European gas infrastructure companies have come out with a plan for how to transport this new fuel across Europe.

Hydrogen gas is produced as a byproduct of industrial processes or power generation, and can then be used as a fuel itself. Because it can be produced as a byproduct of renewable energy generation (so-called ‘green hydrogen’), it holds great promise as a zero-or-low-carbon fuel. It would also be a way to deliver more energy from traditional fossil fuel power generation (so-called ‘brown or grey hydrogen’). Its development, however, remains in very early stages as companies experiment with how to extract, transport and store it.

Business Intelligence and Analytics 75

Friday, July 31, 2020

Business Intelligence and Analytics 75

1          Covid-19 has shaken global economy but other white swan threats remain
https://www.theguardian.com/business/2020/jul/30/covid-19-has-shaken-global-economy-but-other-white-swan-threats-remain

In February, I warned that any number of foreseeable crises – “white swans” – could trigger a massive global disturbance this year. I noted: “… the US and Iran have already had a military confrontation that will likely soon escalate; China is in the grip of a viral outbreak that could become a global pandemic; cyberwarfare is ongoing; major holders of US treasuries are pursuing diversification strategies; the Democratic presidential primary is exposing rifts in the opposition to Donald Trump and already casting doubt on vote-counting processes; rivalries between the US and four revisionist powers are escalating; and the real-world costs of climate change and other environmental trends are mounting.”

2          Buckle up! It’s time to future-proof your skill set for the decade ahead
https://www.mckinsey.com/business-functions/mckinsey-accelerate/our-insights/accelerate-blog/buckle-up-its-time-to-future-proof-your-skill-set-for-the-decade-ahead

June 24, 2020If there was ever a time to discard your comfort zone and embrace adaptability, it’s now. Whatever your position and industry, chances are the “critical skills” required for your role have shifted in the past few years, and will continue to do so.

Working remotely and serving customers in new and digitally enhanced ways are just the beginning: the next 10 years will see fundamental changes to our working world, and employees will need to acquire new skills to remain successful. 2020’s COVID-19 crisis has only accelerated this trend.

3          Why capabilities are key in the post-pandemic era
https://www.mckinsey.com/business-functions/mckinsey-accelerate/our-insights/to-lead-in-the-postcrisis-tomorrow-put-leadership-and-capabilities-in-place-today

One silver lining of the COVID-19 crisis has been to show businesses how to manage better and achieve greater speed, quality, and cost control. A wartime mindset—defined by decisive crisis management, scenario planning, and a human reflex attuned to the economic and health shocks affecting employees—has been the hallmark of leaders in the crisis so far. Now, as the world feels its way toward recovery and the new opportunities of the next normal, another risk looms. It is that inertia will set in, along with a longing for a return to the operating style of the days before COVID-19.

4          The Age of Accelerating Strategy Breakthroughs
https://sloanreview.mit.edu/article/the-age-of-accelerating-strategy-breakthroughs/
Several months into a global pandemic, leading organizations are redefining expectations of what is possible. Consider how offices around the world shifted virtually overnight to digitally enabled remote work. Grocery retailers and restaurants rolled out new pickup and delivery services. Hospitals rapidly expanded telehealth options. Automakers, apparel makers, and mobile phone assemblers retooled on the fly and are now rushing out personal protective equipment and ventilators.

5          The ABCs of Data Science Algorithms
https://www.informationweek.com/big-data/the-abcs-of-data-science-algorithms/a/d-id/1338418
Data science algorithms are never a one-size-fits-all solution. Do you know what makes sense for your business?

Today, big and small companies around the world are racing to adopt the latest tools in artificial intelligence and machine learning. While data is often positioned as the blanket cure for every business malady, those who work in the field understand all too well that data science algorithms are never a one-size-fits-all solution.

6          Data, Not Digitalization, Transforms the Post-Pandemic Supply Chain
https://sloanreview.mit.edu/article/data-not-digitalization-transforms-the-post-pandemic-supply-chain/
That COVID-19 dramatically accelerated digital transformations worldwide has become C-level consensus and a truism. As Microsoft CEO Satya Nadella publicly observed, “We’ve seen two years’ worth of digital transformation in two months. From remote teamwork and learning to sales and customer service, to critical cloud infrastructure and security.”

7          Digital twins: The next innovation for supply chains
https://www.offshore-technology.com/comment/digital-twins-supply-chains/
A digital twin is a computer programme composed of real-world data about a physical object or system that can be used to model real-world behaviour. Internet of things (IoT) sensors on a real object gather data, such as telemetry, weather, temperature, humidity, motion and other factors, and feed that through to the programme, which can then render that information into a useful format.

This information can then be used to simulate different, alternative routes to market, different packaging tolerances and different environments. Digital twins provide an unprecedented level of granularity and transparency to the supply chain, providing a company with greater cost savings through true optimisation between production and the consumer, even providing clues about what a company should do next.

8          Five Eyes alliance could expand in scope to counteract China
https://www.theguardian.com/uk-news/2020/jul/29/five-eyes-alliance-could-expand-in-scope-to-counteract-china

The Five Eyes intelligence alliance could be expanded to include Japan and broadened into a strategic economic relationship that pools key strategic reserves such as critical minerals and medical supplies, according to centre-right MPs working internationally to decouple the west from China.

The coronavirus crisis has revealed the west’s key strategic dependencies on China, and plans will be announced shortly under Five Eyes auspices for a major increase in production of rare and semi-rare metals from Australia, Canada, and America in order to reduce dependency on Chinese stocks.

9          Why Employee Engagement is the New Content Marketing Strategy
https://marketinginsidergroup.com/employee-activation/why-employee-engagement-is-the-new-content-marketing-strategy/

Quick Takeaways:

Employees can be the source of high-quality content that is also the most effective in connecting with your audience.

Some employees can double up as “influencers” for your brand if you groom them right.

Encourage employees to create content to voice their opinions as well as engage customers.

10        6 Skills to Become a Master Data Scientist
https://datafloq.com/read/6-skills-become-master-data-scientist/8859
Data science has grown by leaps and bounds in the past few years. According to Research & Markets, nearly 90% of business professionals say data and analytics will be a key part of their digital transformation, so it’s not surprising that there is a constant demand for data science professionals across the industry.

Not to mention, the good paycheck, promising growth, and consistently challenges at work make data science career extremely fulfilling. However, what’s challenging, is becoming a data scientist.

11        Traditional vs Deep Learning Algorithms used in BlockChain in Retail Industry
https://www.datasciencecentral.com/profiles/blogs/traditional-vs-deep-learning-algorithms-used-in-blockchain-in-3

This blog highlights different ML algorithms used in blockchain transactions with a special emphasis on bitcoins in retail payments. This blog is structured as follows:

Overview of the role of blockchain in the retail industry.

Different traditional (SecureSVM, Bagging, BoostingClustering) vs deep learning algorithms (LSTM, CNN, and GAN) used in bitcoin retail payments.

12        Building a Content-Based Book Recommendation Engine
https://www.kdnuggets.com/2020/07/building-content-based-book-recommendation-engine.html
If we plan to buy any new product, we normally ask our friends, research the product features, compare the product with similar products, read the product reviews on the internet and then we make our decision. How convenient if all this process was taken care of automatically and recommend the product efficiently? A recommendation engine or recommender system is the answer to this question.

Energy Petrochemicals and Plastics 74

Friday, July 24, 2020

Energy Petrochemicals and Plastics 74

1          Oil up on strong economic data, U.S.-China tensions cap gains
https://www.reuters.com/article/us-global-oil-idUSKCN24P04M
Oil prices rose on Friday, lifted by some supportive economic data, but tensions between the United States and China limited gains. Brent crude futures LCOc1 rose 3 cents to settle at $43.34 a barrel. U.S. West Texas Intermediate (WTI) crude CLc1 futures rose 22 cents to settle at $41.29 a barrel.

For the week, Brent rose 0.5%, while U.S. crude rose 1.7%.

2          ‘It is going to be brutal’: What to expect as oil and gas majors unveil their second-quarter results
https://www.oilandgas360.com/it-is-going-to-be-brutal-what-to-expect-as-oil-and-gas-majors-unveil-their-second-quarter-results/

Oil and gas majors are likely to report “horrendous” second-quarter results over the next two weeks, energy analysts have told CNBC, with the three-month period through to the end of June widely expected to mark the “low point” of 2020.

“Big Oil” companies, referring to the world’s largest oil and gas majors, witnessed a historic fall in oil and gas prices during the second quarter as coronavirus lockdown restrictions coincided with an unprecedented demand shock.

3          Backwardation Is The Best Tool For OPEC
https://www.forbes.com/sites/markledain/2020/07/20/backwardation-is-the-best-tool-for-opec/
There are two trends on the supply side costing OPEC money. The first is the growth of shale over the past several years in excess of demand. Shale production proved resilient in multiple markets and technical advancements combined with cheap capital further accelerated development. The second trend is the refusal of Mexico to cut production and the commitment by Mexico to actually grow future production into a difficult market. Targeting backwardation in the price of oil, where the futures price is lower than the current price, is a tool that OPEC will likely now use against both these market participants.

4          Oil demand may climb new peaks in post-coronavirus world
https://blogs.platts.com/2020/07/21/oil-demand-coronavirus-new-peak/
While the coronavirus pandemic may have done permanent damage to oil consumption in the transport sector, strong growth in petrochemicals suggests peak oil demand could still be a couple of decades away.

Changing demand patterns also raise big questions as to how refineries and producers adapt in the post-pandemic world before demand falls from its eventual summit.

