Huntsman construction contract goes to Shaw

Huntsman construction contract goes to Shaw

MARKET PROSPECTS Pump Industry Analyst refining companies, has awarded Foster Wheeler Iberia the detailed engineering of new crude, vacuum and gas r...

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MARKET PROSPECTS

Pump Industry Analyst

refining companies, has awarded Foster Wheeler Iberia the detailed engineering of new crude, vacuum and gas recovery units at La Rabida Refinery in Huelva, Spain. This refinery expansion is part of an investment by CEPSA that is aimed at meeting growing demand in Europe for middle distillates such as diesel fuel and kerosene. This latest award follows the successful completion of the front-end engineering design (FEED) for these units by Foster Wheeler Iberia. The crude distillation unit will have a capacity of 90 000 barrels per stream day (bpsd), the vacuum distillation unit capacity will be 30 500 bpsd and the capacity of the gas concentration unit will be approximately 148 tons per hour. The new facility is expected to be completed during the last quarter of 2009.

NESTE OIL, STORA ENSO JOIN FORCES FOR BIOFUELS Neste Oil and Stora Enso are to jointly develop technology for producing newgeneration biofuels from wood residues to replace fossil fuels and cut greenhouse gases. The first step will be to design and build a demonstration plant at Stora Enso’s Varkaus Mill in Finland. The plant, owned on a 50/50 basis by the two companies, is expected to start up in 2008 and will produce heat and electricity for use locally as well as crude biodiesel to be refined into commercial fuel at Neste Oil’s refinery in Porvoo. Expertise from Neste Oil, Stora Enso and Finland’s VTT Technical Research Centre will be used to implement the development phase and commercialise wood-based biofuel production.

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The 14 million demonstration plant will be integrated into the energy infrastructure of the Varkaus Mill.

MARATHON EXPANSION CONTRACT GOES TO SHAW Shaw Stone & Webster has been awarded an engineering and procurement contract by Marathon Petroleum Co LLC for a 70 000 barrels per day (bpd) heavy gas oil hydrocracker unit and a 47 000 bpd kerosene hydrotreater unit. The contract award is part of the Garyville Major Expansion Project at Marathon’s Garyville, Louisiana refinery in the US. The expansion is expected to increase refining capacity from 245 000 bpd to 425 000 bpd, providing the market with an additional 7.5 million gallons of clean transportation fuels daily. Shaw has worked at Marathon’s Garyville refinery since 2003, performing engineering, procurement and construction services for a distillate hydrotreater unit, gasoline desulphurisation unit and coker naphta splitter unit, which helped conform the refinery to meet new cleanfuel standards.

BP BUYS CHEVRON’S DUTCH REFINING BUSINESS BP has agreed to purchase Chevron’s Netherlands manufacturing company, Texaco Raffinaderij Pernis BV, for around US$900 million. As a result of the deal, BP will acquire Chevron’s 31% minority shareholding in the Netherlands Refining Co (Nerefco), Chevron’s stake in the jointly owned wind farm located at the refinery and their shareholdings in the nearby

TEAM crude oil terminal and storage facility and a number of associated pipelines. Nerefco has a crude distillation capacity of 400 000 bpd, which is one of the largest in Europe.

CHEMICALS HUNTSMAN CONSTRUCTION CONTRACT GOES TO SHAW Shaw Constructors Inc has been awarded a construction management and services contract by Huntsman Corp to build a new 100 million pound/year maleic anhydride plant at Geismar, Louisiana. Shaw’s services include overall construction management, site work preparation, structural steel supply and erection, and the installation of mechanical equipment, piping systems, electrical components and instrumentation. The new plant will be built within an existing operating area of Huntsman’s Geismar location and is expected to come on line in the fourth quarter of 2008.

PETROCHEMICALS AKER KVAERNER WINS POLYPROPYLENE PROJECT IN CHINA China Petroleum Material & Equipment (Group) Corp has awarded Aker Kvaerner a contract for the basic engineering design and supply of certain equipment for a new Polypropylene plant at the PetroChina GuangXi Petrochemical Co complex in GuangXi Province, China.

Aker Kvaerner is providing the basic engineering design, together with certain offshore equipment, from the company’s offices in the Netherlands. GuangXi is an integrated refinery complex with downstream facilities for the production of a wide range of products. The new Polypropylene plant will have a capacity of 200 000 metric tons per annum. Plant start-up is expected in 2008.

EXXONMOBIL EXPANDS BELGIAN CAPACITY ExxonMobil Chemical Belgium is expanding the capacity of its hydrocarbon fluids plant in Antwerp to 700 000 tons per year. The project is expected to be completed during the fourth quarter of 2007.

MINING FLUOR AWARDED AUSTRALIAN CONCENTRATOR CONTACT Fluor Corp is to provide project management, engineering and procurement services for a US$598 million (A$775 million) copper-gold project for Oxiana Ltd in South Australia. The project includes the development of an open-pit mine, a conventional grinding and flotation processing plant with an 8 million ton per annum capacity, construction of a permanent village to accommodate a 400-person Oxiana workforce as well as the construction of a haul road, power lines, airfield and bore field. Oxiana expects first commercial production of copper-gold concentrates during the third quarter of 2008.