VanOord Project- Petropipe

Van Oord awarded contract to construct Hollandse Kust (noord) offshore wind farm

Following the announcement that CrossWind received the permit for the Hollandse Kust (noord) offshore wind farm, Van Oord is pleased to confirm that it has been contracted for the Balance of Plant scope. CrossWind is a joint venture between Shell and Eneco.

Offshore wind is essential in achieving the energy transition in the Netherlands. In the 2030 Roadmap for offshore wind energy, the Dutch government states that more than 11 gigawatts (GW) of offshore wind farms will be built and connected to the mainland by 2030. Over the past years, Van Oord has played an important role in the development and construction of several Dutch offshore wind farms, such as Gemini Offshore Wind Park and offshore wind farm Borssele III & IV and site V. Hollandse Kust (noord) will have an installed capacity of 759 MW, generating at least 3.3 TWh per year. This is enough renewable power to supply more than 1 million Dutch households with green electricity. CrossWind plans to have the wind farm operational by 2023.

Source: Van Oord

Suiz

SUEZ wins a new industrial contract in China: construction and operation of a hazardous waste management facility in Huaibei City

In China, SUEZ has signed an agreement with the Authorities of Huaibei City, in Anhui Province, to build and operate a facility specialized in industrial hazardous waste management. Bringing sustainable solutions supportive to the local circular economy, this project will ensure the effective treatment of industrial waste, protecting the environment while fostering economic and social development. The contract will represent a revenue of c. €700 million over 30 years. Construction is scheduled to start in the second half of 2020. The completion and commissioning are expected by the end of 2021.

With greater demand coupled with the complexity in managing hazardous waste, Huaibei and surrounding cities are looking for the construction of local facilities with a centralized waste management. SUEZ and its partner have established a new joint venture, to invest, build and operate Huaibei’s first integrated industrial hazardous waste management facility to provide services for companies in the area. Located in the “New Coal Chemical Synthetic Material” industrial complex, the facility will rely on a treatment and Energy from Waste unit with a 30,000 tonnes annual capacity and a storage centre with similar capacity, compliant with the highest standards.

The energy recovery system will recover and produce 85,000 tonnes of steam per year, which will be supplied to the industrial customers in the area while mitigating greenhouse gas emissions. The storage centre will be used for non-incinerable hazardous waste.

Song YuxianDirector of the Administrative Board of the Anhui (Huaibei) New Coal Chemical Synthetic Material Base, said, “We are now accelerating industrial transformation and upgrade to align our activities with green, low-carbon, circular, energy-saving and environmentally-friendly requirements. We hope that the new JV will connect SUEZ’s environmental success stories around the world to not only enable safe and environmentally-friendly disposal of hazardous waste, but also to ensure environmental wellbeing and human health and a greener and more livable planet.”

Source: Suez

Taqa project

EWEC Announces Partners to Develop the World’s Largest Solar Power Plant

The Emirates Water and Electricity Company (EWEC), a leading company in the coordination of planning, purchasing and providing of water and electricity across the UAE, announced the award for the world’s largest solar power plant. The project was awarded to a consortium led by Abu Dhabi National Energy Company (TAQA) and Masdar, with partners EDF and JinkoPower, for the development of the 2 GW Al Dhafra Solar Photovoltaic (PV) Independent Power Producer (IPP) project, which will be located approximately 35 kilometers from Abu Dhabi city. The project’s power purchase agreement (PPA) and shareholders’ agreement were signed with EWEC.

The rigorous procurement process resulted in one of the most cost-competitive tariffs for solar PV energy, set at AED 4.97 fils/kWh (USD 1.35 cents/kWh) on a levelized cost of electricity (LCOE) basis. Upon full commercial operation, the plant is expected to reduce Abu Dhabi’s CO2 emissions by more than 2.4 million metric tonnes per year, equivalent to removing approximately 470,000 cars from the road.

