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Korean FCCU contract
March 2006
Pump Industry Analyst
Foster Wheeler-designed hydrogen production facility, and front-end engineering designs carried out by other companies, into an invitation to bid package suitable for international engineering, procurement and construction (EPC) contractor bidding. Foster Wheeler will also carry out the EPC technical bid evaluation and will support Alliance in selecting the EPC contractor.
MARKET PROSPECTS
BIO-ETHANOL ALLIANCE Praj Industries Ltd, a global leader in bio-ethanol technology has signed a memorandum of understanding (MOU) with Aker Kvaerner for strategic cooperation on bio-ethanol projects in Europe. The use of this renewable fuel, derived from plants or biomass, provides a significant reduction in overall CO2 emissions compared with a traditional petrol only engine. The European Union (EU) Bio-Fuels Directive has set a target of 5.75% energy content inclusion of bio-fuels in the transportation fuel mix by 2010. Many EU countries are fast developing a fuel ethanol programme. France, Germany, Belgium, the Netherlands and others have announced either a policy or a grant for promotion of fuel ethanol. In their new cooperation, Aker Kvaerner and Praj will unite their respective expertise to jointly pursue business opportunities. Praj will supply the process licence, process engineering, and critical and proprietary equipment for the process plant, while Aker Kvaerner’s European Process business will provide basic engineering, procurement and construction expertise. “As the demand for fuel ethanol grows, technology for production of bio-ethanol becomes more critical. We are therefore delighted to be
4
cooperating with Praj in Europe. We see this as a synergistic alliance which will offer value to European customers in this important and expanding market segment,” said Ronald van der Vlist, Director of Business Development and Technology, with Aker Kvaerner's European Process business. Praj, based in Pune, specialises in technology, design, engineering, manufacture and supply of equipment for distillery plants, ethanol plants, brewery plants and related effluent treatment plants and is the owner of information related to various processes for the same. Praj also has plans to set up an operating base in the EU shortly to augment its marketing efforts.
KOREAN FCCU CONTRACT Shaw Stone & Webster has been awarded a contract by SK Corp for the basic design, procurement of critical equipment and project management for a 60 000 barrels per stream per day fluid catalytic cracking (FCC) unit in Ulsan, Korea. Under the contract, Shaw will integrate 14 process units, define the utility and offsite requirements and provide assistance in the overall management of the project. This marks the eleventh project that Shaw will have executed for SK over the past 20 years.
TECHNOLOGY FOR REFINERY EXPANISION CEPSA has selected UOP technology for eight process units for the expansion of its La Rábida Refinery in Huelva, Spain. This refinery expansion is part of an investment by
CEPSA announced last year that is aimed at meeting growing demand in Europe for middle distillates such as diesel fuel and kerosene. CEPSA senior vice president, Technology, Refining and Gas, Manuel Abollado said, “The utilization rate of the CEPSA’s refinery capacity is currently roughly 98%. The most cost-effective solution to offset the shortage of middle distillates in the European market includes not only a new distillation train, but also the increase of the conversion level through this latest project from UOP.” UOP technologies to be installed include two Merox™ process units, a Unionfining™ process unit and a Unicracking™ process unit. The Merox process removes mercaptans sulfur compounds from liquefied petroleum gas (LPG) as well as from naphthas and gasolines. The Unionfining process is a highly efficient catalytic process for the desulfurization of cracked and straight-run distillate materials. The Unicracking process is the world’s most widely used hydrocracking process for the production of very-high-quality, naphtha and distillate materials out of heavy crude oil fractions.
PULP & PAPER METSO TO SUPPLY PULPING LINE TO BRAZIL Metso Paper will supply a pulping line for the Brazilian dissolving pulp producer, Bahia Pulp. The new fiber line will start up during the third quarter of 2007. The value of the order is not disclosed. The scope of Metso Paper’s delivery will cover a complete new line from cooking to ready reeled or baled pulp. The value of this type of fiber line
ranges from 50 million to 100 million, depending on the scope of delivery and the production capacity. The order is part of Bahia Pulp’s investment to triple its dissolving pulp production capacity from the current 115 000 tons per year to 365 000 tons per year. Bahia Pulp owns 150 000 hectares of sustainable eucalyptus plantations serving its production of bleached dissolving pulp based on ecalyptus urophylla as the raw material. Upon completion of the expansion, Bahia Pulp will be able to produce standard grade dissolving pulp as well as specialty pulp for high-end market segments. These include acetate pulps and pulps used in the food, pharmaceutical and cosmetics industries.
CHEMICALS CANADIAN SULPHUR CONTRACT Jacobs Engineering Group Inc has announced that a subsidiary company has received a contract to provide front-end engineering and detailed design services for the new sulphur complex at Suncor’s oil sands facility near Fort McMurray, Alberta, Canada. This scope represents the second stage of engineering design work that Jacobs began in 2004 for Suncor’s Voyageur Sulphur Complex, which includes two sour water strippers, an amine unit, two sulphur recovery trains including a future third train, sulphur degassing, and an LT SCOT tail gas treating unit. The project represents the first application of the new LT SCOT Process in North America and the largest application of the process to date. This process is designed to lower operating costs by applying a more efficient catalyst.
