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JV wins contract option for offshore platform
MARKET PROSPECTS INDUSTRIAL
Pump Company Index14 Aker Kvaerner Alfa Laval Ampco-Pittsburgh Andritz Autoclude Baker Hughes BHEL Bjørge Blackmer Cardo Clyde Pumps Concentric Crane Curtiss-Wright Dean Pump Delta Process Equipment Denorco DMW Dosatron Dover DSO Fluid Handling DXP Enterprises Ebara Edwards Flowserve FLSmidth Framo Engineering Franklin Electric Gardner Denver GEA General Electric Gévelot GLV Gorman-Rupp Graco Grundfos GUD Holdings Hamilton Sundstrand Hammelmann Hamworthy Hayward Tyler Hermetic Hyundai Heavy Industries Idex IMO Industrias Schneider Ingersoll Rand Interpump ITT John Wood Group Kirloskar Brothers KSB Kubota Layne Christensen Lederle Little Giant Met-Pro Metso Milton Roy Monarch Moyno National-Oilwell Varco Netzsch Nikkiso NLB PCM Pentair Pfeiffer Vacuum Pioneer Pump Pump Brands Pursuit Dynamics R&M Energy Systems Robbins & Myers Roper Industries Roto Schlumberger Shakti SKF Spirax Sarco SPX Sulzer Sulzer Pumps Tarby Teikoku Electric Textron Torishima Tsurumi United Technologies Verder Wavo Pompen Weatherford Weir Weir Pumps Wilden Wood Group WPIL
2
Pump Industry Analyst
11,14,15 13,15 7,14,15 11 13,15 15 7,14,15 12,13 8,14,15 10,12 12 15 15 16 10 1,10 15 11 13,15 11 10 8,14,15 10,13 12,15,16 14,15 12 1,10,13,15 15 14 15 15 15 10,13,14,15 15 13 15 11 11 9,15 12 11 15 15 12 1 14,15 11,14 15 15 15 11,14,15 15 5,15 11 1 15,16 14,15 11 1 6 15 13 15 11 14 13,14,15 14,15 1 1,10 15 6 6,13,15 14,15 15 15 15 14,15 15 15 11,14,15 16 6 15 15 9,15 12,15 15 11 10 15 10,11,14,15 10 13 14,15 15
Air Liquide plans European expansion
I
n response to the increasing demands of steelmaker ArcelorMittal and the Dunkirk industrial basin, Air Liquide will invest in a new air separation unit (ASU) with a production capacity of 1100 tonnes of oxygen per day which will be integrated into its existing ASUs and its pipeline network. This new production unit will be put into use in the fourth quarter of 2009. In addition to this, in 2009 Air Liquide will also put a new ASU into operation on its existing site in Fos sur Mer, France, with an oxygen, nitrogen and argon production capacity of 1100 tonnes per day to respond to the region’s growing industrial demands in air gases and to modernise its production equipment. Finally, a new air gas production unit will also be put into operation at the end of 2009 on the Mons site in Belgium, replacing the existing unit. This new unit with a production capacity of 1100 tonnes of oxygen per day will reduce electrical consumption by nearly 20% compared with the current consumption.
OIL & GAS
AMEC and Fluor win Kuwait oil and gas contract extensions
A
MEC plc has had a major project management consultancy services contract renewed by Kuwait Oil Co (KOC). The contract is worth approximately £163 million over the next five years. The contract covers consultancy services in project management, front-end engineering and related activities for KOC’s upstream oil and gas assets in Kuwait. It continues the work carried out under a previous project management and engineering contract, which ran from 2004 to 2007. Fluor Corp has won a five-year US$334 million consultancy services contract to provide overall program management on several projects for KOC. Fluor will provide project and construction management and other services for new facilities and upgrading of
existing facilities. The company plans to book the first two years of the contract, or approximately US$90 million, in the first quarter of 2008. The Fluor project team currently resides in Ahmadi, Kuwait, with engineering performed from the firm’s Camberley office in the UK. Fluor had previously provided these consultancy services to KOC from 2003 to 2007 under a similar five-year contract. The new capital projects include the development of oil gathering centres, gas booster stations and export facilities for KOC.
