< Previous20 Refi ning & Petrochemicals Middle East April 2020www.refi ningandpetrochemicalsme.com Top 30 EPC Contractors In February 2020, Worley announced the appointment of Chris Ashton as the CEO and managing director of Worley eff ective 24 February 2020, following the retirement of Andrew Wood. In April 2019, WorleyParsons announced it is adopting a new brand, Worley, following the successful completion of the $3.17bn acquisition of Jacobs Energy, Chemicals and Resources division (Jacobs EC R ) . The new me rge d bu s i ne s s is a pre-eminent global provider of professional project and asset services in energy, chemicals and resources, employing 57,600 people across 51 countries worldwide. Krish Iyer, president – energy and chemicals services, Middle East and Africa, Worley, said: “We can now provide a full service off ering to upstream, midstream and downstream customers across the region while our localisation commitments will continue across the Middle East. By expanding our geographic footprint and diversifying our off ering, we gain leading market positions across the hydrocarbons and chemicals sectors, while strengthening our position within mining, minerals and metals.” Commenting on the news, Worley CEO Andrew Wood said: “This acquisition is about more than capacity and capability. It is about opportunity. The opportunity to become the partner of choice for our customers, the employer of choice for our people, and to deliver enhanced returns for our shareholders. Our new brand refl ects our place at the forefront of the energy, chemicals and resources markets, and our ability to support our customers through the global energy transition. We plan to embrace the heritage of both WorleyParsons and Jacobs ECR while looking fi rmly ahead to, what promises to be, an exciting future as one entity.” The acquisition also marks an expansion in other strategic markets, including Europe, North America, Canada, and India. The company will have greater global reach, with leading market positions in the energy, chemical and resources sectors. Borouge awarded WorleyParsons the PMC contract in March 2019 for its Ruwais petrochemicals complex. Under the contract, WorleyParsons will provide PMC services to the fourth phase of the petrochemicals complex. In October 2019, Wood was awarded a $20mn contract from SNF Floquip (SNF) to provide maintenance and supplemental project services at its chemicals manufacturing facilities located in Plaquemine, Louisiana, and Pearlington, Mississippi. The initial two-year contract comes with a one-year option to extend and was awarded following a competitive tender process. Under the contract, Wood will mobilise around 100 employees to support the multi-discipline maintenance and project work scopes at the two facilities. Andrew Stewart, CEO of Wood’s Asset Solutions Americas business, said: “This strategic win signals the expansion of our downstream and chemicals capabilities and growing presence in a key regional market. Our strong proposition, combining end-to- end life cycle services with our chemical expertise, enables us to off er a complete package of scalable and tailored solutions to match the diverse needs of the region’s process industries.” In July 2019, Wood has secured a new contract with INEOS for its landmark project to build a propane dehydrogenation (PDH) and the fi rst ethane gas cracker in Europe for 20 years. Wood has been appointed programme management partner for the duration of the project and will oversee the e xe c ut i o n o f t h e pe troc h e mi c a ls co mp l e x, s itu ated i n A nt we r p , B e l g iu m . T h e co nt ra c t will be de live re d by th e co mp any’s mu lt i- d i s c ipl i n a r y c ap it a l p roj e c t s te a m b a s e d i n Re ad i n g , U K , a n d at the site in Antwerp. Dave Stewart, CEO of Wood’s asset solutions business in Europe, Africa, Asia and Australia, comments: “We are delighted to support INEOS as part of an integrated project management partnership to deliver this strategically important development for the European petrochemicals industry. We will bring our renowned project management capability in delivering large-scale capital projects and extensive track record of providing engineering, procurement and construction services globally, to this contract. This award adds to our downstream portfolio in the region and highlights our commitment to growing our petrochemicals business by utilising our wealth of engineering and operational expertise to help customers design, build, run and improve refi ning and chemical plants.” In February 2019, Wood has been awarded a $8mn contract by A D N O C Re fining to de live r p re- F E E D fo r a n e w re f i n e r y i n Ruwa i s , wh ic h i s s e t to become the world’s largest refi ning and pe tr o- c h e m i c als complex. 55,000 55,000 employees in 60 countries Worley Wood 20,000 The number of current projects21 Refi ning & Petrochemicals Middle East April 2020www.refi ningandpetrochemicalsme.com Top 30 EPC Contractors In July 2019, Bilfi nger was awarded multiple engineering contracts by ADNOC. The projects, secured by Bilfi nger’s Middle East division, entail the provision of front-end engineering design (FEED) for onshore facilities. Under the terms of the FEED contracts, Bilfi nger Tebodin Middle East will provide en g i n e er i n g services for a new wastewater treatment plant located in a refi nery complex in Ruwais, as well as a basic design and detailed engineering package to enhance existing sulphur dust control systems at two sulphur-handling facilities. These agreements underline the position of Bilfi nger Tebodin Middle East as a leading engineering fi rm in the Abu Dhabi hydrocarbon sector, where it has been locally active for more than 45 years. “We are excited to bring Bilfi nger Tebodin’s extensive experience, quality and competitive expertise to these important projects, while adding value to the local economy in Abu Dhabi,” said Marco van der Linden, UAE country director of Bilfi