Wison Engineering signs USD150M EPC contract with SABIC for leading-edge technology project

MOSCOW (MRC) -- The global leading engineering, procurement and construction (EPC) service provider Wison Engineering Services Co. Ltd. announced that its wholly-owned subsidiary Wison Engineering Ltd. has signed an EPC contract, approximately USD150 million, with Saudi Basic Industries Corporation (SABIC) for a Utilities Park & Pilot Plants project, said Hydrocarbonprocessing.

Dr. Fahad AL-Sherehy, SABIC Vice President, Technology & Innovation, and ZOU Yu, President of Wison Engineering (Middle East) attended the signing ceremony and on behalf of both parties formally signed the contract.

The park and plants project is part of the ongoing SABIC Technology Center ("STC") expansion plan in Jubail, marking SABIC's biggest investment in innovation, globally. Once the expansion plan completed, the fully integrated complex will be the biggest of SABIC's 21 global technology and innovation centers spread across different regions.

Wison Engineering has successfully delivered seven EPC projects on schedule to SABIC since 2012. Earlier this year, Wison Engineering established the Middle East Operation Centre in Saudi Arabia, regarding the Middle East market as the most important market in its global strategic development.

At the signing ceremony, ZOU Yu said, "Wison Engineering deeply appreciates the trust and support SABIC has given to us throughout the years. We are also glad to get SABIC project again. Based on our rich successful experience of SABIC seven projects that Wison has delivered, we will continue working hard to achieve the successful delivery of the project with excellent management and project execution."

"The signing of the contract demonstrates the recognition of international clients for our capability to implement EPC projects in petrochemical sector and enhances Wison Engineering's reputation among the suppliers of project owners, laying a foundation for us to fight for projects with larger scales in the future. We will continue provide premier services to clients, strengthen the bond of trust with them and proactively respond to Saudi Government's vision for 2030 in order to create more values for local clients and drive social and economic development." ZHENG Shifeng, Senior Vice President of Wison Engineering, added.

In July 2017, Wison Engineering Services Co. Ltd. announced that its non-wholly owned affiliated company, Wison Engineering (China) Limited, has been awarded an engineering, procurement, fabrication and construction (EPFC) contract for one section of Low-Density Polyethylene (LDPE) project in Texas by Formosa Plastics Corporation.
MRC

MOSCOW (MRC) -- Qatar Petroleum (QP), the world’s top supplier of liquefied natural gas (LNG), has announced further increase in the capacity of Qatar’s LNG expansion project, by adding a fourth liquefaction train, to raise the country's liquefied natural gas capacity to 110 million t/y, as per GV.

The fourth liquefaction train, like the three trains announced earlier as part of a project to develop additional gas from the North Field, will be of nearly 8 million t/y capacity. When the project is completed, Qatar’s LNG production capacity will scale up by almost 43% from the current 77 million t/y, enabling the country to consolidate its position as the world's largest LNG producer and exporter, said Qatar Petroleum President & CEO Saad Sherida al-Kaabi.

He said the expected delivery of the first LNG from the new project would be either in end-2023 or early 2024. The production from the four trains will be "staggered in a sequence" to attain the first delivery in end 2023 or early 2024. With the addition of the fourth train, the new project will produce about 32 million t/y of LNG, 4,000 t/d of ethane, 260,000 b/d of condensate, and 11,000 t/d of LPG, in addition to approximately 20 t/d of pure helium.

Addressing a press conference at the Qatar Petroleum headquarters on Wednesday, al-Kaabi said: "As we have announced last year, Qatar Petroleum has embarked on a project to develop additional gas from the North Field and build three new LNG mega trains. Based on the good results obtained through recent additional appraisal and testing, we have decided to add a fourth LNG mega train and include it in the ongoing front-end engineering of the project.

"When the project is completed and all four new trains are online, Qatar’s LNG production capacity will reach 110 million t/y. This will increase Qatar’s total production capacity from 4.8 million to 6.2 million b/d of oil equivalent."

Al-Kaabi said the North Field Expansion Project is well underway with various activities currently ongoing, including the Front-End Engineering and Design (FEED) of the onshore facilities, which is being executed by Chiyoda Corporation of Japan. Al-Kaabi said when the FEED contract was awarded earlier, it was stated that engineering would be done for three trains with an option to add a 4th LNG train in future.