5          Commodity Resin Prices Rebound
https://www.ptonline.com/blog/post/commodity-resin-prices-rebound
Prices of four of the five major commodity resins were in various stages of an upward trajectory going into the third quarter. PET was the exception, with tabs mostly flat due to high domestic production and continued imports. Driving higher prices for the other resins were increased domestic demand (particularly for PE) and stronger export activity as North American suppliers regained their feedstock advantage once crude-oil prices jumped up to $40/bbl. Clouding the future outlook were uncertainties about the course of the COVID-19 pandemic and expectations for an active hurricane season ahead.

6          Weekly Resin Report: Strong Exports Push Spot Prices Higher
https://www.plasticstoday.com/resin-pricing/weekly-resin-report-strong-exports-push-spot-prices-higher
The spot resin market remained quite busy last week, although trading in some materials and segments dropped from the very rapid rate seen in previous weeks. Polyethylene (PE) prices continued to rise, with some grades actually accelerating their ascent. Domestic railcar offerings for both PE and polypropylene (PP) were more prevalent early in the week. As material sold, few fresh offers came back, adding to the sense of snug supplies as producers push to implement price increases, reports the PlasticsExchange in its Market Update.

7          Buyers of U.S. LNG cancel September cargoes but pace slows
https://www.reuters.com/article/us-united-states-lng-exports-idUSKCN24M1AO
Buyers of liquefied natural gas (LNG) from the United States continued scrapping September loadings due to weak global gas demand but fewer cargos were cancelled than for the two previous months, industry sources said on Tuesday.

The exact number of cancellations was not immediately clear.

Two of the eight sources said as many as 25 or 26 cargoes might have been cancelled for September, while one source estimated 15 to 20 cargoes and another said it was less than 20. Some sources suggested more than 26 cargoes were scrapped.

8          Russia’s Central Bank Against Copying Mexican Oil Hedge
https://oilprice.com/Energy/Oil-Prices/Russias-Central-Bank-Against-Copying-Mexican-Oil-Hedge.html
Russia’s central bank doesn’t think that copying the Mexican oil hedge is a good idea, the Governor of Bank of Russia, Elvira Nabiullina said at a news conference on Friday, commenting on the idea that Russia could possibly insulate its budget from oil price crashes by adopting an oil hedging program.

Earlier his week, Russian news agency Interfax reported that Russia was considering whether to adopt a kind of state oil hedging program, similar to Mexico’s oil hedge, to protect government revenues from oil price crashes in the future.

9          U.S. refiners trim crude processing as recovery falters
https://www.reuters.com/article/us-global-oil-kemp-column-idUSKCN24O1LD
Refineries processed an average of 14.20 million barrels per day (bpd) last week, down from 14.34 million bpd two weeks ago, U.S. Energy Information Administration data shows.

The slowdown was barely perceptible but marks a significant change from the previous trend of strong and consistent growth since early May.

Refinery crude processing rates remain about 2.8 million bpd, or 17%, below the seasonal average over the past five years (“Weekly petroleum status report”, EIA, July 22).

10        U.S. crude, distillate stockpiles rise unexpectedly -EIA
https://www.reuters.com/article/us-usa-oil-eia-milestones-idUSKCN24N26H
U.S. crude oil and distillate inventories rose unexpectedly and fuel demand slipped last week, the Energy Information Administration said on Wednesday, as a sharp outbreak in coronavirus cases hit U.S. consumption.

U.S. crude production ticked higher and refined products supplied, a proxy for fuel demand, declined. The market has recovered from the doldrums of April, when U.S. prices briefly dropped to more than negative-$40 a barrel, as producers trimmed supply due to a slump in demand amid lockdowns to control the pandemic.

11        Hydrocarbon gas liquids spot prices are generally bound by crude oil and natural gas – Today in Energy
https://www.eia.gov/todayinenergy/detail.php?id=44456
The combination of rapidly declining crude oil prices in March 2020 and relatively flat (and historically low) natural gas prices compressed hydrocarbon gas liquids (HGL) spot prices into a narrow price band from mid-March through the end of April 2020. This relatively narrow band has since widened as crude oil prices have increased and natural gas prices have remained low. Generally, HGL prices are based on their heat content and are bracketed by the prices of natural gas (the lower bound) and crude oil (the upper bound).

12        Could AMLO Cancel Mexico Energy Reform?
https://www.rigzone.com/news/wire/could_amlo_cancel_mexico_energy_reform-24-jul-2020-162822-article/
A former head of Mexico’s state oil giant Petroleos Mexicanos is testifying that lawmakers were bribed to pass a 2014 reform that opened the energy sector to private investment, President Andres Manuel Lopez Obrador said on Friday.

Lopez Obrador said that Emilio Lozoya, who was extradited from Spain this month to face corruption charges in Mexico, is shining light on how money was distributed to legislators.

13        Schlumberger Job Cuts to Top 21,000
https://www.rigzone.com/news/wire/schlumberger_job_cuts_to_top_21000-24-jul-2020-162817-article/
Schlumberger Ltd. posted its weakest sales in 14 years and is cutting one-fifth of its workforce while warning that new waves of Covid-19 could derail the nascent recovery in global energy demand.

The second-quarter rout was so bad for Schlumberger that it’s spending $1 billion on job severance in a move that will shrink staffing to an 11-year low. Various restructuring and impairment charges cost it another $2.7 billion, the company said Friday in a statement.

14        Baker Hughes posts second quarterly loss as oil slump slams demand
https://www.reuters.com/article/us-baker-hughes-results-idUSKCN24N1IF
Baker Hughes Co (BKR.N) posted its second consecutive quarterly loss on Wednesday and said it would continue reining in costs to prepare for a longer period of oil price volatility.

Oil producers stopped drilling new wells and drastically cut their budgets following a collapse in crude oil prices this year that clipped demand for services offered by Baker Hughes and rivals Schlumberger (SLB.N) and Halliburton (HAL.N).

15        Dow signals choppy recovery from pandemic blow, plans cost cuts
https://www.reuters.com/article/us-dow-results-idUSKCN24O189
Dow Inc chief executive officer said on Thursday it would probably take a couple of years for the chemical maker’s volumes and margins to rebound to pre-coronavirus levels, and laid out additional cost-cutting plans to cope with its fallout.

The company posted its first quarterly loss since its separation from the erstwhile DowDuPont conglomerate and forecast third-quarter sales below estimates, sending its shares down 4%.

16        Chevron picks Noble in biggest U.S. energy deal since oil crash
https://www.reuters.com/article/us-noble-energy-m-a-chevron-corp-idUSKCN24L143
Chevron Corp (CVX.N) said on Monday it would buy Noble Energy Inc (NBL.O) in a $5 billion all-stock deal, bolstering its shale presence as a plunge in crude prices have made assets cheaper.

The deal, the largest in the U.S. energy sector this year, comes more than a year after Chevron abandoned its offer for Anadarko Petroleum Corp, outmaneuvered by Occidental Petroleum Corp’s (OXY.N) higher bid.

17        Severe floods in China aggravate oversupply of some petrochemicals
https://www.icis.com/explore/resources/news/2020/07/23/10533124/severe-floods-in-china-aggravate-oversupply-of-some-petrochemicals

Heavy rains in various parts of China have caused severe flooding that has been disrupting logistics operations, thereby exacerbating oversupply of some petrochemicals, as well as oil products.

Flooding has hit twenty-seven provinces mainly in the central and western regions of the country since June, including the petrochemical hubs of Shandong, Jiangsu and Hubei.

18        Banks Backing Away from US Shale
https://www.rigzone.com/news/wire/banks_backing_away_from_us_shale-23-jul-2020-162806-article/
One of the key sources of funding for American shale is evaporating, just as the the sector needs it more than ever.

Banks lending against the oil and natural gas reserves of hundreds of independent U.S. drilling companies have pulled back from the sector at an unprecedented rate this year after energy prices slumped. There’s every indication they’re not done: Many in the industry expect further reductions to credit facilities in the fall, with higher costs and more stringent protections for lenders.

19        Saudi AC Demand May Curb OPEC Plan Impact
https://www.rigzone.com/news/wire/saudi_ac_demand_may_curb_opec_plan_impact-21-jul-2020-162780-article/

As the Middle East enters the hottest days of summer, Saudi Arabia is set to burn potentially record amounts of crude oil to run its power plants and keep its citizens comfortably air-conditioned.

Electricity consumption always soars around July and August, when temperatures in the kingdom can rise above 122 degrees Fahrenheit (50 degrees celsius). That compels the government to use crude or fuel oil in addition to the much cleaner natural gas that normally fires the plants. But this year the urge to drain oil is even stronger because of higher demand, with the coronavirus pandemic forcing many Saudis to cancel their summer holidays abroad.

20        Trial of ex-Pemex boss threatens to lift lid on Mexico’s ‘cash box’
https://www.reuters.com/article/us-mexico-corruption-analysis-idUSKCN24M0LQ
The trial of a former boss of Petroleos Mexicanos threatens to expose years of alleged malpractice at the state oil company and provide a canvas for Mexico’s leftist president to depict rot at the heart of government that he has vowed to clean up.

Once a symbol of Mexican self-reliance and ingenuity, the firm known as Pemex became increasingly beset by graft accusations and financial problems, crushed under a mountain of debt and taxes.

Recycling Renewables and Sustainable Business 45

Friday, July 24, 2020

Recycling Renewables and Sustainable Business 45

1          Chemists make tough plastics recyclable
http://news.mit.edu/2020/tough-thermoset-plastics-recyclable-0722
Thermosets, which include epoxies, polyurethanes, and rubber used for tires, are found in many products that have to be durable and heat-resistant, such as cars or electrical appliances. One drawback to these materials is that they typically cannot be easily recycled or broken down after use, because the chemical bonds holding them together are stronger than those found in other materials such as thermoplastics.