nger Tebodin Middle East. “The UAE is a key market for us and we welcome the opportunity to further expand our role in the development and enhancement of its world-class hydrocarbon industry.” In May 2019, Bilfi nger has been chosen as maintenance partner for a $66.82mn contract by SABIC UK Petrochemicals Limited to carry out a range of services across facilities on its Teesside site. The services will include mechanical, electrical and instrumentation engineering, as well as access, insulation, painting, and asbestos management and removal. The four-year contract has a volume of approximately $64.38mn and comes under Bilfi nger’s engineering and maintenance service line. Tom Blades, CEO of Bilfi nger, said: “Bilfi nger has a strong track record of industrial services on such large-scale assets. With our Bilfi nger Maintenance Concept, we help our customers boost asset effi ciency and availability while cutting maintenance costs. SABIC has chosen a reliable partner in Bilfi nger with a long history of proven experience to ensure smooth production and short downtimes at one of its largest sites.” In November 2019, KBR announced that it has been awarded a contract for its PLINKE hydrochloric acid purifi cation technologies by Italmatch Deutschland for its phosphorous acid production plant in Frankfurt, Germany. Under the terms of the contract, KBR will provide technology licence, basic and detailed engineering, proprietary equipment and related advisory services to Italmatch to help with the production of phosphorous acid as well as absorption and recovery of hydrochloric acid. “We are proud to be selected as Italmatch’s technology partner for its new plant and contribute to Italmatch’s continued growth,” said Doug Kelly, president, technology solutions, KBR. “KBR has designed, built, supplied and supported tailored plants and facilities for purifying and concentrating strong inorganic acids and metal salts for customers all over the world.” KBR has more than 70 years of experience in PLINKE acid treatment and has built more than 550 plants for treatment and concentration of inorganic acids and acidic waste water worldwide. Again in the same month, KBR has been awarded a contract for vinyl acetate monomer (VAM) technology by Shenghong Refi ning Petrochemical (Lian Yun Gang) Co, China. This is the fi rst commercial VAM technology licence secured under an alliance agreement between KBR and Showa Denko K.K. (SDK) to commercialise SDK’s VAM technology. Under the terms of the contract, KBR will provide licence and basic engineering design for a 300KTA VAM unit to be constructed in Lianyungang, China, as part of an integrated refinery and petrochemical complex. The KBR-SDK VAM technology is backed by more than 40 years of know-how accumulated through the safe and stable operation of SDK’s ethylene-based VAM unit at the Oita Petrochemical Complex in Japan. “We are excited that Shenghong has selected KBR- SDK’s VAM technology,” said Kelly. “This award consolidates KBR’s position as a licensor of specialty chemicals technologies and strengthens our relationship with a key partner in Shenghong.” KBR also provided its phenol/acetone technology to Shenghong in 2019. KBR has more than 50 years of experience in providing technologies, fl exible solutions and expertise that petrochemicals operators rely on to produce ethylene, propylene, acetyls, phenolics, vinyls and other specialty products from a variety of feedstocks, safely and effi ciently. Bilfinger Middle East KBR 15% Consolidated revenue growth in fi scal 2019 36,000 people Nearly 36,000 people work at Bilfi nger22 Refi ning & Petrochemicals Middle East April 2020www.refi ningandpetrochemicalsme.com Top 30 EPC Contractors L&T Hydrocarbon Engineering (LTHE) is an engineering, procurement, fabrication, construction and project management company, providing integrated ‘design-to-build’ solutions for large and complex off shore and onshore hydrocarbon projects worldwide. LTHE has been successful in demonstrating a strong interest in partnership within the Middle East region and won contracts with Arab oil companies. The company has over 6,000 employees, most of whom are qualifi ed engineers, and around 2,500 design engineers. Over 700 employees and around 7,500 workmen currently work in both offi ce roles and projects in the Middle East region, and the number is expected to grow further in the backdrop of increased project awards. LTHE has a special agenda and strategic focus on increasing its headcount of female employees, which currently stands at about 800 employees. The company is one of those organisations which place a strong emphasis on training and talent development. While all of the Middle East is of prime importance to the business, the most important markets for LTHE are United Arab Emirates, Saudi Arabia, and the Sultanate of Oman. The company’s active projects are worth around $3bn in the Middle East. In Saudi Arabia, LTHE secured an off shore EPCI contract from Saudi Aramco for the Zuluf and Berri fi elds. The Linear Alkyl Benzene Project for Farabi Petrochemical Company reached its construction peak and is slated to be completed in April 2020. LTHE successfully completed on time, Saudi Aramco’s Hasbah II Gas Increment Project and three gas PDMs valued together at roughly $2bn. In Kuwait, LTHE won a new strategic gas pipeline from KOC, valued at $500mn, in February 2019. In the UAE, the company successfully completed the Haliba Field Development Project, a $355mn contract from Al Dhafra Petroleum, in 2019. LTHE considers increased downstream opportunity as the single biggest opportunity for the company. It considers current market scenario involving price war between Saudi Arabia and Russia, and Covid-19 pandemic outbreak as the biggest challenges that its business would be facing over the course of the next 12 months. In February 2020, Egyptian Petrochemicals Holding Company (ECHEM) signed a cooperation agreement with American company, Bechtel Group, with an investment of $6.7bn, the