Floating LNG terminal for New Jersey
E
xxon Mobil Corp plans to seek regulatory approval for BlueOcean Energy, a floating liquefied natural gas (LNG) receiving terminal that will create a gateway to global supplies of clean-burning natural gas to help meet the growing energy needs of New Jersey and New York. The project will have the capacity to supply about 1.2 billion cubic feet of cleanburning natural gas per day. Anchored approximately 20 miles off the coast of New Jersey, the floating terminal is designed to receive LNG supplies from double-hulled LNG ships about twice a week, and store the LNG in insulated tanks inside the terminal’s double hull. The stored LNG will then be warmed to turn it back into natural gas for delivery through a new subsea pipeline that will connect to new and existing onshore pipelines.
JV wins contract option for offshore platform
K
BR’s Eos joint venture with WorleyParsons, has been awarded a contract option worth approximately US$24 million for the detailed engineering, procurement management and construction management assistance services for Woodside’s Pluto LNG Project offshore production platform north west of Karratha, Western Australia. Pluto is a riser and gas export platform with the capability to transfer 1600 million standard cubic feet per day (MMscfd). Eos was initially awarded the Front-End Engineering and
February 2008
MARKET PROSPECTS Design (FEED) contract for the Pluto platform in September 2006. The contract provided an option for execution services to include detailed design, procurement management services and construction management assistance.
Gas and condensate discovered in Peru
A
consortium formed by Petrobras (35.15%), Repsol (41% Operator) and Burlington Resources (23.85%) has discovered gas in Peru, in exploratory well Kinteroni X1, in Block 57, in the Cuzco province. The first production tests, which are still in progress, registered a flow of 1 million cubic metres of gas and 198 cubic metres of condensates per day. The Kinteroni discovery structure is more than 22 kms long and has 115 metres of liquid gas and condensate reservoirs.
HYDROCARBON PROCESSING
Fluor to expand Marathon’s Detroit refinery
F
luor Corp will provide integrated engineering, procurement and construction (EPC) for Marathon Oil Corp’s projected US$1.9 billion expansion and upgrade of the company’s Detroit refinery. The US$1.6 billion EPC contract includes services, the value of procured materials and the construction contracts under Fluor’s direct management. Construction is expected to begin within the next few months, subject to regulatory permits. The project is expected to be completed in late 2010, adding more than 400 000 gallons of clean transportation fuels per day to the marketplace.
Biodiesel plant planned for Singapore
T
echnip has been selected by Neste Oil Corp as contractor for the engineering, procurement and construction management (EPCM) of its new generation NExBTL renewable
February 2008
diesel plant to be built in Singapore. The companies intend to continue their partnership for other future NExBTL plants. The plant, which represents an overall investment of approximately 550 million, will have a production capacity of 800 000 tons per year and will be the largest facility producing diesel fuel from renewable feedstocks. The production process will be based on Neste Oil’s proprietary NExBTL technology, the first commercial new-generation diesel production process that can use any vegetable oil or animal fat as feedstock. The construction of the plant will begin in the first half of 2008.
SOXAL invests in Singapore hydrogen unit
S
ingapore Oxygen Air Liquide Pte Ltd (SOXAL), a subsidiary of Air Liquide, has signed a long term contract to supply hydrogen to Neste Oil’s Renewable Diesel plant in Singapore. In order to meet Neste Oil’s industrial gas requirements, SOXAL will invest 125 million to build, own and operate a new worldscale Steam Methane Reformer (SMR) on Jurong Island. This unit is expected to start up in 2010 and will produce about 100 000 Nm3 per hour of hydrogen.