2          Strong efforts to reduce plastic could still leave 710 million tons in the environment by 2040, study suggests
https://www.cbc.ca/news/technology/plastic-reduction-1.5659383
Plastic pollution is ubiquitous, seemingly found in every nook and cranny around the world, from some of the deepest parts of the oceans, to the Arctic, to drinking water.

But a new paper published in the journal Science on Thursday suggests that, with global efforts, we can drastically reduce the amount of plastic waste found on land and in our oceans, though eliminating it entirely isn’t likely.

3          How climate change is leading to ‘a redistribution of life on Earth’
https://www.cbc.ca/radio/whatonearth/how-climate-change-is-leading-to-a-redistribution-of-life-on-earth-1.5661871

Pacific salmon used to be so unfamiliar in Arctic waters that many communities don’t have local words for the fish, and there are stories of harvesters feeding them to their dogs.

But in recent years, chum, pink and sockeye salmon have been showing up in so many fishing nets that Fisheries and Oceans Canada has been keeping track.

4          First active leak of sea-bed methane discovered in Antarctica
https://www.theguardian.com/environment/2020/jul/22/first-active-leak-of-sea-bed-methane-discovered-in-antarctica

The first active leak of methane from the sea floor in Antarctica has been revealed by scientists.

The researchers also found microbes that normally consume the potent greenhouse gas before it reaches the atmosphere had only arrived in small numbers after five years, allowing the gas to escape.

Vast quantities of methane are thought to be stored under the sea floor around Antarctica. The gas could start to leak as the climate crisis warms the oceans, a prospect the researchers said was “incredibly concerning”.

5          Hydrogen Is A Top Contender In The Race To Zero Carbon
https://www.forbes.com/sites/uhenergy/2020/07/23/hydrogen-is-a-top-contender-in-the-race-to-zero-carbon/

The goals of 100% renewable energy and zero carbon emissions are at the forefront of all energy transition/transformation conversations. However, the prospect of fully electrifying certain sectors of the transportation industry is daunting because of electricity’s limited capabilities regarding heavy-vehicle transportation. Tesla says its electric-powered Semi model will be available later this year, but the reality is electric power coupled with battery storage is not yet powerful enough to realistically and sustainably power things like trains, ships and big-rig trucks.

6          Uptake of electric vehicles (EVs) in Europe
https://www.argusmedia.com/pages/NewsBody.aspx?id=2125912&menu=yes
Incentives by national governments across Europe have led to an increase in the uptake of electric vehicles (EVs) in the region in recent months, while general auto sales worldwide have fallen.

French auto giant Renault disclosed record sales in June for its flagship EV the Renault Zoe, in the latest of a series of indications about EV uptake in Europe. Sales of the Zoe in Europe were above 11,000 units last month, according to Jean-Paul Drei, product development manager at Renault.

7          Tesla big battery at Hornsdale delivers world record output of 150MW
https://reneweconomy.com.au/tesla-big-battery-at-hornsdale-delivers-world-record-output-of-150mw-26392/
The Hornsdale Power Reserve – more commonly known as the Tesla big battery – has set a new record for itself, and the world, in terms of output from a lithium-ion battery, feeding 150MW into the South Australia grid as it continues its complex series of tests.

The injection of 150MW occurred in the 2.25pm trading interval on Tuesday, July 21. It represents the maximum output from the upgraded battery, whose capacity and storage is being expanded from the already world leading 100MW/129MWh to a total of 150MW/194MWh.

8          More than 60% of energy used for electricity generation is lost in conversion
https://www.eia.gov/todayinenergy/detail.php?id=44436
In 2019, U.S. utility-scale generation facilities consumed 38 quadrillion British thermal units (quads) of energy to provide 14 quads of electricity. Most of the difference between these values was lost as an inherent result of the energy conversion process. The U.S. Energy Information Administration’s (EIA) U.S. electricity flow diagram visualizes U.S. electricity flow from energy sources consumed to generate electricity and electricity net imports to disposition (conversion and other losses, plant use, and end-use consumption).

9          Renewables topped fossil fuels in EU electricity generation for first time through June 2020
https://ieefa.org/renewables-topped-fossil-fuels-in-eu-electricity-generation-for-first-time-through-june-2020/
Europe’s long goodbye to coal is speeding up, in a transition smoothed by the rise of wind and solar power and energy policy that has priced the fossil fuel out of many markets, according to data released on Wednesday.

Renewable sources of power have taken over for the first time in 2020, generating 40% of European Union electricity, while fossil fuels generated 34%, independent think-tank Ember said in a half-yearly report.

10        IEEFA: Despite the talk, Shell and Total are still investing much more in fossil fuels than renewables
https://ieefa.org/ieefa-despite-the-talk-shell-and-total-are-still-investing-much-more-in-fossil-fuels-than-renewables/

While Shell and Total are shifting towards renewable energy technologies, around 90% of their capital continues to be spent on fossil fuels, finds a new report from the Institute for Energy Economics and Financial Analysis (IEEFA).

To reach their own stated targets, IEEFA estimates that Shell and Total each needs to shift at least $10bn per annum (or 50% of total capital expenditure) from oil and gas exploration and invest into accelerating their renewable strategies.

11        World’s Largest Green Hydrogen Project Unveiled in Saudi Arabia
https://www.greentechmedia.com/articles/read/us-firm-unveils-worlds-largest-green-hydrogen-project
Air Products & Chemicals, the U.S. industrial gas giant, announced plans on Tuesday to build a green hydrogen plant in Saudi Arabia powered by 4 gigawatts of wind and solar power, the world’s largest such project announced so far.

The $5 billion plant will be jointly owned by Air Products, Saudi Arabia’s ACWA Power and Neom, a new mega-city planned near Saudi Arabia’s borders with Egypt and Jordan.

12        European paper recycling rate reaches 72% in 2019
https://www.packagingnews.co.uk/news/materials/paper/european-recycling-rate-reaches-72-2019-20-07-2020

The EPRC said this rate was achieved due to a stable utilisation of Paper for Recycling (PfR) in the European paper industry.

The council said that a good signal towards more sustainability is the fact that the collection of Paper for Recycling was maintained at high levels in Europe despite a decrease in paper and board consumption in Europe.

The sharp and continued decline in Chinese demand for European Paper for Recycling was balanced by increased demand from other countries such as Turkey and India.

13        Morgan Stanley Becomes First U.S. Bank To Measure Carbon Footprint Of Its Loans
https://oilprice.com/Latest-Energy-News/World-News/Morgan-Stanley-Becomes-First-US-Bank-To-Measure-Carbon-Footprint-Of-Its-Loans.html

Morgan Stanley has become the first U.S. bank to start measuring the emissions generated by the businesses it lends to and invests in, the bank said in a press release.

The bank will do this as a member of the Partnership for Carbon Accounting Financials—an organization set up last year to pursue the standardization of so-called carbon accounting in the banking and financial services sector in a bid to reduce the greenhouse gas emissions of the businesses banks lend to and invest in.

14        Long-Term Value of Grid Storage Is All About Capacity, Study Finds
https://www.greentechmedia.com/articles/read/long-term-value-of-grid-storage-is-all-about-capacity-study-finds

The grid is heading in the direction of more renewables, with or without overarching policies to guide it. There’s general agreement that the ability to store electricity will become more valuable as this happens, but the exact value of energy storage in a dynamically evolving electrical system is hard to pin down.

A new study from current and former MIT energy system modelers attempts to quantify this. Rather than looking at the value of a single battery project, or the role of energy storage in a fully decarbonized grid, as previous studies have contemplated, the researchers tested the value of energy storage as the grid’s wind and solar penetration increases to 50 percent and beyond, and as energy storage deployment grows. These dynamics will play out in many parts of the grid over the next 15 or 20 years.

15        The Key To Better Batteries Is Soft Solid Electrolytes, Say Researchers
https://cleantechnica.com/2020/07/22/the-key-to-better-batteries-is-soft-solid-electrolytes-say-researchers/
The bane of battery scientists are little things called dendrites — little spikes of lithium that can pierce battery cells and lead to fires or explosions. Like the stalagmites and stalactites found in underground caves, those dendrites grow larger and stronger over time, particularly during charging cycles.

16        EU needs to increase offshore energy production twenty times
https://www.neweurope.eu/article/eu-needs-to-increase-offshore-energy-production-twenty-times/
The European Commission launched on July 22 a public consultation on its future EU Offshore Renewable Energy Strategy, which will be adopted later this year.

“To achieve climate neutrality by 2050, we need to increase EU’s offshore energy production twenty times,” EU Energy Commissioner Kadri Simson said. “This means making it easier to build large-scale offshore wind parks in an environmentally sustainable way. We must also use the potential of other renewable sources such as offshore solar energy as well as new opportunities of tidal and ocean energy.”

17        Tesla boss Musk’s desire for more nickel could be a non-starter
https://www.reuters.com/article/us-metals-nickel-ahome-column-idUSKCN24P1PJ
Elon Musk faces something of a reality check after his call this week for more nickel mines to feed the batteries that Tesla and other carmakers need to power their electric vehicles.

The market’s fortunes remain beholden not to the battery supply chain but to the much larger stainless steel sector, and nickel prices are hovering around levels that are more likely to force out existing operators than entice new ones.

And it is concern about the state of the stainless steel market that is dampening nickel’s prospects.