Ministry of Petroleum of Egypt announced. The agreement aims to build a refining and petrochemical complex in the Suez Canal Economic Zone (SCZone), said the ministry. The deal stipulates that ECHEM will start preparing a detailed feasibility study in cooperation with an international consultant, reported Egypt Today. “Bechtel Group will provide the necessary funding from banks and international financial institutions,” the statement said, adding that the project is “expected to increase the productivity of petroleum and petrochemical products to cover the local market needs and to export these products.” Egypt also signed a contract for the construction of a mazut hydrocracking complex in Assiut, the largest oil refining project to be implemented in Upper Egypt, with investment totalling $2.5bn. The complex in Assiut aims for a production capacity of 2.8 million tonnes annually, the statement said, and the facility will also produce butane and naphtha used in the production of high-octane gasoline. In December 2019, Bechtel re-opened its office in Al Khobar to meet the increasing demand for quality services in the oil and gas sector in Saudi Arabia and in the region. Re-opening the Al Khobar office reaffirms Bechtel’s commitment to support the Kingdom’s Vision 2030 with a commitment to developing local talent to sustain long-term economic development for the Kingdom. Bechtel’s people have engineered, managed and delivered some of Saudi Arabia’s signature projects, from Ras Tanura, the first oil refinery in 1943 to today’s major projects such as Riyadh Metro Project, The National Project Management, Operation and Maintenance Organization and the Jubail industrial city. To enable successful outcomes for its customers, Bechtel offers a proven expertise and knowledge accumulated over more than 121 years from delivering hundreds of refineries and chemical plants, thousands of kilometres of pipeline, hundreds of onshore oil and gas facilities, tanks, terminal facilities and unmatched global LNG capacity. In July 2018, Bechtel launched a pioneering wo m e n ’ s empo- we r m e n t programme in Saudi Arabia. $6.7bn Wins $6.7bn deal in Egypt to build refi ning complex L&T Hydrocarbon Engineering Bechtel $1.7bn $1.7bn in revenues for 2019 fi nancial year23 Refi ning & Petrochemicals Middle East April 2020www.refi ningandpetrochemicalsme.com Top 30 EPC Contractors In December 2019, Nuberg EPC was awarded contract for the expansion of the existing 45TPD chlor-alkali plant and greenfi eld calcium chloride plant project in Sohar, Oman, by Oman Chlorine. The production capacity will be 80TPD for calcium chloride plant and 30TPD for chlor-alkali plant and is due for completion in 2020-2021. After the expansion, the total production capacity of chlor-alkali plant will be 75TPD and will produce caustic soda, hydrochloric acid and sodium hypochlorite. The contract was signed at Oman Chlorine head offi ce in Muscat, Oman, where Said Al Habsi, CEO, Oman Chlorine, and AK Tyagi, chairman and managing director, Nuberg, and dignitaries from both companies were present. Nuberg EPC has delivered over 20 chlor-alkali and fi ve calcium chloride projects worldwide. The company is recognised as world’s number two EPC company for chlor-alkali and number one EPC company for calcium chloride. Nuberg EPC is the only company in the world which has delivered chlor-alkali plants with all the membrane technologies available in the market. To address chlorine issue in chlor- alkali plants, Nuberg EPC off ers turnkey solutions for chlorine and derivatives and has delivered plants for stable bleaching powder, ferric chloride, chlorinated paraffi n wax apart from calcium chloride. Nuberg EPC also off ers EDC, VCM and PVC plants, which can use chlorine for EDC production. Nuberg EPC’s scope of services for the project is on EPC & LSTK basis, including design, FEED, basic and detailed engineering, fabrication, procurement, supply and installation, construction supervision and commissioning of the plant. For chlor-alkali, the plant will have the most advanced bipolar membrane cell technology licensed from UK based Inovyn. “We have installed over 20 chlorine and derivatives plants worldwide but this project will be our fi rst involvement in Oman. The project also demonstrates our leadership in the Middle East. The project will have best-in-class technology and emissions according to global standards. We have the necessary local knowledge, capabilities and competencies to deliver world-class turnkey solution,” said Tyagi. In December 2019, Sahara International Petrochemical Company (Sipchem) and Linde announced that they have signed initial terms to establish a strategic partnership for the supply of industrial gases, to meet growing demand from the refi ning and chemical industries in the Kingdom of Saudi Arabia. The primary focus of the partnership, which is expected to become operational in 2020, will be the connection via pipeline of existing hydrogen and syngas plants owned by the two parties in Jubail Industrial City, and the development of new production facilities to supply carbon monoxide, hydrogen, syngas and associated gases in industrial clusters in the kingdom. The partnership will leverage the strengths and footprints of both companies to off er best-in-class solutions primarily to the refi ning and chemical industries. “Sipchem is eager to expand its operations to fulfi l the growing demand from national refi ners and petrochemical plants in the kingdom”, said Sipchem’s CEO, Saleh Bahamdan. “This partnership has the potential to blend stable returns with long-term supply commitments, off ering us the opportunity to manage the typical cyclicality of the petrochemical industry.” “The combined onsite footprint and operation excellence of the two companies will create a compelling opportunity for us and our customers in Saudi Arabia,” said Linde’s executive vice president EMEA, Eduardo Menezes. “The partnership underpins Linde’s ongoing commitment to support the