Hindustan Petroleum to upgrade refinery
J
acobs Engineering Group Inc has received a contract from Hindustan Petroleum Corp Ltd (HPCL) to provide project management consultancy services for a lube oil base stock (LOBS) quality upgrading project at HPCL’s refining complex in Mumbai, India. For a total investment of approximately US$160 million, the plant will be upgraded to produce 200 000 tons per year of LOBS to meet HPCL’s quality requirements. HPCL is India’s second-largest integrated oil refining and marketing company. It operates a second refinery in Visakhapatnam, in the state of Andhra Pradesh.
Jacobs will perform front-end engineering and supervise lump sum turnkey contracting for the LOBS project. HPCL selected ExxonMobil Research and Engineering as licensor for the basic design and engineering package.
Pilot facility to grow algae for biofuel
R
oyal Dutch Shell plc and HR Biopetroleum are constructing a pilot facility in Hawaii to grow marine algae and produce vegetable oil for conversion into biofuel. The announcement is a further step in Shell’s ongoing effort to develop a new generation of biofuels using sustainable, non-food raw materials. Algae hold great promise because they grow very rapidly, are rich in vegetable oil and can be cultivated in ponds of seawater, minimising the use of fertile land and fresh water. Shell and HR Biopetroleum have formed a joint venture company, Cellana, to develop this project. Construction of the demonstration facility on the Kona coast of Hawaii Island will begin immediately.
CHEMICALS
Second compounding facility in China for LyondellBasell
L
yondellBasell has begun construction of its second polypropylene compounding facility in China at Guangzhou Nansha. The new facility, to be operated by Guangzhou Basell Advanced Polyolefins Co Ltd, will have an initial annual capacity of 15 000 tonnes and will supply polypropylene composites and alloy materials to the South China automotive and appliances industry. The Nansha facility is scheduled to come on-stream in September 2008.
Nitric Acid contract for Jacobs
J
acobs Engineering Group Inc’s Singapore operation has been appointed by Invista (Singapore) Pte Ltd to provide EPCM services for INVISTA’s nitric acid plant on Singapore’s Jurong Island.
Pump Industry Analyst
3
Pump Company Index14 Aker Kvaerner Alfa Laval Ampco-Pittsburgh Andritz Autoclude Baker Hughes BHEL Bjørge Blackmer Cardo Clyde Pumps Concentric Crane Curtiss-Wright Dean Pump Delta Process Equipment Denorco DMW Dosatron Dover DSO Fluid Handling DXP Enterprises Ebara Edwards Flowserve FLSmidth Framo Engineering Franklin Electric Gardner Denver GEA General Electric Gévelot GLV Gorman-Rupp Graco Grundfos GUD Holdings Hamilton Sundstrand Hammelmann Hamworthy Hayward Tyler Hermetic Hyundai Heavy Industries Idex IMO Industrias Schneider Ingersoll Rand Interpump ITT John Wood Group Kirloskar Brothers KSB Kubota Layne Christensen Lederle Little Giant Met-Pro Metso Milton Roy Monarch Moyno National-Oilwell Varco Netzsch Nikkiso NLB PCM Pentair Pfeiffer Vacuum Pioneer Pump Pump Brands Pursuit Dynamics R&M Energy Systems Robbins & Myers Roper Industries Roto Schlumberger Shakti SKF Spirax Sarco SPX Sulzer Sulzer Pumps Tarby Teikoku Electric Textron Torishima Tsurumi United Technologies Verder Wavo Pompen Weatherford Weir Weir Pumps Wilden Wood Group WPIL
2
Pump Industry Analyst
11,14,15 13,15 7,14,15 11 13,15 15 7,14,15 12,13 8,14,15 10,12 12 15 15 16 10 1,10 15 11 13,15 11 10 8,14,15 10,13 12,15,16 14,15 12 1,10,13,15 15 14 15 15 15 10,13,14,15 15 13 15 11 11 9,15 12 11 15 15 12 1 14,15 11,14 15 15 15 11,14,15 15 5,15 11 1 15,16 14,15 11 1 6 15 13 15 11 14 13,14,15 14,15 1 1,10 15 6 6,13,15 14,15 15 15 15 14,15 15 15 11,14,15 16 6 15 15 9,15 12,15 15 11 10 15 10,11,14,15 10 13 14,15 15
Air Liquide plans European expansion
I
n response to the increasing demands of steelmaker ArcelorMittal and the Dunkirk industrial basin, Air Liquide will invest in a new air separation unit (ASU) with a production capacity of 1100 tonnes of oxygen per day which will be integrated into its existing ASUs and its pipeline network. This new production unit will be put into use in the fourth quarter of 2009. In addition to this, in 2009 Air Liquide will also put a new ASU into operation on its existing site in Fos sur Mer, France, with an oxygen, nitrogen and argon production capacity of 1100 tonnes per day to respond to the region’s growing industrial demands in air gases and to modernise its production equipment. Finally, a new air gas production unit will also be put into operation at the end of 2009 on the Mons site in Belgium, replacing the existing unit. This new unit with a production capacity of 1100 tonnes of oxygen per day will reduce electrical consumption by nearly 20% compared with the current consumption.