Speaking about the milestone, Othman Al Ali, Chief Executive Officer of EWEC, said: “We are delighted to work with our partners and sign a PPA with a record-low tariff for solar power. We are working to secure long-term energy supply and reinforce solar power’s integral role in meeting current and future energy needs. Combined with key technological advances, the Al Dhafra Solar PV project will have a significant impact on diversifying the approach to our current electricity supply, and drive our strategic plan to further contribute towards the sector’s transformation in water and electricity production, as we develop a low-carbon grid in the UAE.”

Jasim Husain Thabet, Group CEO and Managing Director at ‎TAQA, said: “The Al Dhafra Solar PV plant is a benchmark project for our nation and the global energy sector. The project’s low tariff and utilisation of best-in-class technology further demonstrate the feasibility of utility-scale renewable energy projects that are accelerating our nation’s progress on meeting the ambitious energy objectives outlined in the UAE Energy Strategy 2050. Once fully operational, the plant will increase Abu Dhabi’s solar power capacity to approximately 3.2 GW.”

The Al Dhafra Solar PV project is expected to provide approximately 160,000 households across the UAE with electricity. It will be larger than TAQA’s existing 1.2 GW ‘Noor Abu Dhabi’ solar plant, which is currently the world’s largest operational single-project solar PV plant.

Mohamed Jameel Al Ramahi, Chief Executive Officer of Masdar, said: “Through the award of the Al Dhafra project, the UAE is affirming once again its determination to lead the global transition to cleaner energy sources, deploying the latest advances in solar power technology at tremendous scale cost efficiently. At Masdar, we are honoured to join EWEC, TAQA, EDF, JinkoPower, and the many other prestigious partners involved in this outstanding project. We are excited to be working with them to realise the world’s largest single-site solar power plant in Abu Dhabi, building on our existing portfolio of world-class projects in the UAE, including Shams in Madinat Zayed in Abu Dhabi, and the third phase of the Mohammed Bin Rashid Al Maktoum Solar Park in Dubai.”

Bruno Bensasson, EDF Group Senior Executive Vice-President Renewable Energies and Chief Executive Officer of EDF Renewables, said: “EDF has a strong and close relationship with the UAE, providing the country with cutting-edge technology and supporting its energy policies for the long term. With this new project, we are honoured and delighted to be able to continue this strategic partnership. For EDF, the signing of the PPA for Al Dhafra Solar PV is a testimony of the confidence that the government and EWEC have in our industrial abilities. The project will use the latest in crystalline, bifacial solar technology delivering electricity to the highest efficiency and at a world record-low tariff in such irradiation conditions. It will support the UAE’s unique vision and leadership position in the development of a diverse range of renewable energy solutions that will provide sustainable and efficient power for generations to come.”

Charles Bai, President of JinkoPower International Business, commented: “Jinko is once again privileged to be a partner in developing the new largest PV generation plant in the world, following our successful partnership in building the current world’s largest single solar project, Noor Abu Dhabi. The UAE energy industry is known for its world-class standards, operating with fairness and transparency. It is an attractive environment for investors and underpins our strategy to continue investing in renewable energy projects in the UAE. The Al Dhafra Solar PV project raises the bar in the energy sector and also sets the foundation to demonstrate how new records can be made. Today, Jinko and our partners are proud to begin to execute the world’s largest PV project and diligently deliver the latest world-class technology and construction methods.”

Through this project, 60% will be owned by a consortium comprising TAQA and Masdar, while the remaining 40% will be owned by EDF and JinkoPower. The project’s financial closure is expected to occur in Q3 2020, enabling initial power generation in H1 2022 and full generation by H2 2022. Once fully operational, the plant will increase Abu Dhabi’s solar power capacity to approximately 3.2 GW.

Source: Taqa.com

Petropipe

Fluor Awarded Front-End Engineering and Design Contract for California Resources Corporation Carbon Capture Project

 Fluor Corporation announced that it was awarded a front-end engineering and design (FEED) contract for California Resources Corporation’s (CRC) carbon capture and sequestration project, Cal Capture, at the 550-megawatt, natural gas-powered Elk Hills Power Plant in Tupman, California. The FEED is being funded by the U.S. Department of Energy (DOE) through collaboration with the Electric Power Research Institute (EPRI) as part of a larger initiative to advance carbon capture technology development.

