Indian Oil Corp Ltd (IOCL) to provide project management consultancy services for a 400 000 tons per year Motor Spirit Quality (MSQ) project at the Panipat Refinery in the state of Haryana, India. The US$130 million investment will enable the refinery to produce gasoline conforming to the latest European Union standards. For the MSQ upgrading project, Jacobs will perform front-end engineering, process design, construction management, procurement, and startup support.
AKER KVAERNER TO MODIFY STATOIL NORNE FPSO Statoil has selected Aker Kvaerner to modify the Norne FPSO topside for tie-back of the Alve satellite field, in Norway. The NKr390 million full EPCI contract includes engineering and procurement, construction and installation. The project completion is scheduled for March 2009. The contract will be managed by Aker Kvaerner’s regional office in Bergen, Norway. Part of the engineering work will be performed at Aker Kvaerner’s regional office in Stjørdal, Norway. Design and procurement work has started and pre-fabrication of steel and piping will begin in August 2007 at Aker Kvaerner workshops. The offshore installation work is planned for execution during 2008.
SNC-LAVALIN WINS UPGRADER PROJECT IN ALBERTA SNC-Lavalin is to provide front end engineering design services for Phase I of the Secondary Upgrader portion
Pump Industry Analyst
of the Fort Hills Oil Sands Project, located in Sturgeon County, in Alberta, Canada. The Sturgeon Upgrader will process bitumen feedstock from the Fort Hills mine into synthetic crude. The upgraded crude will then be marketed for refining into consumer products such as gasoline and diesel. The front-end engineering design phase of the project will begin immediately. The work will be carried out from SNCLavalin’s Montreal office.
PARTNERS LAUNCH BARZAN GAS PROJECT IN QATAR Qatar Petroleum has offered participation in the Barzan gas project and rights for participation in all future phases of the project to ExxonMobil Middle East Marketing Ltd. The two companies have decided not to progress the Gas to Liquids project and instead to pursue the development of the Barzan Project in the North Field. The initial phase of the Barzan project will supply domestic gas to meet Qatar’s infrastructure and industry growth. Qatar Petroleum and ExxonMobil have agreed to form a joint venture to oversee the project development. The initial phase of the Barzan Project will yield about 1.5 billion cubic feet per day of sales gas with the startup anticipated in 2012.
NESTE, TOTAL CANCEL FRENCH BIODIESEL PROJECT Neste Oil and Total have decided to discontinue their project to build a plant to produce diesel fuel from renewable raw materials at a Total refinery in France.
Feasibility studies on the project, which was announced in 2005, have shown that building the plant at Dunkirk would have proved too expensive. Neste Oil’s other biodiesel projects continue as planned. Neste Oil has a similar plant in the final stage of construction at its Porvoo refinery in Finland which is due to come on stream in the first half of this year. Recently the company decided to build a second identical plant at the same site which is due to be commissioned towards the end of 2008. The two plants at Porvoo will have a combined output of 340 000 t/a and are projected to cost approximately 200 million.
POWER GENERATION CONSORTIUM TO BUILD TOCOMA HYDRO FACILITY IN VENEZUELA Italy’s Impregilo, Brazil’s Odebrecht, Venezuela’s Vinccler and Brazil’s CBPO Engenharia are to build the Tocoma hydroelectric facility in Venezuela, in a project awarded by EDELCA, the Caroni-based power company. The US$968 million contract was provisionally awarded after an international tender. The project covers the construction of a concrete dam, including a hydroelectric power station with total installed capacity of 2160 MW.
AKER/SIEMENS WIN COALFIRED STATION CONTRACT Longview Power LLC, a subsidiary of GenPower Holdings LP, has awarded Aker Kvaerner Songer Inc and
Siemens Power Generation Inc a series of contracts for the engineering, supply of equipment and construction for the Longview project, a supercritical pulverized coalfired generating facility in Monongalia County, West Virginia. Foster Wheeler North America Corp will supply the boiler. The project is scheduled to begin February 2007 with a 48 month duration. According to GenPower, the Longview project is expected to be one of the cleanest and most efficient coal-fired plants in the US. The project will use the highly efficient super critical boiler design and the best available pollution control technology to minimize air emissions. It will generate 695 MW of electricity using a Siemens Steam Turbine and air quality control system. For further information about sourcing and potential subcontracts for this project, please contact Pat Bailey, Global Sourcing Champion, Aker Kvaerner Songer Inc. Tel: +1 724 416-6765.
AREVA BUILDS 6 BIOMASS PLANTS IN BRAZIL, THAILAND Areva has been awarded contracts worth more than 70 million for the construction of six biomass power plants - four in Brazil and two in Thailand. The contracts are with CCC Machinery in Germany and Bua Sommai Electricity Generating Co in Thailand, respectively. The power plants, with unit capacities of 10 MW and 12 MW, will be fuelled either with wood waste or with rice husk. • AREVA will deliver the nuclear supply steam system for EDF’s European Pressurized Reactor (EPR) at Flamanville in France.