OIL & GAS
AMEC and Fluor win Kuwait oil and gas contract extensions
A
MEC plc has had a major project management consultancy services contract renewed by Kuwait Oil Co (KOC). The contract is worth approximately £163 million over the next five years. The contract covers consultancy services in project management, front-end engineering and related activities for KOC’s upstream oil and gas assets in Kuwait. It continues the work carried out under a previous project management and engineering contract, which ran from 2004 to 2007. Fluor Corp has won a five-year US$334 million consultancy services contract to provide overall program management on several projects for KOC. Fluor will provide project and construction management and other services for new facilities and upgrading of
existing facilities. The company plans to book the first two years of the contract, or approximately US$90 million, in the first quarter of 2008. The Fluor project team currently resides in Ahmadi, Kuwait, with engineering performed from the firm’s Camberley office in the UK. Fluor had previously provided these consultancy services to KOC from 2003 to 2007 under a similar five-year contract. The new capital projects include the development of oil gathering centres, gas booster stations and export facilities for KOC.
Floating LNG terminal for New Jersey
E
xxon Mobil Corp plans to seek regulatory approval for BlueOcean Energy, a floating liquefied natural gas (LNG) receiving terminal that will create a gateway to global supplies of clean-burning natural gas to help meet the growing energy needs of New Jersey and New York. The project will have the capacity to supply about 1.2 billion cubic feet of cleanburning natural gas per day. Anchored approximately 20 miles off the coast of New Jersey, the floating terminal is designed to receive LNG supplies from double-hulled LNG ships about twice a week, and store the LNG in insulated tanks inside the terminal’s double hull. The stored LNG will then be warmed to turn it back into natural gas for delivery through a new subsea pipeline that will connect to new and existing onshore pipelines.
JV wins contract option for offshore platform
K
BR’s Eos joint venture with WorleyParsons, has been awarded a contract option worth approximately US$24 million for the detailed engineering, procurement management and construction management assistance services for Woodside’s Pluto LNG Project offshore production platform north west of Karratha, Western Australia. Pluto is a riser and gas export platform with the capability to transfer 1600 million standard cubic feet per day (MMscfd). Eos was initially awarded the Front-End Engineering and
February 2008
MARKET PROSPECTS Design (FEED) contract for the Pluto platform in September 2006. The contract provided an option for execution services to include detailed design, procurement management services and construction management assistance.
Gas and condensate discovered in Peru
A
consortium formed by Petrobras (35.15%), Repsol (41% Operator) and Burlington Resources (23.85%) has discovered gas in Peru, in exploratory well Kinteroni X1, in Block 57, in the Cuzco province. The first production tests, which are still in progress, registered a flow of 1 million cubic metres of gas and 198 cubic metres of condensates per day. The Kinteroni discovery structure is more than 22 kms long and has 115 metres of liquid gas and condensate reservoirs.