Business intelligence and analytics 74

Friday, July 24, 2020

Business intelligence and analytics 74

1          A commercial recovery for B2B companies during coronavirus
https://www.mckinsey.com/industries/advanced-electronics/our-insights/a-post-covid-19-commercial-recovery-strategy-for-b2b-companies

Leaders of B2B companies that primarily serve customers in sectors such as automotive, energy, mining, and telecommunications are trying to mitigate COVID-19’s economic fallout and human toll by ensuring workplace safety, increasing liquidity, and keeping supply chains moving. The pressures have been so intense that few are looking ahead to the return to work, when production lines will ramp up to full capacity. Those forward-thinking executives who do contemplate the recovery may have difficulty creating a solid plan, because COVID-19 has introduced unprecedented complexity into their operations.

2          Overcoming the Innovator’s Paradox
https://sloanreview.mit.edu/article/overcoming-the-innovators-paradox/
Having a great idea is essential to innovation, but that’s only half of what’s needed. Securing the resources to implement the idea is just as important — and potentially more difficult. The inventor Nikola Tesla, for example, came up with several transformative ideas — for electric induction motors, wireless telegraphy, radios, and remote control — but he died penniless because he couldn’t line up the resources to commercialize them. In contrast, Thomas Edison, arguably less brilliant, died wealthy and famous because he was good at both coming up with ideas and winning the necessary support to turn them into reality.

3          US push for global alliance against China hampered by years of ‘America first’
https://www.theguardian.com/us-news/2020/jul/24/us-china-mike-pompeo-america-first
The confrontation between the US and China is gathering pace with each passing week. In the past few days, the Chinese consulate in Houston has been shuttered amid allegations it was a spy hub, and the US mission in the south-western city of Chengdu was closed in retaliation, on similar grounds.

The FBI has started arresting Chinese researchers at US universities with suspected links to the People’s Liberation Army (PLA), one of whom temporarily took refugein the consulate in San Francisco, before surrendering.

4          What New Normal Should We Create?
https://sloanreview.mit.edu/article/what-new-normal-should-we-create/
We currently exist within a world that is unfrozen from the constraints of routine, habits, and norms. By leveraging this moment to explore, experiment, and learn, organizations and their community stakeholders have a unique opportunity to redefine the scope of their priorities and collective actions.

I use the word unfrozen deliberately. In 1947, behavioral psychologist Kurt Lewin proposed a process model of change that denoted three stages: unfreezing, change, and refreezing.

5          Antipatterns that are derailing technology transformations
https://www.mckinsey.com/business-functions/mckinsey-digital/our-insights/ten-antipatterns-that-are-derailing-technology-transformations

Most major organizations today have embarked on transformation programs in response to changes in customer, competitive, and regulatory landscapes. Whether the transformations are labeled agile, digital, or DevOps, their fundamental premise is to build value by establishing short, iterative, and continuous feedback loops between product and customers that dramatically improve both the product and its time to market.

6          COVID-19 is the asteroid that struck American small business
https://searchengineland.com/covid-19-is-the-asteroid-that-struck-american-small-business-338136
Small businesses (SMBs) are now in a Darwinian struggle for survival. The fallout from the COVID-19 pandemic is completely disrupting and reconfiguring the market, with some SMBs adapting and others calling it quits. This will have big implications for marketing and advertising as well.

In its Q2 economic report, Yelp paints a picture of increased consumer activity in late May and early June driving the growth of infections in states such as Florida and California. The report also quantifies the number of local businesses that are permanently closing.

7          How to Use Big Data to Perfect a Marketing Plan
https://datafloq.com/read/how-use-big-data-perfect-marketing-plan/8830
Ask any sports executive, and they’ll tell you that the biggest and most important shift in recent years is from using gut instinct to data for making important decisions. With so much information flowing around during the current digital age, you need to use this approach when it comes to your marketing strategy. Marketers in every industry and sector are using analytics and information to glean insights on client behavior and habits. This information will help you get a leg up on the competition. Here’s how you can use big data to perfect your marketing plan going forward.

8          Analyze-then-Store: The Journey to Continuous Intelligence
https://insidebigdata.com/2020/07/20/analyze-then-store-the-journey-to-continuous-intelligence/
This multi-part article series is intended for data architects and anyone else interested in learning how to design modern real-time data analytics solutions. It explores key principles and implications of event streaming and streaming analytics, and concludes that the biggest opportunity to derive meaningful value from data – and gain continuous intelligence about the state of things – lies in the ability to analyze, learn and predict from real-time events in concert with contextual, static and dynamic data. This article series places continuous intelligence in an architectural context, with reference to established technologies and use cases in place today.

9          Easy Guide To Data Preprocessing In Python
https://www.kdnuggets.com/2020/07/easy-guide-data-preprocessing-python.html
Machine Learning is 80% preprocessing and 20% model making.

You must have heard this phrase if you have ever encountered a senior Kaggle data scientist or machine learning engineer. The fact is that this is a true phrase. In a real-world data science project, data preprocessing is one of the most important things, and it is one of the common factors of success of a model, i.e., if there is correct data preprocessing and feature engineering, that model is more likely to produce noticeably better results as compared to a model for which data is not well preprocessed.

10        Recommender Systems in a Nutshell
https://www.kdnuggets.com/2020/07/recommender-systems-nutshell.html
When you search for a product on Amazon, the algorithm suggests other items with the note “Recommended for you, Kevin” or “Customers who bought this item also bought…”

Recommender systems predict the preference of the user for these items, which could be in form of a rating or response. When more data becomes available for a customer profile, the recommendations become more accurate.

11        The UK’s Huawei decision is emblematic of the new tech cold war
https://www.pharmaceutical-technology.com/tech/the-uks-huawei-decision-is-emblematic-of-the-new-tech-cold-war/

After months of prevaricating, the UK recently made the decision to lock Chinese telecoms company Huawei out of its 5G network. In January, the UK had decided to limit the company’s share of the network to 35% and keep it out of the sensitive ‘core’, but this decision was overturned after the US imposed new sanctions on the company, meaning it could no longer use US-made chips.

12        What I learned from looking at 200 machine learning tools
https://www.kdnuggets.com/2020/07/200-machine-learning-tools.html
To better understand the landscape of available tools for machine learning production, I decided to look up every AI/ML tool I could find. The resources I used include:

Full-stack deep learning

LF AI Foundation landscape

AI Data Landscape

Various lists of top AI startups by the media

Responses to my tweet and LinkedIn post

People (friends, strangers, VCs) share with me their lists

13        4 Ways to Excel as a Female Data Scientist
https://www.informationweek.com/big-data/4-ways-to-excel-as-a-female-data-scientist/a/d-id/1338373
Glassdoor has ranked data science as one of the top 10 best jobs in the US every year since 2015. Here’s how you can stand out in this field.

From analyzing large volumes of data to building contact tracing applications or using machine learning algorithms to discover effective treatments for COVID-19 quickly, the demand for data scientists with diverse skill sets and backgrounds has soared.

14        Data Mining and Machine Learning: Fundamental Concepts and Algorithms: The Free eBook
https://www.kdnuggets.com/2020/07/data-mining-machine-learning-free-ebook.html
The fundamental algorithms in data mining and machine learning form the basis of data science, utilizing automated methods to analyze patterns and models for all kinds of data in applications ranging from scientific discovery to business analytics. This textbook for senior undergraduate and graduate courses provides a comprehensive, in-depth overview of data mining, machine learning and statistics, offering solid guidance for students, researchers, and practitioners. The book lays the foundations of data analysis, pattern mining, clustering, classification and regression.

15        The Bitter Lesson of Machine Learning
https://www.kdnuggets.com/2020/07/bitter-lesson-machine-learning.html
The biggest lesson that can be read from 70 years of AI research is that general methods that leverage computation are ultimately the most effective, and by a large margin. The ultimate reason for this is Moore’s law, or rather its generalization of continued exponentially falling cost per unit of computation. Most AI research has been conducted as if the computation available to the agent were constant (in which case leveraging human knowledge would be one of the only ways to improve performance) but, over a slightly longer time than a typical research project, massively more computation inevitably becomes available.

Energy Petrochemicals and Plastics 73

Friday, July 17, 2020

Energy Petrochemicals and Plastics 73

1          OPEC+ hits the refinery wall
https://www.reuters.com/article/us-global-oil-kemp-idUSKCN24I1UD
Fuel traders and refiners are becoming more pessimistic about the outlook for the global economy and transportation for the rest of this year, even as the crude producers in OPEC+ try to push oil prices higher.

OPEC+ is anxious to see higher crude prices as soon as possible but its ambition is likely to be thwarted in the short term by the renewed softness in fuel consumption.

Price premiums for gasoline and diesel over crude have been flat or falling for almost four weeks since June 23 amid growing anxiety about a resurgence in the coronavirus and a new round of lockdowns.

2          Oil Retreats from High on OPEC+ Taper
https://www.rigzone.com/news/wire/oil_retreats_from_high_on_opec_taper-16-jul-2020-162736-article/

Oil retreated from a four-month high after the OPEC+ alliance confirmed it would start tapering output cuts from next month.

Futures in New York dropped below $41 a barrel after jumping 2.3% on Wednesday. Saudi Arabia and Russia said the producer bloc would proceed with its plan to add more supply next month and were confident that it wouldn’t hurt oil’s rally. The tapering will be partially offset by reduced production from some countries that didn’t meet their targets in previous months.

3          Weekly Resin Report: PE, PP prices continue to tick higher
https://www.plasticstoday.com/resin-pricing/weekly-resin-report-pe-pp-prices-continue-tick-higher
Spot resin trading maintained a swift pace last week. Demand was very good and supply remained constrained, yet available, reports the PlasticsExchange in its Market Update. Prices continued to tick higher, as all commodity polyethylene (PE) and polypropylene (PP) grades added another $0.005/lb last week. Processors absorbed the June $0.04/lb PE increase in stride and the upward momentum has been sustained into July, which now brings the next $0.05/lb increase currently on the table into focus.