3
MARKET PROSPECTS
February 2007
Pump Industry Analyst
The contract includes engineering and construction of the reactor components – vessel, vessel head, steam generators, pumps, pressurizer and control rod drive mechanisms – most of which will be manufactured in AREVA plants in Chalon St Marcel and Jeumont.
MARKET PROSPECTS
SKANSKA TO BUILD THERMO POWER PLANT IN BRAZIL Skanska has been awarded a US$136 million contract to build a thermoelectric power plant in Cubatão, 60 km from São Paulo in Brazil. The customer is Petrobras, the Brazilian oil company that is one of Skanska’s repeat customers in the energy sector in Latin America. The contract covers the construction of a co-generation power plant of 220 MW and comprises detailed engineering, procurement, construction and assembly, commissioning and start up assistance of the plant. The project will start immediately and be mechanically completed in 30 months to start operation around mid 2009. The partner in the Skanska-led consortium will be the Brazilian construction company Camargo Corrêa.
WATER & WASTEWATER VEOLIA WATER WINS 21ST CONTRACT IN CHINA Veolia Water has won a 30 year concession with China’s Lanzhou Water Supply Co in Gansu Province, on the banks of the Yellow River. The contract was awarded by local authorities through an international tender for
4
February 2007
the acquisition of 45% of the municipal water company. Veolia Water will manage four water treatment plants, 11 elevation plants, and associated client services. Operations will start in the middle of 2007. This represents Veolia Water’s 21st contract in China. The company now operates in 19 of China's 34 provinces, serving the water needs of more than 20 million people.
ADB FUNDS JAKARTA WATER QUALITY STUDY In response to Jakarta’s serious water problems, the Asian Development Bank (ADB) is funding a study on water quality in the West Tarum canal, which provides 80% of Indonesia’s capital city’s freshwater supply. The 12-month study will be carried out jointly by Perum Jasa Tirta 2, the government’s bulk water service provider of the Citarum river basin, and the Korean water resources company K-Water, which will cosponsor the study. The study will monitor water pollution in 20 or more locations, and recommend measures to improve water quality. The work forms part of ADB’s assistance to the government for the preparation of a 15-year investment program to introduce integrated water resources management in the Citarum river basin. The Integrated Citarum Water Resources Management Program is expected to start in late 2007. ADB’s Water Financing Program 2006–2010 combines expanded investments in water infrastructure with a strong emphasis on good governance to manage water as a resource and as a service, with people in the center, leadership at the national level, and a focus on better decision-making and implementation. The Water Financing Program focuses
on the delivery of substantial investment, reform, and capacity development in three key areas – rural water services, urban water services, and river basin water management.
SUEZ ENVIRO BUYS US WATER DISTRIBUTION UTILITY United Water, a US Suez Environment water and wastewater subsidiary, has just finalised the acquisition of the Aquarion Water Co of New York for US$28 million. Serving more than 677 000 people in 53 cities in Connecticut, New York, Massachusetts and New Hampshire, Aquarion is one of the ten largest water distribution utilities in the US. The acquisition will strengthen the position of United Water in the New York area, where the company already provides water services to more than 150 000 inhabitants and create largescale synergies.
CHEMICALS THAI PDH FACILITY PROJECT GOES TO SHAW A consortium of Shaw Stone & Webster and Taiwan’s CTCI Corp is to provide engineering, procurement, construction and commissioning services to HMC Polymers Co Ltd for a propane dehydrogenation (PDH) plant in Map Ta Phut, Rayong, Thailand. The project is expected to be completed in the summer of 2009 with planned production of 300 000 metric tons per year of propylene. Using an integrated global approach, Shaw will manage
the main process unit engineering work from its Houston, Texas office with offices in Baton Rouge, Louisiana and Mumbai, India, providing support. Shaw is participating in this project as part of a consortium with CTCI Corp who will perform the balance of plant engineering as well as the procurement and construction of the whole facility.
BASF TO BUILD DHDPS PLANT IN LUDWIGSHAFEN BASF has started construction on a new plant for the production of the base material dihydroxy diphenyl sulfone (DHDPS) in Ludwigshafen, Germany. The plant will have an annual production capacity of 6000 metric tons and is expected to go on line in mid2008.
PULP & PAPER METSO TO DELIVER PULPING LINE TO HOLMEN IN SWEDEN Metso Paper will supply a new, energy-efficient thermo-mechanical pulping line to Holmen Paper’s Braviken mill in Sweden, in a 10 million order. The new line will be commissioned in the spring of 2008. The investment will lead to improved quality, lower energy consumption, increased heat recovery and greater pulp production. The delivery involves refining and process equipment, and pulp washing with a press. The new line, which will have a capacity of 780 tonnes/day, will replace a line from 1977. The Braviken mill produces newsprint and telephone directory paper.