“Fluor’s commitment to helping clients achieve their clean energy goals continues with this recent award from CRC,” said Mark Fields, group president of Fluor’s Energy & Chemicals business. “We are honored to be selected by CRC to help them design and permit California’s first carbon capture and sequestration system.”

Fluor’s scope of work is as the licensor providing engineering services for the plant’s licensed process unit and required utility systems using its proprietary Econamine FG PlusSM carbon capture technology which is an energy-efficient and cost-effective process for the removal of carbondioxide from flue gas streams. The process will incorporate Fluor’s advanced solvent formulation together with a number of patented energy savings features.

The execution of the project is a collaborative effort between EPRI, CRC and Fluor. The DOE award was made to EPRI, which has led the interface with the DOE. CRC is providing the project oversight and defining the basis of the FEED.

“CRC has four 2030 sustainability goals that align with those of the State of California. Our carbon goal is to design and permit a carbon dioxide (CO2) capture and storage system – the Cal Capture project – at our Elk Hills Power Plant with associated CO2 injection for enhanced recovery and sequestration at the adjacent Elk Hills oil field,” said Shawn Kerns, CRC executive vice president of Operations and Engineering. “The Cal Capture project offers multiple benefits including substantial emissions reductions, substantial positive economic impacts across the California economy and the development of a key technology needed worldwide to meet future energy transition targets.”

Source: Fluor Corporation

Petropipe

Japan wins deal for nearly $2bn LNG power plant in Myanmar

Trading houses Marubeni, Sumitomo Corp. and Mitsui & Co. will build a liquefied natural gas-fired power plant in Myanmar, one of the biggest investments by Japanese companies in the Southeast Asian country, people familiar with the matter say.

The three companiesestimate total investment in the project at $1.5 billion to $2 billion.The plant is expected to start operating by 2025 with a capacity equalto about 20% of Myanmar’s existing power plants.

The project marks a win for Japan in a region where China has competed hard for infrastructure deals.

Demand for LNG power is expected to grow in Southeast Asia as a low-emission alternative to cheap coal. Marubeni, Sumitomo and Mitsui expect the project in Myanmar to help them expand their power businesses in the region.

In Myanmar, electricity demand has been growing at a rate of 10% to20% a year with industrialization and the electrification of farmingvillages. Frequent power outages have posed an obstacle to the country’sgoal of attracting foreign investment in manufacturing.

The plantwill be built in a suburb of Yangon, Myanmar’s commercial capital andmost populous city. The three companies will operate it through a jointventure they will establish with Eden Group, a local conglomerate whosebusinesses include real estate and agriculture.

The plant will have a generating capacity of 1,250 megawatts — about as much as one nuclear reactor. Myanmar’s existing power generation capacity is about 6 megawatts, according to the country’s Ministry of Electricity and Energy.

The Myanmar government will soon provide the project partners awritten notification that gives a green light to proceed to the nextstage, which includes a detailed feasibility study, plant design andnegotiations on selling power to the Electric Power GenerationEnterprise, a public utility.

With its access to the Indian Ocean,Myanmar is a key focus of China’s Belt and Road infrastructureinitiative. Chinese President Xi Jinping called on Myanmar’s governmentto smooth the way for infrastructure projects during a visit to thecountry in January. In 2018, Chinese companies secured the rights to anLNG power plant project of a similar scale to that planned by theJapanese trading houses.

The new investment in LNG power comes asSoutheast Asian nations grapple with the environmental costs of coal,which provides about 40% of the region’s electric power. The fuel’s highcarbon dioxide emissions have raised opposition to new coal plantsamong both local residents and the international community.

LNGemits about half as much CO2 as coal when burned. Myanmar recently begancommercial operations at an LNG power plant run by a Hong Kong-ledgroup. In Vietnam, the state-run PetroVietnam group has started buildingthe country’s first LNG terminal, which is expected to becomeoperational in 2022. The Philippines also has plans for an LNG terminal.