4          Russia’s Sibur to cut Baltic LPG exports to five-year lows: traders, data
https://www.reuters.com/article/us-russia-sibur-lpg-exports-idUSKCN24H2IU
Russia’s Sibur is set to reduce liquefied petroleum gas (LPG) shipments from its main Baltic Sea export hub to their lowest in five years this month as global oil output curbs led to shortages at its plants at home, traders said and data showed.

Moscow has cut its oil output by nearly 2 million barrels per day to 17-year lows as part of a supply pact agreed with the Organization of Petroleum Exporting Countries to bolster the market.

5          Reliance’s $15 billion stake sale deal with Aramco delayed
https://www.reuters.com/article/us-reliance-agm-energy-idUSKCN24G1W6
Reliance, operator of the world’s biggest refining complex, last year announced a $15 billion deal with the world’s top oil exporter Aramco as part of the Indian company’s efforts to cut its debts.

“Due to unforeseen circumstances in the energy market and the Covid-19 situation, the deal (with Saudi Aramco) has not progressed as per the original timeline,” Mukesh Ambani told shareholders on Wednesday.

6          Canada’s oil production drops to its lowest level since 2016 wildfires
https://www.eia.gov/todayinenergy/detail.php?id=44396
Canada was the world’s fourth-largest producer of petroleum and other liquids in 2019, but in the first half of 2020, Canada’s production declined 20% from its 2019 average of 5.5 million barrels per day (b/d). Canada’s production of petroleum and other liquids declined as a result of low global crude oil prices, reduced demand for crude oil for refined petroleum products in Canada and the United States, and continued production curtailments imposed by the government of Alberta—the province where more than 80% of Canada’s 2019 crude oil production was located.

7          Oil and gas drilling set for at least a 20-year low in 2020, unlikely to recover to 2019 levels soon
https://www.rystadenergy.com/newsevents/news/press-releases/oil-and-gas-drilling-set-for-at-least-a-20-year-low-in-2020-unlikely-to-recover-to-2019-levels-soon/

The COVID-19 pandemic has stymied oil and gas activity, a phenomena which has now affected the drilling market both in terms of wells drilled and in terms of related demand for drilling equipment. A Rystad Energy analysis shows the number of drilled wells globally is expected to reach around 55,350 this year, the lowest since at least the beginning of the century.

The decline is a staggering 23% fall from 2019’s number of 71,946 wells.

8          Beyond COVID-19: The next normal for packaging design
https://www.mckinsey.com/industries/paper-forest-products-and-packaging/our-insights/beyond-covid-19-the-next-normal-for-packaging-design

The COVID-19 pandemic has reshaped the megatrends buffeting the $900 billion-a-year packaging industry. As the world manages through—and begins to emerge from—the great public-health and economic crisis, we expect these megatrend shifts to change packaging design in fundamental ways.

To prepare for these changes and the move to the next normal, packaging companies must rethink packaging design beyond “must-haves,” such as reasonable costs, convenience, and performance. Three major requirements must be addressed: first, a good sustainability narrative; second, design with hygiene in mind, given recent heightened consumer-safety concerns; and third, design for e-commerce, ship-ready design, and direct-to-consumer models.

9          Shaping the new normal for packaging beyond COVID-19
https://www.mckinsey.com/industries/paper-forest-products-and-packaging/our-insights/shaping-the-next-normal-of-packaging-beyond-covid-19

While people were adjusting their lives in response to the coronavirus pandemic, the crisis was triggering multiple market disruptions. These disruptions will have both short- and long-term ramifications for the global packaging industry, which generates $900 billion a year. The biggest changes include dramatic shifts in consumer channels, new or heightened hygiene and consumer-safety concerns, highly volatile raw-materials prices, lifted single-use packaging bans, and the disruption of several end markets (such as hospitality and restaurants) by stay-at-home orders. What’s more, we expect the current crisis to reshape existing megatrends in the packaging industry.

10        India bent on seeking alternative to China for petrochemical imports
https://www.icis.com/explore/resources/news/2020/07/16/10530588/india-bent-on-seeking-alternative-to-china-for-petrochemical-imports

Indian customs then relented after implementing the checks not sanctioned by the central government for about 10 days from 22 June, industry sources said.

Nonetheless, government efforts have recently heightened to wean India away from huge Chinese imports following the deadly border clash between the two Asian giants’ troops in Ladakh.

Anti-dumping investigations are underway on more than 100 Chinese products being imported by India.

11        Buffett Sees NatGas Sticking Around for Long Time
https://www.rigzone.com/news/wire/buffett_sees_natgas_sticking_around_for_long_time-16-jul-2020-162740-article/

Warren Buffett’s $9.7 billion bet on natural gas looks even more contrarian today.

As Democrat Joe Biden unveils a staggering $2 trillion clean-energy plan—the most ambitious climate package ever offered by a presumptive presidential nominee—Buffett’s recent deal to buy Dominion Energy Inc.’s natural gas assets is a stark sign he’s expecting that the market’s shift away from fossil fuels won’t happen overnight.

12        OPEC Projects 2021 Surge in Crude Demand
https://www.rigzone.com/news/wire/opec_projects_2021_surge_in_crude_demand-14-jul-2020-162715-article/

OPEC expects demand for its crude oil to rebound sharply next year, surpassing levels seen before the coronavirus crisis, as rival producers struggle to revive output.

The Organization of Petroleum Exporting Countries forecasts the need for its crude will surge by 25% in 2021 to average 29.8 million barrels a day, higher than the level required in 2019, according to a monthly report.

13        Dirty tanker markets face reality check after boom busts
https://blogs.platts.com/2020/07/14/dirty-tanker-markets-oil-freight-volatile/
The tanker markets experienced an extremely volatile second quarter as the coronavirus pandemic threw all oil-related markets off-kilter, with rates on some routes swiveling from record-highs to record-lows in just a matter of months.

But with the oil market gradually rebalancing and the summer lull kicking in, freight rates are likely to stay largely steady and soft in the coming months. And according to S&P Global Platts Analytics, freight rates on the dirty tankers’ market will likely remain under pressure until OPEC+ cuts are reversed.

14        U.S. crude oil and natural gas production in April had biggest monthly decreases in years
https://www.eia.gov/todayinenergy/detail.php?id=44356
Production of crude oil and natural gas decreased in the United States in April 2020 by 670,000 barrels per day (b/d) and 2.6 billion cubic feet per day (Bcf/d), respectively, according to the U.S. Energy Information Administration’s (EIA) Monthly Crude Oil and Natural Gas Production Report. Production declines of that magnitude usually arise only in natural disasters such as hurricanes: the drop in U.S. crude oil production in April was the largest since September 2008 when Hurricanes Gustav and Ike caused production to fall by 1.03 million b/d. The April 2020 decline in natural gas production was the largest monthly decrease since Hurricane Isaac-related shut-ins in August 2012.

15        Canadian firms warn over Mexico energy policy at dawn of trade deal
https://www.reuters.com/article/us-canada-mexico-exclusive-idUSKCN24E2OR
s Mexico celebrated a new trade deal with the United States and Canada on July 1, a group of Canadian energy investors warned their government that Mexico could already be violating the agreement for failing to respect contracts.

In a letter to Canada’s Deputy Prime Minister Chrystia Freeland, Finance Minister Bill Morneau, Foreign Minister Francois-Philippe Champagne and other officials, four companies voiced concern their Mexican investments were under threat and urged the government to press Mexico on the matter.

16        Oil diplomacy and the U.S. presidential election
https://www.reuters.com/article/us-global-oil-kemp-idUSKCN24F1SN
Slower growth in petroleum consumption has intensified competition among the major oil producers and contributed to periodic volume wars and price slumps as they have fought for market share.

For now, the big three producers, Russia, the United States and Saudi Arabia, have reached a truce to stabilise prices during the COVID-19 pandemic and the deepest slump in oil consumption in the industry’s history.

17        When Saudi Arabia Says ‘Jump!’ OPEC Responds ‘How High?’
https://www.forbes.com/sites/thebakersinstitute/2020/07/13/when-saudi-arabia-says-jump-opec-responds-how-high/

Since the disastrous Saudi-Russia price war was called off after five weeks, the cartel has not only righted its own ship, defying yet another round of commentary about its demise, but seems to have fixed global oil markets in the midst of an unprecedented demand collapse – just in time for OPEC’s 60th birthday.

Once recalcitrant OPEC members have suddenly found religion. Not only are they not cheating on quotas, but they are over-complying for good measure, or promising to do so. Led by Saudi Arabia and its Gulf allies producing a million barrels per day less than their quotas, compliance by the two dozen OPEC+ countries with the 9.7mbd in pledged cuts was reportedly 108% in June.

18        Former Pemex boss arrives back in Mexico for graft trial, enters hospital
https://www.reuters.com/article/us-mexico-corruption-idUSKCN24I0MP
A former boss of Mexico’s state oil company Petroleos Mexicanos facing corruption charges that could envelop leaders of the last government was taken to a hospital early on Friday shortly after his overnight extradition to Mexico from Spain.

Recycling Renewables and Sustainable Business 44

Friday, July 17, 2020

Recycling Renewables and Sustainable Business 44

1          Value of storage goes up with share of renewables but costs declines still vital
https://www.energy-storage.news/news/value-of-storage-goes-up-with-share-of-renewables-but-costs-declines-still

The value of energy storage increases with growing shares of renewable energy on the grid, but the availability and cost of storage will determine how successful decarbonisation with renewables can be.

