- Email: [email protected]
Indonesian LNG contract goes to KBR, JGC partnership
March 2005
Pump Industry Analyst
Pump Company
OIL & GAS
MARKET PROSPECTS
Index ABS Alfa Laval Ampco-Pittsburgh Andritz APV Aurora Baker Hughes Bell & Gossett Berkeley BHEL Bjørge Blackmer BOC Boerger Cardo Cardo Pump Cemo Centrilift Circulating Pumps Corporacion EG Crane Curtiss-Wright David Brown Union Pumps DMW Dover Ebara Ebara Technologies Fairbanks Morse FE Myers Flowserve Flygt Fristam Fuji Techno Industries Gardner Denver Gast Mfg GE Geho Gévelot GIW GL&V Gorman-Rupp Graco Grundfos Grundfos Pumps GUD Holdings Hamilton Sundstrand Hamworthy Haskel International Herborner Hydromatic Hypro Hyundai Heavy Industries Idex Imo Pump Industrias EG IronPump Isco ITT Fluid Handling ITT Fluid Technology ITT Flygt ITT Industries JBD Johnson Pump Kirloskar Brothers KSB Kubota Labour Layne Christensen Liquid Controls Maag Pump Systems Textron Met-Pro Metso Micropump Milton Roy Moyno Nash-Elmo National-Oilwell Nihon Oil Pump Nikkiso Northstar Aerospace Oberdorfer Patterson Pump Peerless Pump Pentair Pfeiffer Vacuum Precision Castparts Pulsafeeder Pumpex Pursuit Dynamics Rheodyne Rietschle Thomas R&M Energy Systems Robbins & Myers Roper Industries SA Armstrong Schlumberger Siemens SKF Smedegaard Spirax-Sarco SPP SPX Sta-Rite Sulzer Sulzer Pumps Sundyne Taco Tecumseh Teikoku Electric Textron Thomas Industries Torishima Tsurumi Tuthill United Technologies Versa-Matic Viking Pump Warren Rupp Watson-Marlow Bredel Weir Weir Floway Wilden Wilo Wilo-Emu Wood Group Wood Group ESP WorldWater
2
5,13,16 7,11,13,15 15 12,13,15 11 13 15 13 13 13,15 13,15 12 12 13 5,13,15 5,12,13 11 10 12 16 10,11,15 12 12 15 12,15 15 14 13 13 10,15,13 11 14 11 1,7,10,15 6 15 11 15 13 11,15 8,13,15 15 10,12 13 13,15 10,13 15 13 14 13 13 15 6,10,15 10 16 11 10 10,13 10 13 12,13,15 9 13,15 11,15 11,13,15 15 10 15 6 12 8,15,16 13,15 6 13 10,13 1 11,15 10 15 16 1 8,10 13 12,13,15,16 15 15 6 5,12,13 15 6 1,10 13 15 9,12,15 13 15 13 13,15 12,16 10,12,13,15 5 15 13 12,13,15 11,13 13 13 15 15 12,15 1,9,15 11,15 15 10 15 6 6 6 12,14 1,13,15 10 12 12 13 15 10 12,15
BP, KPI AGREE TO DEVELOP CHINA LINKS BP and Kuwait Petroleum International (KPI) are to investigate and develop opportunities for future joint investment in China and elsewhere in Asia. The two companies have agreed to co-operate in areas such as supply, refining, distribution and marketing to China and neighbouring countries. BP said Chinese oil demand has risen by around 1.6 million barrels of oil per day in the last two years, with almost 90% of that increase supplied by imports, and it expects demand to continue rising over the next decade. BP already has investments worth US$3 billion in China, including stakes in petrochemical, retail, natural gas import and distribution, and other joint ventures.
EPC CONTRACT AWARDED FOR MEXICAN LNG TERMINAL Sempra LNG has awarded a Black & Veatch-led consortium a US$500 million engineering, procurement and construction (EPC) contract for the Energia Costa Azul LNG receipt terminal north of Ensenada, Mexico. The consortium, referred to as BMVT, comprises Black & Veatch, Mitsubishi Heavy Industries of Japan, Vinci Construction Grands Projets of France and Techint SA de CV of Mexico. The large-scale LNG receipt terminal will include an LNG jetty, unloading facilities, LNG storage tanks and regasification facilities. The terminal, which is the first to be located along the Pacific
coast of the Americas, will be capable of receiving 7.6 million tons of LNG per year and processing one billion cubic feet of natural gas per day. The contract covers the construction of two above-ground LNG tanks, each with a storage capacity of 160 000 cubic metres. Black & Veatch and Techint will undertake terminal design and construction work, including LNG regasification and LNG unloading facilities. MHI and Vinci Construction Grands Projets will be responsible for the construction of the LNG storage tanks.