Pump Industry Analyst
Foster Wheeler-designed hydrogen production facility, and front-end engineering designs carried out by other companies, into an invitation to bid package suitable for international engineering, procurement and construction (EPC) contractor bidding. Foster Wheeler will also carry out the EPC technical bid evaluation and will support Alliance in selecting the EPC contractor.
MARKET PROSPECTS
BIO-ETHANOL ALLIANCE Praj Industries Ltd, a global leader in bio-ethanol technology has signed a memorandum of understanding (MOU) with Aker Kvaerner for strategic cooperation on bio-ethanol projects in Europe. The use of this renewable fuel, derived from plants or biomass, provides a significant reduction in overall CO2 emissions compared with a traditional petrol only engine. The European Union (EU) Bio-Fuels Directive has set a target of 5.75% energy content inclusion of bio-fuels in the transportation fuel mix by 2010. Many EU countries are fast developing a fuel ethanol programme. France, Germany, Belgium, the Netherlands and others have announced either a policy or a grant for promotion of fuel ethanol. In their new cooperation, Aker Kvaerner and Praj will unite their respective expertise to jointly pursue business opportunities. Praj will supply the process licence, process engineering, and critical and proprietary equipment for the process plant, while Aker Kvaerner’s European Process business will provide basic engineering, procurement and construction expertise. “As the demand for fuel ethanol grows, technology for production of bio-ethanol becomes more critical. We are therefore delighted to be
4
cooperating with Praj in Europe. We see this as a synergistic alliance which will offer value to European customers in this important and expanding market segment,” said Ronald van der Vlist, Director of Business Development and Technology, with Aker Kvaerner's European Process business. Praj, based in Pune, specialises in technology, design, engineering, manufacture and supply of equipment for distillery plants, ethanol plants, brewery plants and related effluent treatment plants and is the owner of information related to various processes for the same. Praj also has plans to set up an operating base in the EU shortly to augment its marketing efforts.
KOREAN FCCU CONTRACT Shaw Stone & Webster has been awarded a contract by SK Corp for the basic design, procurement of critical equipment and project management for a 60 000 barrels per stream per day fluid catalytic cracking (FCC) unit in Ulsan, Korea. Under the contract, Shaw will integrate 14 process units, define the utility and offsite requirements and provide assistance in the overall management of the project. This marks the eleventh project that Shaw will have executed for SK over the past 20 years.
TECHNOLOGY FOR REFINERY EXPANISION CEPSA has selected UOP technology for eight process units for the expansion of its La Rábida Refinery in Huelva, Spain. This refinery expansion is part of an investment by
CEPSA announced last year that is aimed at meeting growing demand in Europe for middle distillates such as diesel fuel and kerosene. CEPSA senior vice president, Technology, Refining and Gas, Manuel Abollado said, “The utilization rate of the CEPSA’s refinery capacity is currently roughly 98%. The most cost-effective solution to offset the shortage of middle distillates in the European market includes not only a new distillation train, but also the increase of the conversion level through this latest project from UOP.” UOP technologies to be installed include two Merox™ process units, a Unionfining™ process unit and a Unicracking™ process unit. The Merox process removes mercaptans sulfur compounds from liquefied petroleum gas (LPG) as well as from naphthas and gasolines. The Unionfining process is a highly efficient catalytic process for the desulfurization of cracked and straight-run distillate materials. The Unicracking process is the world’s most widely used hydrocracking process for the production of very-high-quality, naphtha and distillate materials out of heavy crude oil fractions.
PULP & PAPER METSO TO SUPPLY PULPING LINE TO BRAZIL Metso Paper will supply a pulping line for the Brazilian dissolving pulp producer, Bahia Pulp. The new fiber line will start up during the third quarter of 2007. The value of the order is not disclosed. The scope of Metso Paper’s delivery will cover a complete new line from cooking to ready reeled or baled pulp. The value of this type of fiber line
ranges from 50 million to 100 million, depending on the scope of delivery and the production capacity. The order is part of Bahia Pulp’s investment to triple its dissolving pulp production capacity from the current 115 000 tons per year to 365 000 tons per year. Bahia Pulp owns 150 000 hectares of sustainable eucalyptus plantations serving its production of bleached dissolving pulp based on ecalyptus urophylla as the raw material. Upon completion of the expansion, Bahia Pulp will be able to produce standard grade dissolving pulp as well as specialty pulp for high-end market segments. These include acetate pulps and pulps used in the food, pharmaceutical and cosmetics industries.
CHEMICALS CANADIAN SULPHUR CONTRACT Jacobs Engineering Group Inc has announced that a subsidiary company has received a contract to provide front-end engineering and detailed design services for the new sulphur complex at Suncor’s oil sands facility near Fort McMurray, Alberta, Canada. This scope represents the second stage of engineering design work that Jacobs began in 2004 for Suncor’s Voyageur Sulphur Complex, which includes two sour water strippers, an amine unit, two sulphur recovery trains including a future third train, sulphur degassing, and an LT SCOT tail gas treating unit. The project represents the first application of the new LT SCOT Process in North America and the largest application of the process to date. This process is designed to lower operating costs by applying a more efficient catalyst.