That’s one of the key takeaways of a new study from the Massachusetts Institute of Technology (MIT) and Princeton University’s Andlinger Center for Energy and the Environment (ACEE), supported by General Electric (GE). Researchers examined battery storage to determine the key drivers behind its present economic value, as well as the likely dynamics of what happens when deployment increases and what that implies for the long-term cost-effectiveness of energy storage.

2          Data Science: The Key Tool Cities Need To Reduce Carbon Emissions
https://www.forbes.com/sites/ankitmishra/2020/07/13/data-science-the-key-tool-cities-need-to-reduce-carbon-emissions/

In November 2019, the first case of Covid-19 was reported in Wuhan, China. During the early days of the outbreak, local authorities attempted to clamp downon sharing information about the virus, but as the transmission strengthened in the region, the government imposed lockdown measures across China’s Hubei province to control the spread of Covid-19. On January 22, Wuhan became the first major city under quarantine, and in the months that followed, many cities followed suit that caused a shock to the global economy. In June, the OECD projected that the global economy would contract by 6% this year if the second wave of the virus is avoided. However, in the case of a second outbreak, the global economy would contract to 7.6%.

3          Smart Cities Will Revolutionize Energy Consumption After The Pandemic
https://oilprice.com/Energy/Energy-General/Smart-Cities-Will-Revolutionize-Energy-Consumption-After-The-Pandemic.html

Technology and innovation are an integral part of helping cities to make more efficient use of energy, while many parts of the world are moving toward increased environmental awareness and a strategic push to curb greenhouse gas emissions.

During the pandemic, governments are using investment in technology to help curb the spread of the coronavirus and to help the economy after the COVID-19 fallout, ARC Advisory Group said earlier this month. Despite the current headwinds, many cities continue to pursue investment in ‘smart city’ technology, which could be a boon to economic recovery, the advisory said.

4          Hydrogen: The great energy hope, or a whole lot of hype?
https://reneweconomy.com.au/hydrogen-the-great-energy-hope-or-a-whole-lot-of-hype-16691/
Hydrogen has some very large difficulties to overcome if it is to be successful as an export fuel for electricity production in Asia.

It’s very likely that every Asian country will want to be as energy independent as possible. Locally produced wind and solar [VRE] offers energy independence, but for many Asian countries the land mass or population density does not suit the mass deployment of solar or wind in the way we are rolling it out in Australia. Hence some hydrogen hype.

5          Why The Hydrogen Boom Is Good News For Natural Gas
https://oilprice.com/Alternative-Energy/Fuel-Cells/Why-The-Hydrogen-Boom-Is-Good-News-For-Natural-Gas.html

After decades of stagnation and multiple false dawns, the hydrogen economy is finally taking off, with some experts predicting that hydrogen could become a globally-traded energy source, just like oil and gas. A growing number of countries and industries are proactively investing in hydrogen technologies; none, however, can rival the EU’s zeal.

The European Union has set out its new hydrogen strategy as part of its goal to achieve carbon neutrality for all its industries by 2050.

6          Is This The Best Way To Produce Cheap Hydrogen?
https://oilprice.com/Alternative-Energy/Fuel-Cells/Is-This-The-Best-Way-To-Produce-Cheap-Hydrogen.html
When the European Union recently announced large-scale hydrogen production plans as part of its green energy future, many in the solar, wind, and natural gas industry rejoiced. But there is also an emerging avenue for hydrogen production and its rubbish. Literally.

7          World’s largest oil firm joins alliance to reduce industry’s carbon emissions
https://www.theguardian.com/business/2020/jul/16/worlds-largest-oil-firm-joins-alliance-to-reduce-industrys-carbon-emissions

The world’s biggest oil company, Saudi Aramco, has joined an alliance of oil companies to set the first industry-wide target to help tackle the climate crisis by setting carbon emissions goals.

Saudi Arabia’s state oil giant has agreed to reduce the carbon intensity of its business as part of the Oil and Gas Climate Initiative (OGCI) which includes Shell, BP and ExxonMobil.

8          G20 Commits $Billions to Energy
https://www.rigzone.com/news/g20_commits_billions_to_energy-16-jul-2020-162735-article/
G20 countries have committed at least $267.1 billion to support different energy types through new or amended policies since the beginning of the pandemic, as of July 15, according to energypolicytracker.org.

These commitments include $120.56 billion for unconditional fossil fuels, through 129 policies, $72.22 billion for conditional clean energy, through 47 policies, and $30.25 billion for conditional fossil fuels, through 16 policies. They also include $27.66 billion for other energy, through 28 policies, and $16.41 billion for unconditional clean energy, through 47 policies.

9          French developer sees opportunity in using U.S. coal plant transmission infrastructure for solar projects
https://ieefa.org/french-developer-sees-opportunity-in-using-u-s-coal-plant-transmission-infrastructure-for-solar-projects/

A utility-scale solar developer is acquiring land rights near U.S. coal-fired power plants, hoping the facilities will close sooner than expected and open up lucrative transmission connections.

Photosol US, a subsidiary of a French company, has purchased options near plants in Nebraska and Kansas, as well as the San Juan Generating Station in northern New Mexico. While the San Juan plant has approval from state regulators to shut down in 2022, the Nebraska and Kansas plants, completed in the early 1980s, do not have retirement dates.

10        Improving electric vehicle economics
https://www.mckinsey.com/industries/automotive-and-assembly/our-insights/making-electric-vehicles-profitable

The future looks bright for electric-vehicle (EV) growth. Consumers are more willing than ever to consider buying EVs, and sales are rising fast. Most major markets have consistently registered 50 to 60 percent growth in recent years, albeit from small bases. More new models from a growing cadre of automotive OEMs make finding a suitable EV easier: in 2018 alone OEMs launched about 100 new models and sold two million units in total globally. Likewise, performance improvements continue with respect to range, performance, and reliability. Regulations in major car markets—namely China, the European Union, and the United States—compel OEMs to produce more EVs and encourage consumers to buy them.

11        The Biofuel Boom Was Doomed From The Start
https://oilprice.com/Alternative-Energy/Biofuels/The-Biofuel-Boom-Was-Doomed-From-The-Start.html
Why haven’t biofuels taken off? For years they have been touted as the fuel of the future, with high-profile commercial aircraft making headlines for pioneering all-biofuel international flights and promising a greener future for air travel. The first transatlantic flight powered solely by biofuel, a Gulfstream G450 owned by Honeywell International Inc., took place nearly a decade ago, in 2011, and was lauded as a harbinger of green jet fuel for all.

12        Car tyres are major source of ocean microplastics
https://www.theguardian.com/environment/2020/jul/14/car-tyres-are-major-source-of-ocean-microplastics-study

More than 200,000 tonnes of tiny plastic particles are blown from roads into the oceans every year, according to research.

The study suggests wind-borne microplastics are a bigger source of ocean pollution than rivers, the route that has attracted most attention to date. The analysis focused on the tiny particles produced by tyres and brake pads as they wear down.

It estimated that 550,000 tonnes of particles smaller than 0.01mm are deposited each year, with almost half ending up in the ocean. More than 80,000 tonnes fall on remote ice- and snow-covered areas and may increase melting as the dark particles absorb the sun’s heat.

13        More bad news for BPA: Novel analysis adds to evidence of chemical’s health effects
https://www.ehn.org/bpa-effects-on-human-health-2646417888.html
Exposure to minuscule amounts of bisphenol-A can cause a multitude of health problems, including effects on the developing brain, heart, and ovaries, according to a paper published on Thursday that integrates data from several animal studies.

14        Summers could become ‘too hot for humans’
https://www.bbc.com/news/science-environment-53415298
Millions of people around the world could be exposed to dangerous levels of heat stress – a dangerous condition which can cause organs to shut down.

Many live in developing countries, and do jobs that expose them to potentially life threatening conditions.

These include being out in the open on farms and building sites or indoors in factories and hospitals.

15        Joe Biden Promises ‘Historic Investments’ In Clean Energy
https://oilprice.com/Energy/Energy-General/Joe-Biden-Promises-Historic-Investments-In-Clean-Energy.html
Democratic presidential candidate Joe Biden proposed a $2 trillion clean energy and climate change package on Tuesday, a plan that would overhaul transportation, electricity, and heavy industry. Some of the highlights include making the entire electricity sector 100 percent carbon-free by 2035, retrofitting four million buildings over four years, building 500,000 EV recharging stations, and funding for researching a variety of carbon capture and storage as well as advanced nuclear power technologies.

16        Methane rises to highest level on record
https://www.theguardian.com/environment/2020/jul/14/livestock-farming-and-fossil-fuels-could-drive-4c-global-heat-rise

Animal farming and fossil fuels have driven global emissions of the potent greenhouse gas methane to the highest level on record, putting the world on track for dangerously increased heat levels of 3C to 4C.

Since 2000 discharges of the odourless, colourless gas have risen by more than 50m tonnes a year, equivalent to 350m cars or double the total emissions of Germany or France, according to the latest Methane Budget study by a global team of scientists.

17        Say Hello to the Biggest Battery in America (for Now)
https://www.greentechmedia.com/articles/read/say-hello-to-the-new-biggest-battery-in-the-us
Things are moving fast in the grid battery industry — and nowhere faster than California.

That’s where LS Power, a private equity firm that develops grid infrastructure, hooked up the new most powerful battery in the country last month.

The Gateway Energy Storage Project turned on an initial tranche of 62.5 megawatts/62.5 megawatt-hours near San Diego on June 9, according to the California Independent System Operator.