JV LANDS NORTH WEST SHELF LNG PROJECT IN AUSTRALIA Australia’s Foster Wheeler (WA) Pty Ltd, in a joint venture with WorleyParsons Services Pty Ltd, has received a letter of intent from Woodside Energy Ltd for the engineering, procurement and construction management (EPCm) contract for the proposed LNG Phase V project being built at Karratha, Western Australia. Signature of the contract is subject to approval of the project by the North West Shelf Venture participants. Approval is expected during the first half of 2005. This US$1.58 billion Phase V expansion project includes the addition of a fifth train of LNG production, with a capacity of 4.2 million tonnes a year of LNG, to the existing LNG complex at Karratha. The Foster Wheeler/ WorleyParsons joint venture will be responsible for engineering the new plant, procurement and management of equipment supply, fabrication and construction. In addition to train 5, the contract calls for the provision of an additional fractionation unit, acid
gas recovery unit, boil-off gas compressor, two new gas turbine power generation units, a second loading berth and a new fuel gas system compressor. The facility is expected to start up in the fourth quarter of 2008.
INDONESIAN LNG CONTRACT GOES TO KBR, JGC PARTNERSHIP A joint operation between KBR’s PT Brown & Root Indonesia, JGC Corp of Japan and PT Pertafenikki Engineering (PFN) of Indonesia has been awarded the US$1.8 billion engineering, procurement, construction and commissioning (EPCC) contract by BP Berau Ltd for BP’s Tangguh LNG plant at Teluk Bintuni in Papua Province, Indonesia. The scope of the project includes the construction of a two-train LNG processing plant and associated support facilities. Each train will have a capacity of 3.8 million tonnes per annum. The Tangguh project is the largest capital development project currently underway in Indonesia. Development of the winning bid for the project involved the KBR-JCG-PFN Joint Operation identifying more than 1500 potential optimizations and cost reductions to the project, and then selecting and applying those of the greatest benefit to BP. The work scope includes development of extensive infrastructure at the site including marine facilities, product storage, utility support systems, and housing and administrative facilities for the plant staff. The project is expected to begin producing LNG in 2008, with initial product shipments to China, South Korea, and the North American west coast.
Pump Industry Analyst
Pump Company
OIL & GAS
MARKET PROSPECTS
Index ABS Alfa Laval Ampco-Pittsburgh Andritz APV Aurora Baker Hughes Bell & Gossett Berkeley BHEL Bjørge Blackmer BOC Boerger Cardo Cardo Pump Cemo Centrilift Circulating Pumps Corporacion EG Crane Curtiss-Wright David Brown Union Pumps DMW Dover Ebara Ebara Technologies Fairbanks Morse FE Myers Flowserve Flygt Fristam Fuji Techno Industries Gardner Denver Gast Mfg GE Geho Gévelot GIW GL&V Gorman-Rupp Graco Grundfos Grundfos Pumps GUD Holdings Hamilton Sundstrand Hamworthy Haskel International Herborner Hydromatic Hypro Hyundai Heavy Industries Idex Imo Pump Industrias EG IronPump Isco ITT Fluid Handling ITT Fluid Technology ITT Flygt ITT Industries JBD Johnson Pump Kirloskar Brothers KSB Kubota Labour Layne Christensen Liquid Controls Maag Pump Systems Textron Met-Pro Metso Micropump Milton Roy Moyno Nash-Elmo National-Oilwell Nihon Oil Pump Nikkiso Northstar Aerospace Oberdorfer Patterson Pump Peerless Pump Pentair Pfeiffer Vacuum Precision Castparts Pulsafeeder Pumpex Pursuit Dynamics Rheodyne Rietschle Thomas R&M Energy Systems Robbins & Myers Roper Industries SA Armstrong Schlumberger Siemens SKF Smedegaard Spirax-Sarco SPP SPX Sta-Rite Sulzer Sulzer Pumps Sundyne Taco Tecumseh Teikoku Electric Textron Thomas Industries Torishima Tsurumi Tuthill United Technologies Versa-Matic Viking Pump Warren Rupp Watson-Marlow Bredel Weir Weir Floway Wilden Wilo Wilo-Emu Wood Group Wood Group ESP WorldWater
2
5,13,16 7,11,13,15 15 12,13,15 11 13 15 13 13 13,15 13,15 12 12 13 5,13,15 5,12,13 11 10 12 16 10,11,15 12 12 15 12,15 15 14 13 13 10,15,13 11 14 11 1,7,10,15 6 15 11 15 13 11,15 8,13,15 15 10,12 13 13,15 10,13 15 13 14 13 13 15 6,10,15 10 16 11 10 10,13 10 13 12,13,15 9 13,15 11,15 11,13,15 15 10 15 6 12 8,15,16 13,15 6 13 10,13 1 11,15 10 15 16 1 8,10 13 12,13,15,16 15 15 6 5,12,13 15 6 1,10 13 15 9,12,15 13 15 13 13,15 12,16 10,12,13,15 5 15 13 12,13,15 11,13 13 13 15 15 12,15 1,9,15 11,15 15 10 15 6 6 6 12,14 1,13,15 10 12 12 13 15 10 12,15
BP, KPI AGREE TO DEVELOP CHINA LINKS BP and Kuwait Petroleum International (KPI) are to investigate and develop opportunities for future joint investment in China and elsewhere in Asia. The two companies have agreed to co-operate in areas such as supply, refining, distribution and marketing to China and neighbouring countries. BP said Chinese oil demand has risen by around 1.6 million barrels of oil per day in the last two years, with almost 90% of that increase supplied by imports, and it expects demand to continue rising over the next decade. BP already has investments worth US$3 billion in China, including stakes in petrochemical, retail, natural gas import and distribution, and other joint ventures.