As MRC informed before, in September 2017, QP was talking to German energy firms Uniper and RWE about cooperating on a potential local LNG terminal.

We also remind that in July 2017, QP successfully completed the integration of Qatar Vinyl Company (QVC) into Qatar Petrochemical Company (Qapco), six months before the deadline of last year end.
MRC

MOSCOW (MRC) -- Toray Industries Inc., Japan’s leading advanced materials maker, will invest KRW 100 billion (~ USD 89.3 million) over the next three years to bump up polyphenylene sulfide (PPS) resin output capacity at its plant in Gunsan, South Korea, reported GV.

The North Jeolla provincial government office said Thursday (13 September 2018) that Akihiro Nikkaku, president and chief executive officer of Toray Industries, met with its governor to submit the company’s investment plan.

According to the office, the Japanese firm will spend up to KRW 100 billion from 2019 to 2021 to add production lines at its PPS manufacturing plant in Gunsan. The expansion will take place at Toray Industries’ PPS factory that was built on reclaimed land in the southwestern coastal area of Saemangeum in Korea in July 2016 at an initial cost of KRW 200 billion. The plant is the world’s first integrated plant that can produce sulfureted hydrogen sodium, paradichlorobenzene, PPS resin, and PPS compounds.

The company plans to break ground for the new lines around June next year with an aim to complete construction within the first half of 2021 and start production from that year. The full capacity is unknown. PPS is a high-performance material that is often called "super engineering plastic" for its light and heat-resistance features. Commonly used to produce semiconductors, automotive and medical products, its demand has increased due to its applications in electric and hybrid vehicles.

As MRC informed previously, in June 2018, Toray Industries, Inc.announced that it had decided to establish a production facility for nylon and PBT resin compounds at its Indian subsidiary Toray Industries (India) Private Limited (TID).
MRC

MOSCOW (MRC) - Libya’s state oil firm NOC warned it would have to suspend operations at its 120,000 barrels per day (bpd) Zawiya refinery unless security improved after two recent attacks, as per Reuters.

The refinery west of the capital Tripoli supplies western and southern Libya with fuel. Its port also exports crude from the southern El Sharara oilfield.

Gunmen attacked the site on Wednesday, trying to break into the oil mixing operation and stealing a company car, NOC said in a statement.

The previous week unidentified people assaulted staff, kidnapping one employee who later was released and stealing cars as well as personal things from workers.

“The NOC board warned that any continuation or failure to address this situation, to ensure staff and site protection and increase security, will affect ongoing operations and result in their suspension,” NOC said in the statement.

Libya is currently producing 1 million bpd of oil on average and plans to increase output, NOC Chairman Mustafa Sanallah said on Wednesday.

Protests, blockages by armed groups or staff and outbreaks of violence have frequently interrupted production in Libya.

Current production levels remain below the OPEC member’s pre-civil war pumping rate of around 1.6 million bpd, but are at their highest since mid-2013, according to Reuters estimates.
MRC

MOSCOW (MRC) -- Meridian Energy Group has selected Axens as the technology provider for the final stages of basic engineering design for its 49,500 BPD Davis refining complex being constructed in Billings County, North Dakota, as per Hydrocarbonprocessing.

The project will utilize Axens’ Suite of clean fuels technologies to refine local Bakken tight oil and produce ultra-low sulfur transportation fuels while minimizing energy consumption and environmental footprint.

The latest design efforts include Axens’ Octanizing®(CCR reforming) and HyKTM (VGO hydrocracking) units, respectively, for the production of high-octane gasoline and ultra-low sulfur diesel (ULSD). These units will complete the previously designed Axens’ Prime-DTM (Diesel hydrotreating), Benfree® (Benzene reduction), and Naphtha Hydrotreating units.

Both teams paid special attention to energy efficiency and environmental impacts by optimizing process heat integration and conducting process heater emission reduction studies utilizing Axens’ expertise.

Axens NA, a subsidiary of Axens, is excited to continue its partnership with Meridian Energy Group, as they construct the first new refinery built in the US in over 30 years.

In September 2018, Meridian announced that GATE Energy has been selected to provide commissioning and start-up services to the Davis Refinery team during development and execution of the 49,500 bpd Davis Refinery located in Belfield, North Dakota. This LOI comes only weeks after Meridian has begun Civil Construction of the Davis Refinery. The Davis Refinery will commence construction in 2019 and will be fully operational in 2020.
MRC