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Contracts & Project Awards: Global Dec 2013


Petroleum Chemicals & Mining Co. has ordered a Yokogawa control system for the SWRO-4 seawater desalination plant being built in Jubail, Saudi Arabia for Marafiq. SWRO-4 will use RO membranes, producing up to 100k cubic meters/day of potable water - about 25% higher than the combined output from the five Marafiq desalination plants now operating in Jubail. Yokogawa will supply its Centum VP control system, a system for monitoring and online diagnosis of the instrumentation devices and an operator training system. The plant will start operation in Q3/14.

AMEC, on 6 Dec, announced a contract award with Kuwait National Petroleum Co. for project engineering and management services at the Mina Al Ahmadi, Mina Abdullah and Shuaiba oil refineries in Kuwait. The five-year call-off contract, which has an optional one-year extension, is worth up to £158m. The scope includes feasibility studies, FEED, project management consultancy services and training of Kuwaiti engineers.

Essen, Germany-based Kraftwerksschule EV - the training centre of European technical association for power and heat generation VGB PowerTech eV - has chosen Metso to develop virtual training in plant automation for power plant operators. The move is part of plans to establish a process and automation laboratory in the Kraftwerksschule facilities. The fous will be on startups and some other infrequently executed procedures as well as testing new control functions before actual commissioning.

BP
has extended its purified terephthalic acid agreement with Technip, which will now also become the exclusive provider of the inside battery limit FEED to BP for third-party licensing. BP is one of the world's largest PTA producers in the world.

Qatar Petroleum has signed an MOU with Zeon Corp. and Mitsui & Co. Ltd to develop an integrated butadiene extraction and elastomer complex in Ras Laffan Industrial City. The deal covers a feasibility study for the world-scale project. Feedstock will come from the planned Al-Sejeel petchem complex and the Al-Karaana  petchem complex, and from the existing plant of Ras Laffan Olefins Co. Butadiene extracted from feedstock will be converted into elastomers via Zeon’s technology.

Air Products
and Takamul Investment Co., part of Oman Oil Co, are  to establish a JV to supply industrial gases such as hydrogen, nitrogen and oxygen for all customers in the Special Economic Zone at Duqm, Oman.

Gazprom subsidiary, VNIPIgazdobycha, has appointed WorleyParsons as its engineering contractor for the development of a major Russian LNG production and export facility Vladivostok LNG. Expected revenue to WorleyParsons is AUD70 m, which includes the FEED deliverables for two 5MTPA LNG trains with supporting utilities and infrastructure including loading terminal topsides. WorleyParsons’ task is to deliver support during the State Expertiza review phase. FEED deliverables are to be completed by Q4/14.

A JV between CB&I and Zachry Industrial Inc. has been awarded two contracts, each valued at about $2.5bn, by FLNG Liquefaction LLC and FLNG Liquefaction 2 LLCto construct the first two trains of the Freeport liquefaction project. The scope includes engineering, procurement and construction for the conversion of an existing LNG regasification terminal in Freeport, Texas to a liquefaction terminal with a total LNG capacity of over 8,800ktpa.

Repsol and Spain's Centre for Industrial Technology Development (CDTI) have signed an agreement to invest one million euros in the technology company Graphenea- a start-up that has developed new technology for producing high-quality graphene, which supplies its products to 40 countries as well as multinationals such as Nokia, Philips and Sigma-Aldrich, among others. This company was set up in 2010 in San Sebastian by a group of private investors working in partnership with the CIC nanoGUNE research centre.

A group of 17 oil and gas companies has established a project for joint seismic acquisition in the Barents Sea. Statoil is the operator of the project to acquire seismic 3D data from the blocks in the southeastern Barents Sea on the Norwegian Continental Shelf. The project team will initiate a tender process for surveys to take place Q2-Q3 2014. The initial participants are BP, Chevron, ConocoPhillips, Det norske oljeselskap, Eni, GDF Suez, Idemitsu, Lukoil, Lundin, Norske Shell, PGNiG, Repsol, Spike, Statoil, Suncor, VNG and Wintershall.

CB&I
said 9 Dec it had been awarded a contract by JSC Gazprom Neft for FEED services for a new oil refining complex at Gazprom Neft's refinery in Omsk, western Siberia. The existing refinery is currently the largest operating refinery in Russia. The scope includes FEED development for a new 2,000ktpa hydrocracker unit licensed by Chevron Lummus Global, as well as hydrogen, sulphur and other associated units.