EPC CONTRACT AWARDED FOR MEXICAN LNG TERMINAL Sempra LNG has awarded a Black & Veatch-led consortium a US$500 million engineering, procurement and construction (EPC) contract for the Energia Costa Azul LNG receipt terminal north of Ensenada, Mexico. The consortium, referred to as BMVT, comprises Black & Veatch, Mitsubishi Heavy Industries of Japan, Vinci Construction Grands Projets of France and Techint SA de CV of Mexico. The large-scale LNG receipt terminal will include an LNG jetty, unloading facilities, LNG storage tanks and regasification facilities. The terminal, which is the first to be located along the Pacific
coast of the Americas, will be capable of receiving 7.6 million tons of LNG per year and processing one billion cubic feet of natural gas per day. The contract covers the construction of two above-ground LNG tanks, each with a storage capacity of 160 000 cubic metres. Black & Veatch and Techint will undertake terminal design and construction work, including LNG regasification and LNG unloading facilities. MHI and Vinci Construction Grands Projets will be responsible for the construction of the LNG storage tanks.
JV LANDS NORTH WEST SHELF LNG PROJECT IN AUSTRALIA Australia’s Foster Wheeler (WA) Pty Ltd, in a joint venture with WorleyParsons Services Pty Ltd, has received a letter of intent from Woodside Energy Ltd for the engineering, procurement and construction management (EPCm) contract for the proposed LNG Phase V project being built at Karratha, Western Australia. Signature of the contract is subject to approval of the project by the North West Shelf Venture participants. Approval is expected during the first half of 2005. This US$1.58 billion Phase V expansion project includes the addition of a fifth train of LNG production, with a capacity of 4.2 million tonnes a year of LNG, to the existing LNG complex at Karratha. The Foster Wheeler/ WorleyParsons joint venture will be responsible for engineering the new plant, procurement and management of equipment supply, fabrication and construction. In addition to train 5, the contract calls for the provision of an additional fractionation unit, acid
gas recovery unit, boil-off gas compressor, two new gas turbine power generation units, a second loading berth and a new fuel gas system compressor. The facility is expected to start up in the fourth quarter of 2008.
INDONESIAN LNG CONTRACT GOES TO KBR, JGC PARTNERSHIP A joint operation between KBR’s PT Brown & Root Indonesia, JGC Corp of Japan and PT Pertafenikki Engineering (PFN) of Indonesia has been awarded the US$1.8 billion engineering, procurement, construction and commissioning (EPCC) contract by BP Berau Ltd for BP’s Tangguh LNG plant at Teluk Bintuni in Papua Province, Indonesia. The scope of the project includes the construction of a two-train LNG processing plant and associated support facilities. Each train will have a capacity of 3.8 million tonnes per annum. The Tangguh project is the largest capital development project currently underway in Indonesia. Development of the winning bid for the project involved the KBR-JCG-PFN Joint Operation identifying more than 1500 potential optimizations and cost reductions to the project, and then selecting and applying those of the greatest benefit to BP. The work scope includes development of extensive infrastructure at the site including marine facilities, product storage, utility support systems, and housing and administrative facilities for the plant staff. The project is expected to begin producing LNG in 2008, with initial product shipments to China, South Korea, and the North American west coast.