MOSCOW (MRC) -- Samsung Engineering has received a letter of intent (LOI) for a USD1.07 billion contract from Sarawak Petchem Sdn Bhd to build a methanol plant in Sarawak, Malaysia, according to Kemicalinfo.
Samsung Engineering will build a 5000 tonne per day methanol production facility in Bintulu, Sarawak, eastern Malaysia.
Samsung Engineering won the contract for the FEED from Sarawak Petchem in April 2019 and the first Early Work contract in November 2019.
Samsung Engineering executed the Methanol Plant Project from a feasibility study, FEED contract, Early Work phase, to a Licensor, Engineering, Procurement, Construction and Commissioning (LEPCC) contract with this LOI, effective from late January 2021.
The plant will use Air Liquide’s technology and is expected completion in late 2023.
Samsung Engineering president and CEO Sungan Choi said: “We were able to receive this landmark project from Sarawak Petchem, by showing our exceptional engineering capabilities and commitment made during the FEED stage.
“Samsung Engineering has an excellent track record for petrochemical plants and in Malaysia, which will insure optimal project execution, while earning the trust of the client for many future joint projects to come.”
As MRC reported earlier, in late April, 2020, the first phase of Connell Chemical Industry Ltd.'s 600 KTA MTO complex, a 300 KTA MTO plant, successfully started up and produced on-spec ethylene and propylene. This project is the first large-size chemical project brought online during period when Chinais in the process of restarting the economy while fighting COVID-19 pandemic. The MTO plant started feed-in at 8:18 AM on April 15, produced on-spec propylene at 7:00 AM on April 18, and produced on-spec ethylene at 4:00 AM on April 20.
Ethylene and propylene are feedstocks for producing polyethylene (PE) and polypropylene (PP).
According to MRC's ScanPlast report, Russia"s estimated PE consumption totalled 1,594,510 tonnes in the first nine months of 2020, up by 1% year on year. Only high denstiy polyethylene (HDPE) shipments increased. At the same time, PP shipments to the Russian market reached 880,130 tonnes in the nine months of 2020 (calculated using the formula: production minus exports plus imports, exluding producers" inventories as of 1 January, 2020). Supply increased exclusively of PP random copolymer.
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