Ingleside Ethylene LLC - a JV between Occidental Chemical Corp and Mexichem, - has awarded CB&I a $1bn contract for the engineering, procurement and construction of an ethane cracker and associated utilities and offsites to be located at OxyChem's complex in Ingleside, Texas. The cracker will have the capacity to produce about 1.2bn pounds per year of ethylene.

AMEC on 4 Dec announced a project management consultancy services contract with Abu Dhabi Marine Operating Co. for its Umm Lulu Phase-2 full field development projects offshore the UAE. The five-year contract is worth $124m (£76m). AMEC provided services for the first phase of Umm Lulu and the Nasr phase 1 project.

Foster Wheeler announced 3 Dec a contract for engineering, procurement and related services for a grassroots molybdenum refinery in Chile. The contract was awarded by MOLYB Ltda - part of CODELCO, the world's largest copper producing company and also a leading molybdenum concentrate producer. The new facility, planned to be one of the largest of its kind, will be located near Mejillones in northern Chile.

Jacobs Engineering Group has been selected by Shell as one of three providers to support the company’s module fabrication demand in North America, Jacobs announced 3 Dec.  The seven-year framework agreement includes a three-year extension option.

In Kuwait, Kuwait National Petroleum Co. has awarded AMEC a £158m project engineering and management services contract for the Mina Al Ahmadi, Mina Abdullah and Shuaibaoil refineries. The five-year call-off contract, which has an optional one-year extension, was won in competitive tender. AMEC delivered the previous contract held since 2007.

Kuwait National Petroleum Co.
is to employ a Honeywell integrated control and safety system at its new 615k bpd Al Zour refinery complex in southern Kuwait. As main automation contractor (MAC) the vendor will also provide the FEED for the system. Due for start-up in 2018, Al Zour will be the largest refinery in the entire Middle East.

In Poland, Grupa LOTOS SA and Grupa Azoty SA on 3 Dec signed an agreement to conduct a feasibility study for the construction of a new petrochemical complex close to their existing installations. Polskie Inwestycje Rozwojowe is a potential financial investor in the Euro3bn project.

AMEC
has won a project management consultancy services contract by Abu Dhabi Marine Operating Co. for the Umm Lulu Phase-2 full field development projects offshore the UAE. The five-year contract, announced 4 Dec, is worth $124m for AMEC. which provided services for the first phase of Umm Lulu and these projects. The complex will comprise six bridge-linked platforms including gathering, separation, gas treatment and water disposal facilities, utilities and accommodation modules.

Fortum
has been commissioned a new plant in Joensuu, Finland that produces bio-oil from locally sourced wood-based raw materials. The facility, which is said to be the first of its kind in the world.  (Read more)

Pumps maker Amarinth has recently secured two new orders from Statoil. It is to supply pumps for use in the Oseberg oil field within a 24-week delivery timeframe, and close coupled motor pumps in 316 stainless steel with API 682 seal support systems for use in the Gullfaks field, on a 30-week delivery.

Sasol has awarded Technip the front-end engineering design contract for a gas-to-liquids (GTL) plant to be built in Louisiana. The GTL facility will have a capacity of over 96,000 barrels per standard day. Technip’s operating centre in Rome, Italy, will execute the FEED phase of the project. This contract builds on an alliance between Technip and Sasol in the GTL arena.

Oman Oil Refineries and Petroleum Industries Co.
(ORPIC) has awarded a $2.1-billion, 36-month EPC contract to a 50/50 JV between Petrofac and Daelim Industrial Co Ltd of Korea. The scope includes EPC, start-up and commissioning services at the refinery, in the Sohar Industrial Area, 230km north west of Muscat. The contract includes improvements at the existing facility as well as the addition of new refining units. ORPIC is revamping the seven-year-old facility: increasing current output by over 70%.

Tata Steel
is supplying 110km of line pipe and coatings to Korea Gas Corp.(KOGAS) for the Kirkuk to Baiji Dry Gas Project in Iraq. Around 10kt of line pipe was manufactured and coated at the company’s 42-inch mill in Hartlepool, UK and has been shipped for installation. The 16-inch diameter pipe is designed for the transportation of dry gas.

