KBR wins engineer work on new Cambodia refinery

KBR on Thursday announced it was awarded a contract by Cambodian Petrochemical Co. (CPC) to provide licensing and engineering services for the Veba Combi Cracker (VCC) unit to be implemented in the Kampong Som Petrochemical Industrial Zone.

Tianjin Petrochemical Engineering Design Co. (TPED), the EPC contractor for the unit, executed the agreements on behalf of CPC.

Under the terms of the contract, KBR said it will provide licensing and basic engineering services for the 1.2 million tpy VCC unit that will process refinery vacuum residues into naphtha and Euro 5 diesel products.

“The VCC technology was selected after careful evaluation of the process. The high residue conversion and finished products quality will significantly improve the economics of our facility,” said Li Chengchun, chief executive of CPC.

“VCC can process a wide range of residues and fuel oil, which greatly enhances our crude flexibility and had a big influence on the selection of our refinery configuration," he added.

“The EPC contractor is critical to the successful implementation of a new technology.” noted Jiang Huadong, general manager of TPED. ”TPED is committed to build this unit in accordance with CPC’s quality, schedule, and cost requirements.”

CPC is the first refinery in Cambodia, with a crude capacity of 5 million tpy. It is invested in by the Cambodian National Petroleum Authority, Cambodian HKT Special Economic Zone, and Hong Kong Diamond Industry.

“We are pleased to be awarded our fourth license since acquiring the right to license VCC in 2010. The other three units are under construction,” said John Derbyshire, president of KBR Technology. “I look forward to working with CPC and TPED as we embark on this important project.”

Specific financial terms were not disclosed.

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