kingdom’s Vision 2030 to develop highly efficient and reliable industrial gases facilities.” In October 2019, Linde announced that it started up two plants to supply oxygen and nitrogen to Taixing Jinyan Chemical Technology Co to support the production of ethylene oxide. The plants, with total combined production capacity of 29000 Nm3/h, will also supply gases to other customers in Taixing Economic Development Zone, ranked sixth amongst China’s top chemical parks. “The start-up of these two ASUs will help build network density in one of China’s top chemicals and petrochemicals industrial parks in Eastern China”, said Steven Fang, head of Linde Greater China. “This investment sets a foundation for future expansion in the Taixing Economic Development Zone.” Sun Xiao, chairman of Jurong Group, said: “We value Linde’s experience in supply reliability, operational capabilities, and commitment to safety in on-site and pipeline gases supply and look forward to this being the start of a long and success- ful partnership.” Nuberg EPC Linde Engineering $28bn 2019 sales of $28bn 20 Delivered 20 chlor-alkali projects worldwide24 Refi ning & Petrochemicals Middle East April 2020www.refi ningandpetrochemicalsme.com Top 30 EPC Contractors In October 2019, GS Engineering & Construction announced that it will buy a stake in a Turkish construction company in order to potentially participate in a plant project in Turkey. GS Engineering & Construction announced it will acquire 49% stake in Ceyhan Petrokimya Endustriyel Y a trim (CPEY) under Tur k e y ’ s Ro n e s a n s Hold i n g . The value of the deal will be determined after the Turkish fi rm fi nalises its future project plans, according to GS Engineering & Construction. The latest deal allows GS Engineering & Construction to participate in CPEY’s Ceyhan Propane De-Hydrogenation- Polypropylene project to build petrochemical plants in Adana, southern Turkey. GS Engineering & Construction announced that it will also sign a contract for front-end engineering design (FEED) of the project and is expected to land an engineering, procurement and construction (EPC) deal. In September 2019, South Korea’s GS Engineering & Construction signed a $230mn deal to build a petrochemical plant in Thailand on a turnkey basis. GS Engineering & Construction announced it won an order from Thailand’s HMC Polymers Co to build a polypropylene plant capable of 250,000 tonnes per year at the Map Ta Phut Industrial Estate in Rayong, Thailand. The HMC PP4 Project is estimated to cost about $230mn, equivalent to 2.1% of the company’s annual revenue last year, is expected to take 35 months to complete. Earlier, GS Engineering & Construction successfully fi nished the HMC PP3 Project worth $185mn for polypropylene production facilities after two years of construction in 2009. The latest deal is to add a plant right next to the previous one. The latest contract has once again proved GS Engineering & Construction’s advanced building technologies, claimed a company offi cial. GS Engineering & Construction announced in June 2017 that it has won an order worth $865mn to restore the fi re- hit refi nery unit owned by ADNOC. The company was planning to complete the work by early 2019. ADNOC restarted crude distillation and associated units after the fi re, but gasoline and propylene production have been partially reduced. In July 2019, Hyundai Engineering & Construction announced that it has signed $2.7bn contracts with Saudi Aramco to execute Package 6 and Package 12 of the Marjan Development Program. A contract signing ceremony was held at the Saudi Aramco Dharan Offi ce in Saudi Arabia on 8 July with the attendance of offi cials from the two companies, including Amin H Nasser, president and CEO of Saudi Aramco, Ahmad A Al-Sa’adi, senior vice president, Saudi Aramco, and Mt Fahad E Al-Helal, vice president of project management, at Saudi Aramco. Hyundai Engineering & Construction offi cials included Lee Won- woo, vice president of the Plant Business Division, and Kim Hang-yeol, managing director of the Al Khobar branch. Saudi Aramco is building an oil and gas refi ning complex in the Marjan area, about 250 km northwest of Dammam in eastern Saudi Arabia, to process the oil and gas produced in off shore fi elds. Package 6 is a project to expand the existing oil and gas separation facilities so that they can additionally process 300,000 barrels of oil and gas per day. Hyundai Engineering & Construction will carry out the project for $1.48bn, which will take 41 months to fi nish. Package 12 is about building power and water supply facilities for a plant that processes 2,500 million standard cubic feet of gas per day (MMSCFD). The project costs $1.25bn and will take 41 months for completion. Meanwhile, Hyundai Engineering & Construction is carrying out six projects worth $1.4bn, including the construction of Usumania ethane recovery facility in Saudi Arabia. Hyundai Engineering & Construction won a contract valued at $746mn from Saudi Aramco to build an ethane deep recovery facility (EDRF). To win the mega-sized project, the builder entered a fi erce competition with leading global construction companies. Korea’s primary builder obtained the EDRF project on the turn-key basis on 27 October 2016, which was attributed to the successful completion of the Karan gas treatment plant project in 2012 and the Khurais gas treatment plant project in 2009 in Saudi Arabia. The EDRF project is aimed to construct a facility in which a demethaniser is employed to separate natural gas liquids, including ethane and propane from 1.4bn cubic feet of liquefi ed gas produced in the Uthmaniyah region for a day. The project is considered as an extension of the Ut h m a n iy a h gas plant, which has ope- rated in the area for over four decades. No 1 World’s No 1 for six consecutive years in Dow Jones Sustainability Indices in 2018 GS Engineering & Construction Hyundai Engineering & Construction 10 years GS Engineering & Construc- tion incorporated into DJSI Asia Pacifi