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Shaw to provide EPC services for BASF FINA plant
September 2006
GE ENERGY, BECHTEL SIGN UP FOR CLEANER COAL PROJECT GE Energy and Bechtel Power have signed their second agreement with American Electric Power (AEP) to move forward with plans for an integrated gasification combined-cycle (IGCC), or cleaner coal, power plant. GE and Bechtel will proceed with the front-end engineering design (FEED) phase for a proposed, 630 MW IGCC plant in Mason County, West Virginia. Appalachian Power, an AEP subsidiary, would operate the plant, which would be located next to Appalachian’s existing Mountaineer power plant. In September 2005, GE and Bechtel signed a FEED agreement with AEP for a proposed IGCC project in Meigs County, Ohio. If the two projects receive all of the necessary regulatory approvals, they would be among the first IGCC plants to be built in the US in the past 10 years and the first of this scale. The FEED process for the West Virginia project is expected to conclude in midDecember 2006. Procurement and construction could start after certain regulatory milestones are achieved.
PETROCHEMICALS SHAW TO PROVIDE EPC SERVICES FOR BASF FINA PLANT Shaw Stone & Webster has been awarded a contract to provide engineering, procurement, construction, technology and pre-commissioning services for a new pyrolysis furnace and associated auxiliary facilities at the BASF FINA Petrochemicals LP (BFLP) Naphtha Steam Cracker in Port Arthur, Texas. The project, which will use Shaw Stone & Webster’s stateof-the-art proprietary USC Pyrolysis Furnace technology, is scheduled for completion in 2008. Under a separate contract, Shaw will also provide a technology solution to improve the performance within the BFLP gasoline fractionator unit.
FW TO FEED NEW TATARSTAN COMPLEX CJSC Nizhnekamsk Refinery has awarded Foster Wheeler France SA the front-end engineering design (FEED) for a new complex of refining and petrochemical plants in Nizhnekamsk, in the Republic of Tatarstan, Russian Federation. This award has been made within the framework of an existing project management consultancy contract awarded to Foster Wheeler France by CJSC Nizhnekamsk Refinery in 2005. The complex consists of an oil refinery, a deep conversion plant and a petrochemical plant. The oil processing part of the complex includes aromatics units and deep conversion section with a fluidised catalytic
cracker, a distillate hydrocracker, a delayed coker and a gasification plant. The petrochemical part of the complex will include purified terephthalic acid, polyethylene terephthalate, linear alkylbenzene and polypropylene units, as well as the associated power generation facilities. The US$3 billion complex should be completed in three different phases between 2008 and 2010.
CHEMICALS BOREALIS EXTENDS JACOBS CONTRACT A Jacobs Engineering Group Inc subsidiary company has received a contract amendment from Borealis to extend their engineering partnership to include projects at the Borealis affiliate site in Schwechat, Austria. This site is a major operational hub for polyethylene and polypropylene production in Central Europe. Under the partnership expansion, Jacobs is providing consulting, engineering, procurement and construction services. Borealis has relocated its headquarters to Vienna, Austria, from Lyngby, Denmark. Borealis will also develop its Innovation Centre in Linz, Austria, into the centre of its international research activities.
TECHNIP AWARDED NZ KUPE GAS PROJECT Technip has been awarded a reimbursable (cost plus fee) contract worth approximately US$200 million by Origin Energy Resources (Kupe) Ltd for the overall development of New Zealand’s Kupe Gas Project. Origin is acting as operator of the Kupe Gas
development on behalf of the joint venture formed with Genesis Energy, New Zealand Oil and Gas Ltd and Mitsui E & P New Zealand Ltd. The contract covers the design, engineering, procurement, installation, construction, pre-commissioning and commissioning of an unmanned wellhead platform, a 12” multiphase pipeline to shore and umbilical from the platform to shore, a horizontal directionally drilled shore crossing, onshore processing facilities, an export pipeline for sales gas, and liquefied petroleum gas (LPG) and condensate loading bays. The project team will be based in Technip’s offices in Perth, Australia with detail design support from Technip’s operations and engineering centre in Kuala Lumpur, Malaysia. The offshore work is scheduled to begin in the first quarter of 2007 with the platform installation. This will be followed in late 2007 by the rigid pipelay and the diving support works. The onshore processing facilities should start commercial production no later than the first half of 2009.
EQUIPMENT REPAIR DELAYS THUNDER HORSE UNTIL 2008 BP plans to retrieve and rebuild all the sea-bed production equipment from its Thunder Horse field in the deepwater Gulf of Mexico. Metallurgical failure in components of the subsea system became evident when BP conducted pre-commissioning tests. BP has decided to retrieve both the damaged seabed manifold and a second manifold for further examination and onshore testing. The second manifold has also displayed a similar failure. BP plans to retrieve and replace all the subsea components that it believes could be
3
MARKET PROSPECTS
The new unit, known as Iatan 2, will be located at the Iatan generating station near Weston, Missouri. The award includes integrated environmental control systems for the new unit and major retrofit work to the environmental control systems of Iatan 1, the existing 670 MW coal-fired unit at the plant. Burns & McDonnell, headquartered in Kansas City, Missouri, has been named Owner’s Engineer.