18        Offshore wind energy investment quadruples despite Covid-19 slump
https://www.theguardian.com/environment/2020/jul/13/offshore-wind-energy-investment-quadruples-despite-covid-19-slump

Global offshore wind investment more than quadrupled in the first half of the year even as the coronavirus pandemic triggered an unprecedented economic shock.

A report has found that investors gave the greenlight to 28 new offshore windfarmsworth a total of $35bn (£28bn) this year, four times more than in the first half of 2019 and well above the total for last year as a whole.

19        IHS Markit: Oil and Gas Operations Turn to Renewables
https://solarindustrymag.com/ihs-markit-oil-and-gas-operations-turn-to-renewables
Oil and gas companies are starting to utilize zero-carbon sources to reduce carbon emissions associated with operations, according to a new database and analysis by IHS Markit of these types of renewable energy projects.

“There is a striking pace of growth over the past few years and a dynamic commercial environment for delivering renewable energy to oil and gas operations,” says Judson Jacobs, executive director of upstream energy at IHS Markit.

Business Intelligence and Analytics 73

Friday, July 17, 2020

Business Intelligence and Analytics 73

1          Data Science, Quarantined
https://sloanreview.mit.edu/article/data-science-quarantined/
The economic impact of COVID-19 is unprecedented, dramatically changing markets and prospects for economic growth. Supply chains, transportation, food processing, retail, e-commerce, and many other industries have transformed overnight. Unemployment in the U.S. has reached levels unknown in recent memory, and GDP is expected to fall around the world. As one economic journalist summed up the situation: “Nearly everything in the world is super-weird and disrupted right now.”

2          The Future of Data Analytics -Big Data Analytics News
https://bigdataanalyticsnews.com/low-code-platforms-future-of-data-analytics/
In this modern age, advancement in the field of computer sciences demands an easier approach to building new applications. Thankfully, the answer lies in low-code development. As low-coding development environment makes non-coders to develop applications without facing difficulties. The future of low-code platforms is improving which eliminates the progression of the hard side of coding. The trend of low coding is now evolving towards data sciences and analytics. It can reduce the pressure on the IT teams with minimal code. Low code reduces time, cost, and power for developing applications.

3          AI Transformation — Take Baby Steps or It Will Fail
https://medium.com/@nurit.coheninger/ai-transformation-take-baby-steps-or-it-will-fail-574b088863f
There are no shortcuts when it comes to understanding the value of AI in transforming your organization. First, assess how the benefits of this technology will meet your organization’s strategy. One way of doing this is by choosing the most frequent processes and analyzing ways to reduce costs. Another way is to look for a competitive advantage and create an enlargement of your revenuethrough automation.

4          The great acceleration
https://www.mckinsey.com/business-functions/strategy-and-corporate-finance/our-insights/the-great-acceleration

The fault lines between industries and business models that we understood intellectually before the COVID-19 crisis have now become giant fissures, separating the old reality from the new one. Just as an earthquake produces a sudden release of pent-up force, the economic shock set off by the pandemic has accelerated and intensified trends that were already underway. The result is a dramatic widening of the gap between those at the top and the bottom of the power curve of economic profit 1 —the winners and losers in the global corporate-performance race.

5          Technology in the Pandemic: Recreate the Office or Repurpose It?
https://sloanreview.mit.edu/article/technology-in-the-pandemic-recreate-the-office-or-repurpose-it/
In the office, we socialize on the fly, flit from meeting to meeting seamlessly, and establish routines and patterns that not only work for us but jell with those of others. One of the important decisions that managers confront now, as working remotely becomes standard practice, is how to use technology to recreate these dynamics. Should they attempt to replicate life as it was in brick-and-mortar offices, or does the drastic switch to virtual work necessitate that they try something different?

6          Speaking Truth to Power 2.0 — Taking a Stand as an Agile Practitioner
https://www.business2community.com/strategy/speaking-truth-to-power-2-0-taking-a-stand-as-an-agile-practitioner-02327345

Do you need an emergency fund as a change agent—whether you are acting as Scrum Master, Product Owner, or agile coach—because conflict is inevitable, but change is not? Speaking truth to power probably comes at a price.

In my experience, speaking truth to power, pointing at the emperor’s new clothes and the reality in the trenches, is necessary a trait for every change agent — including Scrum Masters and agile coaches — in organizations that lack strong leadership.

7          Unlocking enterprise efficiencies through zero-based design
https://www.mckinsey.com/business-functions/operations/our-insights/unlocking-enterprise-efficiencies-through-zero-based-design

Across virtually every industry, startups are gaining ground, if not disrupting the status quo, with new operating models that allow them to design, test, and scale better products and services, faster than ever. This ability has raised customer expectations, putting added pressure on incumbent businesses.

Of course, startups have an innate advantage: a clean slate from which to design operations and processes. Incumbents, on the other hand, contend with rigid and ingrained processes and systems, and a well-worn, usually siloed, organizational structure that slows decision making.

8          How to choose between a Linear or Nonlinear Regression for your dataset
https://towardsdatascience.com/how-to-choose-between-a-linear-or-nonlinear-regression-for-your-dataset-e58a568e2a15

Any Data Scientist starts their journey with regression analysis because it forms the basics of all predictive modeling and one can easily connect with the math and stats behind the scenes which is essential for any Machine Learning model. It is also necessary to know the different varieties of regression techniques to implement on your dataset to attain good accuracy with minimum error rate

9          ANOVA vs Regression in One Picture
https://www.datasciencecentral.com/profiles/blogs/anova-vs-regression-in-one-picture
If you scour the internet for “ANOVA vs Regression”, you might be confused by the results. Are they the same? Or aren’t they? The answer is that they can be the same procedure, if you set them up to be that way. But there are differences between the two methods. This one picture sums up those differences.

10        Lean management or agile? The right answer may be both
https://www.mckinsey.com/business-functions/operations/our-insights/lean-management-or-agile-the-right-answer-may-be-both

Has there even been a time when customers were more demanding of the companies serving them? Industry 4.0 technologies—many barely imaginable only a decade ago—have already enabled genuine breakthroughs in cost, convenience, and customization, creating extraordinary value for buyers while raising the performance bar for producers ever higher.

Energy, Petrochemicals and Plastics 72

Friday, July 10, 2020

Energy, Petrochemicals and Plastics 72

1          Monday Was A No-Good, Terrible, Very Bad Day For The Pipeline Business
https://www.forbes.com/sites/davidblackmon/2020/07/07/monday-was-a-no-good-terrible-very-bad-day-for-the-pipeline-business/

Monday was a no good, terrible, very bad day for the midstream sector of the domestic oil and gas industry.

First, Dominion and Duke Energy announced over the weekend that they have cancelled plans to complete the $8 billion Atlantic Coast Pipeline project. The pipeline would have carried natural gas produced in the Marcellus Shale region across the Appalachian Mountains to markets a long the East coast of the U.S.

The cancellation of the project comes weeks after the companies had actually won a case before the U.S. Supreme Court that gave them the right to build the pipeline underneath the Appalachian Trail, a route that anti-development groups had opposed. But that expensive litigation helped to increase costs related to the project to levels that would have diminished its profitability.

2          Oil Market Recovery Threatened By Weaker Fuel Demand
https://oilprice.com/Energy/Oil-Prices/Oil-Market-Recovery-Threatened-By-Weaker-Fuel-Demand.html
Gasoline demand appears to be weakening in some parts of the United States, as the coronavirus continues to spread. The states hardest hit by the surging number of infections are also some of the largest, with tens of millions of drivers. Much of the country continues to see a slight uptick in gasoline consumption. But in Arizona, Texas and Florida, where the coronavirus is raging, a growing number of people are staying home. Cases are rising in more than 30 states.

3          Global recession will hasten refinery rationalisation
https://www.reuters.com/article/us-global-oil-kemp-idUSKBN2481WD
Coronavirus and the cyclical slump in petroleum consumption are accelerating a long-term rationalisation of the global refining industry and a shift eastwards in its centre of gravity to Asia.

Refinery margins for making middle distillates such as gasoil and jet fuel have plunged to their lowest since 2009 as lockdowns and recession have cut fuel consumption by millions of barrels per day.

Much of this is cyclical and will unwind if and when the major economies and their fuel consumption recover and stocks of gasoline and diesel return to more normal levels.

4          Did COVID Kill LNG Natural Gas Dreams?
https://www.fxempire.com/forecasts/article/did-covid-kill-lng-natural-gas-dreams-660124
The current minimum amount of positive figures or green shoots are swiftly removed by new depressing figures of crude oil stock volumes in USA or lower estimates of OECD and MENA region GDP figures for 2020. The total impact is still unclear, but one thing has become obvious, energy demand and supply is under pressure, but not yet balancing out the right way.

At present, the main focus when talking about energy demand destruction is on crude oil and its products. Clearly, oil is struggling, but its sister, natural gas is totally on life-support.

5          Multibillion-dollar gas projects in jeopardy as global market collapses
https://www.theguardian.com/business/2020/jul/07/multibillion-dollar-gas-projects-in-jeopardy-as-global-market-collapses

Plans for new terminals may be abandoned because of glut of fossil fuel supply, says study

A multibillion-dollar pipeline of projects aiming to ship gas around the world on giant tankers could be in jeopardy because of a collapse in the global gas market, according to a report.

A study by Global Energy Monitor has found that spending on new gas terminals needed to ship super-chilled liquified natural gas (LNG) on seaborne tankers has more than doubled in the past year, from $82.8bn (£66.3bn) to $196.1bn.