c 10 years in a row25 Refi ning & Petrochemicals Middle East April 2020www.refi ningandpetrochemicalsme.com Top 30 EPC Contractors Thyssenkrupp is building a new integrated chemical complex in Hungary. The foundation stone for the polyol production facility was laid on 27 September 2019 in Tiszaújváros. The MOL Group, a leading international oil and gas company, is investing a total of $1.32bn in the new plant complex. It is expected to be commissioned in 2021 and will produce around 200,000 tonnes of polyols per year. “Today marks an important step for the transformation of the chemical industry in Hungary as well as for the cooperation between MOL and thyssenkrupp,” said Dr Sami Pelkonen, CEO, chemical and process technologies at thyssenkrupp Industrial Solutions. ”With its Vision 2030, MOL is pursuing an ambitious growth agenda. We are proud and sustainably committed to support this vision and to contribute with our technologies and know-how to an innovative and sustainable chemical sector.” Polyol is an important and highly sought- after plastic raw material that is used in numerous industries, from automotive manufacturing to construction to the clothing industry. The new Tiszaújváros complex will produce polyether polyols using effi cient and environmentally friendly technologies such as the HPPO process (propylene oxide from hydrogen peroxide) developed by thyssenkrupp and Evonik. “This investment project will make MOL Group one of the most important players in the region’s chemical industry, with MOL being the only Central and Eastern European company to control the entire value chain from crude oil extraction to polyol production,” said Zsolt Hernádi. “Once commissioned in 2021, the plant will further enhance the position of Tiszaújváros in the chemical industry, as the expertise and the new production infrastructure established here ay attract additional investors to the area.” The thyssenkrupp Industrial Solutions business area is a leading partner for the engineering, construction and service of all industrial plants and systems. In collaboration with its customers, the company develops top- quality solutions and deliver effi ciency, reliability and sustainability over the entire life cycle. In November 2018, MMEC Mannesmann announced the opening of its branch offi ce in Abu Dhabi that will function as a regional headquarters to meet the growing demand for speciality services in oil and gas, chemical, metals and mining, and renewables sectors in the Middle East region. The German engineering contractor is known for executing complex projects (upstream and downstream) for oil and gas, and chemical and petrochemical industries, covering the entire cycle from early project development, feasibility studies, including hydraulic and case studies, conceptual and basic design, front-end engineering design up to the implementation of turnkey projects. The company, which has more than 50 years of experience in implementing projects over 80 countries, is currently working on a number of projects across the region, including sulphur pipeline project from ADNOC Sour Gas in Abu Dhabi. The large-scale EPC turnkey contract awarded in 2018 involves installing the entire pipeline system with a capacity to transport 10,000tpd liquid sulphur, 50% over current capacity, to the sulphur granulation station, around 11km north, via pipeline. Under the leadership of general manager Anas Al Juaidi, the Abu Dhabi team will work closely with existing offi ce in Dubai and the headquarters in Germany towards strengthening the company’s presence in the region and leverage on the opportunities arising from the oil and gas, chemical and mining sectors. MMEC Mannesmann has been executing a wide range of services for complex projects in the region, including water transmission system – Phase 1&2 – Fujairah, petroleum coke calcining plant – UAE, North East BAB – Phase 1 – UAE, petroleum coke calcining plant – Bahrain, and Sohar calciner – Oman. The Middle East and Africa region contributes signifi cantly to the company’s total business volume. “We are excited to expand our presence in the UAE to develop new and deeper cooperation with local clients with whom we wish to achieve a common goal of delivering world-class projects in most smart, safe and sustainable manners, using our global expertise and technological know-how,” said Al Juaidi. MMEC Mannesmann, which was operating, until fi rst quarter 2016, under the name of Technip Germany as member of Technip Group, uses its experience of working on a diversifi ed range of projects and technologies across the industries to select and recommend the best solutions for its customers. Thyssenkrupp Industrial Solutions MMEC Mannesmann 50 years Fifty years of experience in implementing projects 2,500 The number of chemical plants planned and built26 Refi ning & Petrochemicals Middle East April 2020www.refi ningandpetrochemicalsme.com Top 30 EPC Contractors In October 2019, CTCI was awarded an EPCC contract for Van Phong-1 1,320MW Thermal Power Plant BOT Project in Vietnam in cooperation with IHI Corporation, Toshiba Energy Systems & Solutions Corporation, and Doosan Heavy Industries and Construction Co as consortium. The contract award marks a milestone for the company to execute large- scale power plant in Vietnam and paves its way to bid for similar projects in the future. The project, located in Van Phong Economic Zone, Khanh Hoa Province in the southern part of Vietnam, comprises two supercritical coal-fi red boilers (660MW each) targeted to be commercially operated in 2023 to mitigate power shortage in southern Vietnam. The owner, Sumitomo Corporation established Van Phong Power Company Limited (VPCL) as a Build-Operate-Transfer (BOT) company and signed a 25-year BOT Contract and Power Purchase Agreement (PPA) with Ministry of Industry and Trade and Vietnam Electricity (EVN) in 2018. CTCI has proven expertise in power plants solutions of engineering, procurement, construction, commissioning, operation, and