(hydrocarbonprocessing) -- CB&I announced on Tuesday that it was awarded contracts from Oxychem for the technology license, basic engineering and front-end engineering and design (FEED) services for a proposed new ethane cracker.
The proposed cracker is anticipated to have a capacity of approximately 1.2 billion lb/year of ethylene, or just above 500,000 tpy, with operations to start up in 2016.
Earlier this year, OxyChem signed a memorandum of understanding with Mexico’s Mexichem to evaluate a joint venture for the cracker, which would be built at Occidental’s existing site in Ingleside, Texas, as MRC informed in August.
The scope of work for CB&I includes the basic engineering for the ethylene technology and five SRT (short residence time) cracking heaters from CB&I's Lummus Technology business unit. Feedstock for the proposed cracker is anticipated to be ethane derived from domestic shale gas.
Occidental Petroleum Corporation (Oxy) is a California-based oil and gas exploration and production company with operations in the United States, the Middle East, North Africa, and South America. Oxychem is Oxy's Texas-based subsidiary which manufacture polyvinyl chloride (PVC) resins, chlorine and caustic soda used in plastics, pharmaceuticals and water treatment chemicals.
MRC