6          U.S. natural gas exports to Mexico set to rise with completion of the Wahalajara system
https://www.eia.gov/todayinenergy/detail.php?id=44278
Exports of natural gas by pipeline are the largest component of U.S. natural gas trade, accounting for 40% of all U.S. gross natural gas exports in 2019. EIA expects these exports to increase with the completion of the southern-most segment of the Wahalajara system, the Villa de Reyes-Aguascalientes-Guadalajara (VAG) pipeline. VAG began operations in June 2020, connecting new demand markets in Mexico to U.S. natural gas pipeline exports.

7          Making The Most Of Low Prices: A Short Guide For Natural Gas Importers
https://www.forbes.com/sites/thebakersinstitute/2020/07/08/making-the-most-of-low-prices-a-short-guide-for-natural-gas-importers/

Prices of natural gas have fallen precipitously in recent months as the global COVID-19 pandemic deepened the already existing misalignment between growing supply and relatively sluggish demand. Post-COVID-19 recovery should increase the demand through 2022, but a soft market is expected to continue through 2025. These conditions could provide an unprecedented opportunity for natural gas buyers/importers. However, while enjoying the benefits of a buyer’s market, they should consider the deleterious effects that ultra-low gas prices can have on gas producers/exporters and the natural gas market as a whole.

8          Weekly Resin Report: July Trading Starts with a Bang
https://www.plasticstoday.com/resin-pricing/weekly-resin-report-july-trading-starts-bang/118442603763291
The spot resin markets ended June with a flurry and began July with a bang, writes the PlasticsExchange in its Market Update. Despite the shortened week, participants still came to transact and closed a significant number of deals, as prices for polyethylene (PE) and polypropylene (PP) ticked higher. Producers implemented their $0.04/lb price increase on to June PE contracts, while PP contracts were steady to a half-cent higher based on market/index.

9          Covid-19 brought sudden productivity hikes to chemical operations
https://www.bicmagazine.com/departments/operations/pu-covid-19-brought-sudden-productivity-hikes-to-chemical-op/

While Covid-19 has been mostly associated with negative impacts, particularly on decreased product demand as well as project deferments, the productivity increase is an unexpected positive side, as reported by Petrochemical Update.

New ways to work adopted by petrochemical companies as part of the Covid-19 response resulted in productivity increases so significant that many of the new practices are likely to remain well after the pandemic.

10        Asia petrochemicals outlook, w/c July 6
https://www.spglobal.com/platts/en/market-insights/latest-news/petrochemicals/070620-asia-petrochemicals-outlook-wc-july-5

The Asian petrochemicals market outlook remains mixed in the week started July 5, with propylene and methanol markets expected to receive support on resilience in restocking needs and tight spot supply. Other markets, such as paraxylene and purified terephthalic acid, are seen staying bearish as they grapple with a supply glut and sluggish demand.

11        The Next, ‘Natural’ Evolution in Thermoplastic Expandable Microspheres
https://www.plasticstoday.com/sustainability/next-natural-evolution-thermoplastic-expandable-microspheres/71974718263289

Thermoplastic expandable microspheres (TEMS), launched in the early 1980s, are spherical particles that consist of a polymer shell that encapsulates gas. They are, in a sense, micro “balloons,” and upon heating, a tremendous volume and density change takes place.

This feature is a consequence of the tailor-made combination of:

A thermoplastic shell softening at the glass transition temperature, and

a blowing agent with a suitable boiling point (normally a hydrocarbon) simultaneously expanding when heated that, in turn, puts pressure on the shell walls. When inflated, this dramatic increase in volume of the microsphere makes it a great blowing agent, a filler providing surface effects, performance flexibility, and weight reduction.

12        Oil Falls After EIA Confirms Large Crude Inventory Build
https://oilprice.com/Energy/Crude-Oil/Oil-Falls-After-EIA-Confirms-Large-Crude-Inventory-Build.html
Crude oil inventories in the United States swelled by 5.7 million barrels in the week to July 3, the Energy Information Administration reported, but gasoline inventories drew down.

Analysts had expected an inventory decline of 3.114 million barrels for crude oil in the period, while the American Petroleum Institute reported a crude build the day prior, to the tune of 2.048 million barrels.

13        Opec production was the lowest on record in June
https://www.argusmedia.com/pages/NewsBody.aspx?id=2121703&menu=yes
Opec production was the lowest on record in June, when three Mideast Gulf countries made additional voluntary cuts and others improved their output restraint.

Overall group output fell by 1.82mn b/d from May to 22.28mn b/d in June, the most depleted level since Argus began keeping records in January 1998.

14        Long delayed polyethylene units in U.S. Gulf Coast set to start up but timing won’t help
https://www.bicmagazine.com/departments/operations/pu-long-delayed-polyethylene-units-in-u-s-gulf-coast-set-to-/

South Africa-based Sasol will put online by September a 420,000-tonne long-density polyethylene (LDPE) unit in Lake Charles, Louisiana while Taiwan-based Formosa should be on the final stages of completion of a 400,000-tonne LDPE plant it had intended to start in April in Point Comfort, Texas, as reported by Petrochemical Update.

15        Petrobras to launch tender for Brazil’s largest-ever FPSO
https://www.offshore-energy.biz/report-petrobras-to-launch-tender-for-brazils-largest-ever-fpso/
Brazilian oil company Petrobras will be launching a tender for the construction of Brazil’s biggest floating production storage and offloading (FPSO) vessel.

According to an article by Reuters which cited two people with knowledge of the matter, the state-controlled oil firm will announce the tender by the end of August.

The news agency explained that such vessels cost between $2.5 billion and $3 billion to build. Winners of the tender build and own the platforms, and lease them to Petrobras in contracts with daily rates of up to $1 million that often last longer than 15 years.

16        Talos Energy Forced To Share Massive Zama Oil Find With Mexico’s Pemex
https://oilprice.com/Latest-Energy-News/World-News/Talos-Energy-Forced-To-Share-Massive-Zama-Oil-Find-With-Mexicos-Pemex.html

Talos Energy has been ordered to come to some agreement with Mexico’s state-run oil giant, Pemex for the development of its massive Zama oil field made back in 2017.

The Zama discovery is so large—potentially 670 million recoverable barrels large–that it is the largest discovery in Mexico by a private company in decades.

The hitch for Talos, however, who won offshore Zama back in 2015, is that the oil in Zama perhaps bleeds into the neighboring block, operated by Pemex. At least that’s the narrative Pemex is telling.

17        Mexico’s Pemex plans $22.4 billion debt swap
https://www.reuters.com/article/us-mexico-pemex-idUSKBN24836M
Mexico’s Petroleos Mexicanos said on Tuesday it will offer a swap for $22.4 billion worth of bonds maturing between 2027 and 2060 as the state oil firm seeks to manage its massive debt load.

The company, known as Pemex, which had financial debts of nearly $105 billion at the end of March, announced the swap in a filing with the U.S. Securities and Exchange Commission (SEC). The document did not specify when the offer would go into effect.

18        Shale companies receive more than $2.4 billion in pandemic assistance
https://www.worldoil.com/news/2020/7/7/shale-companies-receive-more-than-24-billion-in-pandemic-assistance

The shale industry is getting at least $2.4 billion in loans from the U.S. government’s Paycheck Protection Program aimed at helping businesses that are struggling with the impact of the coronavirus pandemic.

The program will benefit more than 16,000 oil and natural gas explorers and service providers, according to data released Monday and compiled by Bloomberg. Mach Resources LLC, the gas producer run by Chesapeake Energy Corp. co-founder Tom Ward, is among companies listed as receiving loans of $2 million to $5 million.

19        Big Oil’s Investment Risk Is Spiking
https://oilprice.com/Energy/Energy-General/Big-Oils-Investment-Risk-Is-Spiking.html
The major integrated oil companies: Shell,(NYSE:RDS.A, RDS.B); ExxonMobil, (NYSE:XOM); BP, (NYSE:BP); Chevron, (NYSE:CVX), and a few others, so named for their vertical stewardship of the hydrocarbon molecule from initial extraction to final refining, have come under increasingly accurate fire from climate change advocates. In the past organizations like Greenpeace and a host of other conservation organizations, have used direct measures to interdict oil company operations. Measures that were flashy, as they drew a lot of attention from the global press, but over the long haul did little to achieve their goals of stopping oil and gas exploration.

20        Coronavirus pain drives Big Oil’s dash for record debt
https://www.reuters.com/article/us-oilmajors-debt-idUSKBN2481KF
The world’s top oil and gas companies locked in cheap borrowing rates to raise a record amount of debt in the second quarter of 2020 and boost cash reserves as a buffer against a collapse in revenues because of COVID-19.

The dash for debt piles pressure on company balance sheets and the issue is particularly acute for BP (BP.L) and Royal Dutch Shell (RDSa.L). Already burdened by high levels of borrowing, they also face the disruption of a major shift towards renewables and low-carbon.

The world’s top seven energy firms – BP, Shell, Exxon Mobil (XOM.N), Chevron (CVX.N), Equinor (EQNR.OL), Total (TOTF.PA) and Eni (ENI.MI) – raised $60 billion in debt in the quarter, nearly half of the $132 billion in oil and gas sector borrowing over the period, Refinitiv data showed.

21        Oil producers will fight for market share as consumption growth slows
https://www.reuters.com/article/us-global-oil-kemp/oil-producers-will-fight-for-market-share-as-consumption-growth-slows-kemp-idUSKBN24716P

Slower growth will intensify intra-company and intra-company competition for market share putting downward pressure on prices, revenues, investment and employment over the next two decades.

Petroleum has always been a deeply cyclical business and there is no reason to expect any lessening of cyclical volatility (“Oil prices, or how I learned to stop worrying and embrace the cycle”, Reuters, April 25, 2018).

But consumption growth has been progressively slowing since the early 1970s and that underlying trend looks set to continue through the 2020s and 2030s