maintenance. In July 2019, CTCI secured Gulf Coast Growth Ventures (GCGV) monoethylene glycol (MEG) EPC project in the United States by forming a joint venture, CTCI McDermott Integrated (CMI), with McDermott. The world-scale downstream module project sets a new record in contract value CTCI secures in the US hydrocarbon market, and is CTCI’s fi rst project to fully utilise its modularisation technology in the US EPC market. The project owner is a joint venture between ExxonMobil and SABIC. The MEG project is located in San Patricio County, Texas, which enjoys ready access to rail and deep water port facilities. With the existing infrastructure and proximity to raw materials, this has created a positive business climate to make good use of the shale gas development in the US and booming local petrochemical industry. GCGV acquired environmental permits in June 2019. The completion of the project, anticipated by 2022, is expected to bring production of 1.1MTA MEG annually to satisfy the growing demands for MEG. In January 2020, Air Liquide Arabia (ALAR) announced that it kickstarted commercial operations at its fl agship pipeline network in Yanbu, on the West Coast of Saudi Arabia, by supplying hydrogen to SAMREF, a joint venture between Saudi Aramco and Mobil Yanbu Refi ning Company, a wholly-owned subsidiary of Exxon Mobil Corporation. As one of the Middle East’s leading refi neries, SAMREF represents ALAR’s fi rst customer on the pipeline network, which will also start supplying three other major industrial companies in Yanbu Industrial City in the coming months. The event is also a key milestone for ALAR’s hydrogen production site in Yanbu within Yasref. ALAR will produce the hydrogen supplied to SAMREF from its global-scale hydrogen production site located on the premises of YASREF refi nery, a joint venture between Saudi Aramco and China Petrochemical Corporation (SINOPEC). This landmark event comes as ALAR continues to demonstrate its commitment to the kingdom and Vision 2030. With its market leading hydrogen infrastructure on both coasts of Saudi Arabia, in Yanbu and Jubail, ALAR is not only bringing infrastructure and expertise in gas supply solutions and technology, but also driving local investments, talent opportunities and the development of the local supply chain. Francois-Xavier Haulle, general manager at Air Liquide Arabia, commented on the signifi cant milestone for the company: “ALAR keeps executing its plan in the kingdom and is delivering value daily to its customers. I am grateful to YASREF and SAMREF for their trust and to the Royal Commission for its continuous support. ALAR is committed to expand further its investments and deliver further synergies around the circular economy created by its hydrogen pipeline infrastructure.” In July 2019, Air Liquide signed a long- term agreement with Gulf Coast Growth Ventures (GCGV), a 50/50 joint venture between ExxonMobil and SABIC, to supply oxygen and nitrogen from its industrial gas pipeline network to GCGV’s planned ethane cracker facility located near Corpus Christi, in Texas. To support the new agreement and additional volumes, Air Liquide plans to invest nearly $140mn to build a new world-scale air separation unit (ASU) in Bay City, Texas, and related infrastructure investments. Air Liquide will supply 2,000 tonnes per day of oxygen and 900 tonnes per day of nitrogen to GCGV’s planned 1.8 million tonnes per year ethane cr a c k e r facility. $140mn To invest to build ASU in Bay City, Texas CTCI Corporation Air Liquide Member Dow Jones Sustainability Indices27 Refi ning & Petrochemicals Middle East April 2020www.refi ningandpetrochemicalsme.com Top 30 EPC Contractors In October 2019, a consortium of JGC Corporation of Japan, Fluor and TechnipFMC of France was awarded an engineering, procurement and construction contract by Mozambique Rovuma Venture (MRV) for its Mozambique Rovuma Liquefi ed Natural Gas (LNG) Phase 1 Project in Cabo De lg a d o , Moz a mbique , with an imm edi a t e release of a limited notice-to-proceed. The project will develop Area 4 of the ultra-deep Rovuma Basin, a giant off shore natural gas fi eld with up to 15 trillion cubic feet of natural gas located off the coast of Mozambique. MRV is an incorporated joint venture owned by Eni, ExxonMobil and China National Petroleum Corporation (CNPC), which holds a 70% interest in the Area 4 exploration and production concession contract. Galp, KOGAS and Empresa Nacional de Hidrocarbonetos E.P. each hold a 10% interest. The project team will be located in Farnborough, UK; Paris, France; and Yokohama, Japan. In July 2019, JGC Corporation announced that it has been awarded a front-end engineering and design (FEED) contract under a triple FEED competition scheme for the LNG plant for marine fuel that Total E&P Oman Development, a 100% subsidiary of the French company Total, is planning in the Port of Sohar in Oman, in partnership with Oman Oil Company. This project consists of FEED services to construct a new medium- scale LNG plant with an annual LNG production capacity of 1,000,000 tonnes in Sohar, one of the largest industrial zones in the Middle East, approximately 200 kilometres to the west of Muscat, the capital of Sultanate of Oman. Growing demand is expected for marine fuel since the International Maritime Organization (IMO) has introduced environmental regulation for maritime fuel in 2020. During the bidding process, it was highly evaluated that JGC experienced many LNG plant construction worldwide and delivered proposal making use of the small/medium-scale LNG plant concept, which is promoted under JGC’s medium-term business plan – Beyond the Horizon. Currently, JGC is executing a total of three LNG plant construction projects, including a large-scale LNG plant in Canada. In May 2019, Hyundai Engineering Co signed a contract for Polimery Police PDH/PP plant project in Poland with a size of $1,095mn. This contract marks the largest petrochemical plant construction project in Poland, and Korea’s biggest