Statoil
has made a call-off for a framework contract Technip has with Statoil for diving services, Technip said 15 Nov. The work will be performed in connection with the future Edvard Grieg oil pipeline as well as Utsira high gas pipeline. The project will help connect the oil pipeline from the Edvard Grieg platform to the existing Grane oil export pipeline, towards the Sture terminal. The Utsira high gas pipeline will be connected from the Edvard Grieg platform to the Scottish area gas evacuation pipeline

In the US, Chevron Phillips Chemical Co. has appointed Yokogawa Electric Corp. as the main automation contractor (MAC) for its USGC petrochemicals project, which will include a 1,500 ktpa ethane cracker and two 500ktpa polyethylene facilities. (Read more)

"AMEC has continued to perform in line with expectations, with strong performances in the UK North Sea and US renewable markets," AMEC chief executive Samir Brikho said 19 Nov. "Our record order book reinforces our confidence as we look forward to 2014. "The pipeline of acquisition opportunities remains strong."

INEOS on 8 Nov officially opened the one million tonne, deep-sea ethylene terminal at the INEOS Oxide facility located close to Antwerp harbour, Belgium. The new deep-sea terminal is capable of unloading shipments of ethylene from the world’s largest ethylene vessels. The terminal directly supplies INEOS ethylene derivative plants at the Antwerp site and those connected along the ARG ethylene pipeline, which links Antwerp to Köln and the Ruhr industrial areas.

ABB
has signed a long-term service agreement with QGC to provide maintenance for the up-stream and mid-stream facilities at the Queensland Curtis LNG (QCLNG) project in Queensland, Australia.  (Read more)

Emerson is  to automate two ultra-supercritical units at South Korea power plant  Under an $11m contract, the vendor will install its Ovation control system at the 1,050MW coal-fired power plant under construction at the Taean thermal power plant in South Korea.

KSB is to supply eight boiler feed pumps for a new power station in Babelan, 20km east of Jakarta. The 270MW oil-fired station is being built by a Finnish corporate group. 
The order, to be delivered by September 2014, is for the eight boiler feed pumps of which six will be driven by fixed speed 6,000 V electric motors with a 2,260 kW drive rating.  (Read more)

Bayer MaterialScience has commissioned a Euro35m production plant for urethane coating chemicals at its HQ site in Leverkusen, Germany. The company is expanding production capacity for the isocyanate precursors HDI and IPDI. The multipurpose plant can produce either raw material depending on demand via an "environmentally compatible and highly efficient" process, said BMS.

Aker Solutions has secured an NOK3bn, two-year extension from Statoil to provide maintenance and modifications work offshore Norway. This is part of a 2010 framework agreement to provide maintenance and modifications work on the Statoil-operated installations Snorre A/B, Gullfaks A/B/C, Visund and Åsgard A/B. This was for four years with extension options of up to four years. 

Gas Compressors Ltd (GCL) of Tonbridge, Kent, has ordered 16 multi-tube heat exchangers, from HRS Heat Exchangers, for use in gas cooling applications across a number of refineries in Turkey. (Read more)

JV Clough AMEC has been awarded a two-year contract extension by ConocoPhillipsto provide operations and maintenance services to the Bayu-Undan facilities in the Timor Sea. The extension, announced 21 Nov, is worth AU$150m. Bayu-Undan comprises a floating storage and offloading facility and three fixed platforms, a remote wellhead platform, and a compression, utilities and quarters platform, which is bridge-linked to a drilling, production and processing platform.

CB&I announced 21 Nov that it has been awarded a contract worth over $70m by Petrofac Saudi Arabia Co. Ltd. The project scope includes the engineering, procurement and construction of crude oil storage tanks at a grassroots refinery being constructed in Saudi Arabia.

Capula is to provide cubicle build services for an Alstom Euro400m turnkey project in India connecting Champa to Khurukshetra - on behalf of Power Grid Corp. of India Ltd. Using 3,000 MW UHVDC technology, the system link central India to the northern region through a 1,365km transmission line. At its UK HQ in Staffordshire, Capula will build bipole control, converter control and protection, and converter control and protection interface cubicles.