HYDROCARBON PROCESSING
Fluor to expand Marathon’s Detroit refinery
F
luor Corp will provide integrated engineering, procurement and construction (EPC) for Marathon Oil Corp’s projected US$1.9 billion expansion and upgrade of the company’s Detroit refinery. The US$1.6 billion EPC contract includes services, the value of procured materials and the construction contracts under Fluor’s direct management. Construction is expected to begin within the next few months, subject to regulatory permits. The project is expected to be completed in late 2010, adding more than 400 000 gallons of clean transportation fuels per day to the marketplace.
Biodiesel plant planned for Singapore
T
echnip has been selected by Neste Oil Corp as contractor for the engineering, procurement and construction management (EPCM) of its new generation NExBTL renewable
February 2008
diesel plant to be built in Singapore. The companies intend to continue their partnership for other future NExBTL plants. The plant, which represents an overall investment of approximately 550 million, will have a production capacity of 800 000 tons per year and will be the largest facility producing diesel fuel from renewable feedstocks. The production process will be based on Neste Oil’s proprietary NExBTL technology, the first commercial new-generation diesel production process that can use any vegetable oil or animal fat as feedstock. The construction of the plant will begin in the first half of 2008.
SOXAL invests in Singapore hydrogen unit
S
ingapore Oxygen Air Liquide Pte Ltd (SOXAL), a subsidiary of Air Liquide, has signed a long term contract to supply hydrogen to Neste Oil’s Renewable Diesel plant in Singapore. In order to meet Neste Oil’s industrial gas requirements, SOXAL will invest 125 million to build, own and operate a new worldscale Steam Methane Reformer (SMR) on Jurong Island. This unit is expected to start up in 2010 and will produce about 100 000 Nm3 per hour of hydrogen.
Hindustan Petroleum to upgrade refinery
J
acobs Engineering Group Inc has received a contract from Hindustan Petroleum Corp Ltd (HPCL) to provide project management consultancy services for a lube oil base stock (LOBS) quality upgrading project at HPCL’s refining complex in Mumbai, India. For a total investment of approximately US$160 million, the plant will be upgraded to produce 200 000 tons per year of LOBS to meet HPCL’s quality requirements. HPCL is India’s second-largest integrated oil refining and marketing company. It operates a second refinery in Visakhapatnam, in the state of Andhra Pradesh.
Jacobs will perform front-end engineering and supervise lump sum turnkey contracting for the LOBS project. HPCL selected ExxonMobil Research and Engineering as licensor for the basic design and engineering package.
Pilot facility to grow algae for biofuel
R
oyal Dutch Shell plc and HR Biopetroleum are constructing a pilot facility in Hawaii to grow marine algae and produce vegetable oil for conversion into biofuel. The announcement is a further step in Shell’s ongoing effort to develop a new generation of biofuels using sustainable, non-food raw materials. Algae hold great promise because they grow very rapidly, are rich in vegetable oil and can be cultivated in ponds of seawater, minimising the use of fertile land and fresh water. Shell and HR Biopetroleum have formed a joint venture company, Cellana, to develop this project. Construction of the demonstration facility on the Kona coast of Hawaii Island will begin immediately.
CHEMICALS
Second compounding facility in China for LyondellBasell
L
yondellBasell has begun construction of its second polypropylene compounding facility in China at Guangzhou Nansha. The new facility, to be operated by Guangzhou Basell Advanced Polyolefins Co Ltd, will have an initial annual capacity of 15 000 tonnes and will supply polypropylene composites and alloy materials to the South China automotive and appliances industry. The Nansha facility is scheduled to come on-stream in September 2008.
Nitric Acid contract for Jacobs
J
acobs Engineering Group Inc’s Singapore operation has been appointed by Invista (Singapore) Pte Ltd to provide EPCM services for INVISTA’s nitric acid plant on Singapore’s Jurong Island.
Pump Industry Analyst
3