scale project won with a European Union (EU) member country, setting a new milestone in the Korean history of winning overseas projects. The project is to construct polypropylene production facilities and infrastructure in the Police region, about 460km northwest of the Polish capital Warsaw. The construction period is 40 months. The fi nished plant will have the production capacity of 400,000 tonnes of polypropylene per year. The produced polypropylene is expected to be widely used in industrial fi elds such as automobile parts, artifi cial fi bres and various kinds of necessities and contribute greatly to the economic development of Poland. On the day before the ceremony, on 10 May, Hyundai Engineering Co also signed the Investment Cooperation Agreement (ICA) on the equity investment for this project with Korea Overseas Infrastructure & Urban Development Corporation (KIND) and PDA Polska SA, the order placing entity. This contract is recognised as a feat of Hyundai Engineering Co for successful case of demonstrating the competence of ‘Overseas Construction Team Korea’ through the synergistic eff ect of HEC’s excellent marketing and technological effi ciency with the government policy support by way of the equity investment of KIND. In addition, this winning of the project is remarkable in that it has diversifi ed the business areas for Korean constructors based in the EU market from plants and offi ce buildings to petrochemical plants. In April 2018, Hyundai Engineering Co won a $273.2mn contract from Bangchak Corporation Public Company for the expansion of a refi nery in Thailand. Under the terms of the EPC contract, Hyundai Engineering Co will be responsible for the construction of continuous catalyst regeneration reformers at the refi nery in the Phra Khanong district of Bangkok. The company announced that the new facilities would allow the production of premium high-octane petrol at the refi nery. Hyundai Engineering Co will also replace old hydrocracking units at the oil refi nery to boost the daily capacity from 25,000 barrels to 27,500 barrels. BCP operates the Bangchack refi nery, which has production capacity of 120,000 barrels per day of oil. The output is distributed to more than 1,000 service stations across the coun- try. JGC Corporation Hyundai Engineering Co $1.09bn Lands $1,095mn project in Poland 20,000 More than 20,000 projects completed in over 80 countries28 Refi ning & Petrochemicals Middle East April 2020www.refi ningandpetrochemicalsme.com Top 30 EPC Contractors Rotary Engineering is one of the leading oil and gas infrastructure services companies with extensive international experience off ering fully integrated engineering design, procurement, and construction (EPC) services to the oil and gas, petroleum, and petrochemical industries. Headquartered in Singapore, Rotary Engineering has established a strong presence in the Asia-Pacifi c region and continues to make its mark as a global player. Established in 1972, the company has forged a reputation built on its hallmark traits of providing quality services, within budget, safely and on-time delivery. Today, Rotary Engineering boasts a total strength of over 6,000 employees, which include a highly and multi-skilled workforce that forms the mainstay of its core EPC services. As a key industry player, Rotary Engineering strives to achieve perfection in the aspect of zero incidents and quality management by compliance and commitment to the highest standards of regulatory practices, and to consistently provide relevant training to its employees. Singapore remains a key market for Rotary Engineering while it actively seeks business opportunities overseas. The company has subsidiaries and associate companies in Malaysia, Thailand, Indonesia, India, China, Vietnam, Saudi Arabia, Oman, the United Arab Emirates, Australia, Myanmar and Slovenia. In October 2018, Rotary Engineering and its subsidiaries announced that it has secured an EPC contract from a leading Myanmar-based oil trading company. This project marks the fi rst foray into Myanmar by Rotary Engineering and is expected to be completed by Q2-2020. The company’s scope of work includes constructing a new tank farm with eight storage tanks facility for storage of petroleum products. This project will play a pivotal role in meeting Myanmar’s growing domestic demand for energy, as well as expanding on its export capacity. Rotary Engineering is privileged to expand Singapore’s footprint onto Myanmar’s oil and gas sector and continues to showcase its versatility in market entry, made possible with its reputation and solid track record of effi ciency, quality and safety in projects. Mott MacDonald has been working in Saudi Arabia since the 1970s and continues to be active in the power generation, oil and gas sectors. In the oil and gas sector, Mott MacDonald has recently been awarded a fi ve year engineering services consultancy contract by Al Khafji Joint Operations, Saudi Arabia – a joint venture between Aramco Gulf Operations Company and Kuwait Gulf Oil Company - for maintenance and development of the 40 year old Khafji oil fi eld. In addition to production facilities, the fi eld has shipping, offi ces, housing and other facilities. Mott MacDonald will provide feasibility studies, preliminary engineering design scoping papers and detailed design. The consultancy will give technical support during tenders and develop front-end engineering design for other industrial engineering projects. In Oman, Mott MacDonald won two new seven year contracts in 2012 with Petroleum Development Oman (PDO), providing engineering services right across the sultanate. The company’s work with them is not limited to oil and gas as it is executing many water and power projects associated with oilfi elds, providing a one-stop-shop for large, multidisciplinary projects and a showcase for the capabilities it off ers. Mott MacDonald won the Engineering Achievement Award at the 2011 Oil & Gas Middle East Awards, which recognises world-leading