Speciality chemicals maker Lanxess has expanded its cresol production plant in Leverkusen, Germany, increasing capacity for the intermediate by 20%. The Euro20m expansion took about 18 months to complete.  (Read more)

Brion Energy
has opted to use GE produced water evaporation technologies for phase 1 of the MacKay River Commercial Project (MRCP) near Fort McMurray, Alberta, Canada. The MRCP will utilise a steam-assisted gravity drainage (SAGD) technique to produce bitumen. GE’s process will enable recovery of 99% of produced and makeup water fed to the plant for reuse as boiler feedwater. MRCP has a capacity of 150k bpd across four phases, 35k bpd in phase 1.

Abu Dhabi National Oil Co. (ADNOC) and renewable energy company Masdar are to jointly develop commercial-scale projects for carbon capture, usage and storage.  (Read more)

Fuel cell energy developer AFC Energy has selected GB Innomech to develop automated manufacturing equipment to assemble fuel cell stacks for its EU-backed Power Up programme. One of the first plants will be at Air Products’ industrial gas processing facility at Stade, Germany. (Read more)

In Egypt, a governmental organisation is inviting international companies to bid for the supply of oil pipes with different diameters and thickness. Technical envelopes will be opened on 15 Dec 2013. 

M&G Chemicals
is to establish the world’s first biomass to glycols bio-refinery in China. Due for start up in 2015, the plant in Anhui province will have capacity to process 1,000kt of biomass per year.  (Read more)

Jacobs Engineering
has been awarded an EPC management (EPCM) contract by Midway Gold Corp.for its Pan gold project in Nevada. Jacobs is to manage the construction of the leach pad, ponds, buildings, ADR plant and other mine site infrastructure, and is providing the manpower and equipment for the construction phase of the Pan project.

Foster Wheeler has been awarded a contract by Axion Energy Argentina SA, part of Bridas Corp., to provide engineering and procurement services for a new delayed coking unit. This will be based on Foster Wheeler delayed coking technology, to be installed at the Campana Refinery in Buenos Aires Province, Argentina.

Malaysia’s national oil and gas company PETRONAS and Versalis, Eni’s chemical subsidiary are to set up a joint venture to manufacture and supply elastomers. The materials are to be produced at PETRONAS’ proposed Refinery and Petrochemical Integrated Development (RAPID) complex in Pengerang, Johor, Malaysia. (Read more)

Axens, IFP Energies nouvelles (IFPEN)
and tyre giant Michelin have started a plant chemistry research partnership to develop a process for producing bio-sourced butadiene, or bio-butadiene. The 'BioButterfly' process, they say, will make it possible to produce more sustainable synthetic rubber.

Neste Oil
is to join a Dutch-government-backed initiative to deploy biofuel in the aviation sector: exploring production opportunities and scaling up production potentially at its renewable fuel refinery in Rotterdam. Neste Oil's renewable aviation fuel is based on its NExBTL technology, which can use a range of vegetable oil and waste-based raw materials.

Hydrodec Group
is to co-locate its Australian transformer oil re-refining operation at the Southern Oil Refining (SOR) lubricant oil re-refinery in Wagga Wagga, NSW. The move, it said, will create "a single re-refining site of scale in NSW, improving Hydrodec’s cost and operational efficiency." SOR will operate the combined facility under a tolling agreement.

CNOOC Ltd subsidiary Nexen Energy ULC has signed into an exclusive agreement with the Government of British Columbia, Canada to examine the viability of constructing an LNG plant and export terminal at Grassy Point near Prince Rupert, British Columbia, Canada.

Solvay and Shanghai 3F New Material Co. Ltd are to establish a fluoropolymers production JV in Changshu, Jiangsu province, China. The venture for the production of fluoromonomer TFE and PTFE polymers will be held 80% by SH3F and 20% by Solvay. (Read more)

Air Products recently signed a contract with ArcelorMittal to supply three PRISM PHG100 hydrogen gas generators and a high-purity PRISM GN700 nitrogen generator at its Saint Chély d'Apcher plant in Southern France. As the plant is not suited for the storage of large amounts of gaseous hydrogen, Air Products’ on-site modular concept of three hydrogen generators provided a suitable alternative. Each generator can operate at 50% capacity, therefore offering flow rates from 50 Nm3/h up to 300 Nm3/h.