Pump Industry Analyst
GE ENERGY, BECHTEL SIGN UP FOR CLEANER COAL PROJECT GE Energy and Bechtel Power have signed their second agreement with American Electric Power (AEP) to move forward with plans for an integrated gasification combined-cycle (IGCC), or cleaner coal, power plant. GE and Bechtel will proceed with the front-end engineering design (FEED) phase for a proposed, 630 MW IGCC plant in Mason County, West Virginia. Appalachian Power, an AEP subsidiary, would operate the plant, which would be located next to Appalachian’s existing Mountaineer power plant. In September 2005, GE and Bechtel signed a FEED agreement with AEP for a proposed IGCC project in Meigs County, Ohio. If the two projects receive all of the necessary regulatory approvals, they would be among the first IGCC plants to be built in the US in the past 10 years and the first of this scale. The FEED process for the West Virginia project is expected to conclude in midDecember 2006. Procurement and construction could start after certain regulatory milestones are achieved.
PETROCHEMICALS SHAW TO PROVIDE EPC SERVICES FOR BASF FINA PLANT Shaw Stone & Webster has been awarded a contract to provide engineering, procurement, construction, technology and pre-commissioning services for a new pyrolysis furnace and associated auxiliary facilities at the BASF FINA Petrochemicals LP (BFLP) Naphtha Steam Cracker in Port Arthur, Texas. The project, which will use Shaw Stone & Webster’s stateof-the-art proprietary USC Pyrolysis Furnace technology, is scheduled for completion in 2008. Under a separate contract, Shaw will also provide a technology solution to improve the performance within the BFLP gasoline fractionator unit.
FW TO FEED NEW TATARSTAN COMPLEX CJSC Nizhnekamsk Refinery has awarded Foster Wheeler France SA the front-end engineering design (FEED) for a new complex of refining and petrochemical plants in Nizhnekamsk, in the Republic of Tatarstan, Russian Federation. This award has been made within the framework of an existing project management consultancy contract awarded to Foster Wheeler France by CJSC Nizhnekamsk Refinery in 2005. The complex consists of an oil refinery, a deep conversion plant and a petrochemical plant. The oil processing part of the complex includes aromatics units and deep conversion section with a fluidised catalytic
cracker, a distillate hydrocracker, a delayed coker and a gasification plant. The petrochemical part of the complex will include purified terephthalic acid, polyethylene terephthalate, linear alkylbenzene and polypropylene units, as well as the associated power generation facilities. The US$3 billion complex should be completed in three different phases between 2008 and 2010.
CHEMICALS BOREALIS EXTENDS JACOBS CONTRACT A Jacobs Engineering Group Inc subsidiary company has received a contract amendment from Borealis to extend their engineering partnership to include projects at the Borealis affiliate site in Schwechat, Austria. This site is a major operational hub for polyethylene and polypropylene production in Central Europe. Under the partnership expansion, Jacobs is providing consulting, engineering, procurement and construction services. Borealis has relocated its headquarters to Vienna, Austria, from Lyngby, Denmark. Borealis will also develop its Innovation Centre in Linz, Austria, into the centre of its international research activities.
TECHNIP AWARDED NZ KUPE GAS PROJECT Technip has been awarded a reimbursable (cost plus fee) contract worth approximately US$200 million by Origin Energy Resources (Kupe) Ltd for the overall development of New Zealand’s Kupe Gas Project. Origin is acting as operator of the Kupe Gas
development on behalf of the joint venture formed with Genesis Energy, New Zealand Oil and Gas Ltd and Mitsui E & P New Zealand Ltd. The contract covers the design, engineering, procurement, installation, construction, pre-commissioning and commissioning of an unmanned wellhead platform, a 12” multiphase pipeline to shore and umbilical from the platform to shore, a horizontal directionally drilled shore crossing, onshore processing facilities, an export pipeline for sales gas, and liquefied petroleum gas (LPG) and condensate loading bays. The project team will be based in Technip’s offices in Perth, Australia with detail design support from Technip’s operations and engineering centre in Kuala Lumpur, Malaysia. The offshore work is scheduled to begin in the first quarter of 2007 with the platform installation. This will be followed in late 2007 by the rigid pipelay and the diving support works. The onshore processing facilities should start commercial production no later than the first half of 2009.
EQUIPMENT REPAIR DELAYS THUNDER HORSE UNTIL 2008 BP plans to retrieve and rebuild all the sea-bed production equipment from its Thunder Horse field in the deepwater Gulf of Mexico. Metallurgical failure in components of the subsea system became evident when BP conducted pre-commissioning tests. BP has decided to retrieve both the damaged seabed manifold and a second manifold for further examination and onshore testing. The second manifold has also displayed a similar failure. BP plans to retrieve and replace all the subsea components that it believes could be
3
MARKET PROSPECTS
The new unit, known as Iatan 2, will be located at the Iatan generating station near Weston, Missouri. The award includes integrated environmental control systems for the new unit and major retrofit work to the environmental control systems of Iatan 1, the existing 670 MW coal-fired unit at the plant. Burns & McDonnell, headquartered in Kansas City, Missouri, has been named Owner’s Engineer.
Pump Industry Analyst