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11.01.2012  |  Meche, Helen,  Hydrocarbon Processing Staff, Houston, TX

Keywords: [construction] [refinery] [engineering] [LNG] [petrochemicals] [plastics] [sulfur recovery] [methanol-to-olefins]

Technip has two contracts, worth approximately €50 million in total, for the front-end engineering and design (FEED) services of two refineries in Kazakhstan. The scope involves the modernization of two out of three of the country’s existing refineries.

The first contract—for Pavlodar Oil Chemistry Refinery—is an upgrading project of the Pavlodar refinery, which is scheduled to be completed in the second semester of 2013. The second project is for Petrokazakhstan Oil Product and concerns the revamp of the Shymkent refinery, whose FEED documentation is scheduled to be completed by the end of 2013.

Both projects aim to increase production capacity and conversion. They include new and revamp process units, as well as utilities and offsite facilities.

Technip’s operating center in Rome, Italy, will execute both contracts.

The MITC Consortium (consisting of MODEC, Inc., IHI Corp., Toyo Engineering Corp. and CB&I Nederland B.V.) has been awarded a contract by PETRONAS for the front-end engineering and design (FEED) of a floating liquefied natural gas (FLNG) project on dual-FEED mode in Malaysia.

The FEED is for PETRONAS’ second FLNG unit. The FLNG is designed to produce 1.5 million tpy of LNG at offshore Sabah, Malaysia. The FEED includes the basic design of a natural-gas liquefaction system using a precooling system, purpose-designed hull, living quarters, mooring system, LNG storage tank and LNG offloading system, followed by an engineering, procurement, construction, installation and commissioning (EPCIC) cost estimate for the project. The FEED and EPCIC cost estimate are expected to be completed by the middle of 2013.

The technology of UOP LLC, a Honeywell company, has been selected by Heilongjiang Anruijia Petrochemical Co. to help produce key ingredients for fuels, synthetic rubber and plastics in China.

Honeywell’s UOP C4 Oleflex process will be used to produce isobutylene, a key ingredient for fuels and synthetic rubber. In addition, Honeywell’s UOP Butamer process will be used to produce normal butane, a feedstock used to produce ethylene, a building block for plastics.

The new units, expected to start up in 2014, will produce 180,000 metric tpy of isobutylene and 150,000 metric tpy of normal butane at Heilongjiang Anruijia Petrochemical Co.’s facility in Heilongjiang Province, China. This will reportedly be the first facility in China to dedicate a process unit for isobutylene production using Honeywell’s UOP C4 Oleflex process, and the first to license Honeywell’s UOP Butamer process to produce normal butane.

Honeywell’s UOP will also provide the engineering design, technology licensing, catalysts, adsorbents, equipment, staff training and technical service for the project.

Jacobs Engineering Group Inc. has a contract from PETRONAS to develop a basic engineering package for three sulfur-recovery units (SRUs). Officials did not disclose the contract value, but noted that the basic engineering services are being provided from Jacobs’ Leiden office in The Netherlands.

Jacobs is licensing its proprietary SUPERCLAUS technology to PETRONAS for the SRU project. Jacobs introduced the SUPERCLAUS technology in 1985; there are now over 200 licensed units in operation worldwide. The technology offers a number of performance features in areas such as reliability, sulfur-recovery levels, sulfur-emissions reduction and simple continuous operation. PETRONAS’ new three-train sulfur plant is part of the Refinery and Petrochemical Integrated Development (RAPID) project site in the state of Johor, Malaysia.

Through the RAPID site, PETRONAS is establishing an optimally configured, integrated refinery and petrochemical complex that focuses on producing high-value-added petrochemicals. This involves building a refinery to supply naphtha and to produce gasoline and diesel that meet European clean-fuels specifications. The petrochemical complex is designed and developed to produce ethylene and olefins that are used in downstream plants to produce petrochemical derivatives.

UOP LLC, a Honeywell company, has announced that China’s Jiutai Energy (Zhungeer) Co. Ltd. has licensed Honeywell’s UOP methanol-to-olefins (MTO) technology to convert methanol from coal into key plastics’ building blocks.

Honeywell’s UOP/Hydro MTO process converts methanol from gasified coal or natural gas to produce high yields of ethylene and propylene, building-block materials used to produce films, packaging, plastics and other petrochemicals.

The technology allows producers in countries such as China to tap abundant coal resources, rather than more expensive petroleum, to produce petrochemicals.

Jiutai Energy will produce 600,000 metric tpy of ethylene and propylene at its facility in Ordos City, Inner Mongolia, China. In addition to technology licensing, Honeywell’s UOP will provide basic engineering, catalysts, adsorbents, specialty equipment, technical services and training for the project, which is expected to start up in 2014.

The MTO process, jointly developed by Honeywell’s UOP and INEOS, converts methanol from crude oil and non-crude oil sources such as coal or natural gas to ethylene and propylene. The process, based on proprietary UOP catalysts, is proven to provide high yields with minimal byproducts. MTO also offers flexibility in the quantity of propylene and ethylene produced, so producers can adjust plant designs to most effectively address market demands. HP

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