projects in the energy sector for its enhanced oil recovery (EOR) consultancy project at the Qarn Alam fi eld in Oman which is owned by PDO. This is the world’s fi rst full-fi eld steam injection enhanced oil recovery (EOR) project. The company also provided detail design and procurement services for a key part of a cutting-edge EOR process, polymer flooding in Marmul. It was its client ’s first and the world’s largest polymer flooding project. Mott MacDonald designed the polymer preparation facility, which serves 27 injection wells. The project has increased recovery by 10%, delivering the highest rate of production in the field’s 30 year history. Mott MacDonald is project management consultant on mega projects like Takreer’s Ruwais Refinery Expansion, the 7-year North East Bab Phase III development project and ADMA-OPCOS’s Lower WZakum 100MBD programme for which it won the Offshore Project of the Year at the Oil & Gas Middle East Awards in 2012. 1,600 experts Mott MacDonald’s oil, gas and petrochemicals team has 1,600 specialists Rotary Engineering Mott MacDonald 450,000M3 capacity Wins ENOC contract for 12 storage tanksThe Covid-19 outbreak has had a profound impact on the world, taking tens of thousands of lives, restricting the movements of people and goods, disrupting our daily lives, and dealing a major blow to communities, businesses and economies the world over. The virus is causing signifi cant disruption to global supply chains, with one report suggesting that 938 of the Fortune 1000 companies have a tier 1, or tier 2 supplier that has been aff ected by the virus. Going digital Supply chain digitalisation is not a new topic, but it comes at an increasingly pressing time as businesses fi nd themselves faced with insurmountable uncertainty, great disruption to their operations and the need to take swift action in order to safeguard their future. In supply and demand driven sectors such as the chemical industry, uncertainty is a key business risk. This trend is not unique to the chemical sector alone, as 84% of chief supply chain offi cers at companies today identify lack of visibility as their biggest challenge. This comes with a hefty price, as one in three companies report losses of over $1mn annually due to disruptions. Drivers for supply chain transformation With the growing interconnectedness of the modern world, the need to build robust supply chains has never been more important, as businesses continue to be exposed to complex, global risks. Increasingly companies need to have the right visibility over their logistics operations and ensure their strategy and planning are based on a reliable fl ow of information in real time. The availability of digital technologies designed to improve supply chain management has never been more accessible. Yet paper and manual process continue to power most supply chains. However, the chemical industry is now waking up to a reality in which building supply chain resilience is no longer ‘a nice to have’. It is an absolute must to ensure the industry’s competitiveness and protect it from future disruptions. As a result, chemical producers are increasingly realising the need to transform their traditional supply chains from a ‘procure, produce and deliver’ model that involves multiple information gaps to one enabled by technology. Some of the key drivers for moving towards a digital supply chain include improving speed to market, achieving better responsiveness, predictability, resource productivity and supply chain effi ciency. Going digital will also unlock a new fi eld of opportunities for chemical producers and positively impact on revenue, services provided, working capital and cost. Challenges still abound However, signifi cant challenges still exist in moving from interest to implementation. The complexity of today’s supply chain, inconsistency in the technology used, as well as the signifi cant capital investment required are among the major roadblocks hindering wide-spread technology adoption. Companies are increasingly faced with not having the right capabilities, the need for organisational realignment, talent challenges and an uneven distribution of technology across ecosystems. Key prerequisites for successfully transitioning towards Supply Chain 4.0 include an end-to-end process optimisation, devising an eff ective technology roadmap, achieving ecosystem alignment as well as seamless integration, and collaborating with suppliers, trading partners, technology providers and customers. Finally, adopting the technology alone will not be enough. Companies will need to create a real transformation cutting across culture, talent development, process optimisation, adopting a top down approach and fostering greater value chain collaboration. In these uncertain times, increasing its supply chain agility will be key in ensuring the industry is well insulated against current and future disruption. As businesses come under unprecedented strain from this historic supply-chain shock, the actions they take today can help build resilience in the future. 9Dr Abdulwahab Al-Sadoun is the secretary general of the Gulf Petrochemicals and Chemicals Association (GPCA). Set up in March 2006, GPCA is a dedicated non-profi t association, serving its members with industry data and information sources. EURO PETROLEUM CONSULTANTS Driving supply chain agility at a time of Pandemic Due to the current crisis, we expect supply and demand fl uctuations to have a signifi cant impact on the chemical industry, with global petrochemicals growth likely to be negative in 2020, comments Dr Abdulwahab Al-Sadoun Key prerequisites for successfully transitioning towards Supply Chain 4.0 include an end-to- end process optimisation, devising an eff ective technology roadmap, achieving ecosystem alignment as well as seamless integration, and collaborating with suppliers, trading partners, technology providers and customers. 29Opinion Refi ning & Petrochemicals Middle East April 2020www.refi ningandpetrochemicalsme.comNext >