Japan has faced criticism for its funding of overseas coal projects, prompting major trading houses to halt participation in new power plant and mine deals.

Source: Asia Nikkei

Chevron_ Petropipe

Chevron Announces Agreement to Acquire Noble Energy

Chevron Corporation announced that it has entered into a definitive agreement with Noble Energy, Inc. (NASDAQ: NBL) to acquire all of the outstanding shares of Noble Energy in an all-stock transaction valued at $5 billion, or $10.38 per share. Based on Chevron’s closing price on July 17, 2020 and under the terms of the agreement, Noble Energy shareholders will receive 0.1191 shares of Chevron for each Noble Energy share. The total enterprise value, including debt, of the transaction is $13 billion.

The acquisition of Noble Energy provides Chevron with low-cost, proved reserves and attractive undeveloped resources that will enhance an already advantaged upstream portfolio. Noble Energy brings low-capital, cash-generating offshore assets in Israel, strengthening Chevron’s position in the Eastern Mediterranean. Noble Energy also enhances Chevron’s leading U.S. unconventional position with de-risked acreage in the DJ Basin and 92,000 largely contiguous and adjacent acres in the Permian Basin.

“Our strong balance sheet and financial discipline gives us the flexibility to be a buyer of quality assets during these challenging times,” said Chevron Chairman and CEO Michael Wirth. “This is a cost-effective opportunity for Chevron to acquire additional proved reserves and resources. Noble Energy’s multi-asset, high-quality portfolio will enhance geographic diversity, increase capital flexibility, and improve our ability to generate strong cash flow. These assets play to Chevron’s operational strengths, and the transaction underscores our commitment to capital discipline. We look forward to welcoming the Noble Energy team and shareholders to bring together the best of our organizations.”

“This combination is expected to unlock value for shareholders, generating anticipated annual run-rate cost synergies of approximately $300 million before tax, and it is expected to be accretive to free cash flow, earnings, and book returns one year after close,” Wirth concluded.

“The combination with Chevron is a compelling opportunity to join an admired global, diversified energy leader with a top-tier balance sheet and strong shareholder returns,” said David Stover, Noble Energy’s Chairman and CEO. “Over the last few years, we have made significant progress executing our strategic objectives, including driving capital efficiency gains onshore, advancing our offshore conventional gas developments and significantly reducing our cost structure. As we looked to build on this positive momentum, the Noble Energy Board of Directors and management team conducted a thorough process and concluded that this transaction is the best way to maximize value for all Noble Energy shareholders. We look forward to bringing together our highly complementary cultures and teams to realize the long-term value and benefits that this combination will deliver.”

Transaction Benefits

  • Low Cost Acquisition of Proved Reserves and Attractive Undeveloped Resource: Based on Noble Energy’s proved reserves at year-end 2019, this will add approximately 18 percent to Chevron’s year-end 2019 proved oil and gas reserves at an average acquisition cost of less than $5/boe, and almost 7 billion barrels of risked resource for less than $1.50/boe.
  • Strong Strategic Fit: Noble Energy’s assets will enhance Chevron’s portfolio in:
    • U.S. onshore
      • DJ Basin – New unconventional position with competitive returns that can be further developed leveraging Chevron’s proven factory-model approach.
      • Permian Basin – Complementary acreage that enhances Chevron’s strong position in the Delaware Basin.
      • Other – An integrated midstream business and an established position in the Eagle Ford.
    • International
      • Israel – Large-scale, producing Eastern Mediterranean position that diversifies Chevron’s portfolio and is expected to generate strong returns and cash flow with low capital requirements.
      • West Africa – Strong position in Equatorial Guinea with further growth opportunities.
  • Attractive Synergies: The transaction is expected to achieve run-rate operating and other cost synergies of $300 million before-tax within a year of closing. 
  • Accretive to Return on Capital Employed, Free Cash Flow, and EPS: Chevron anticipates the transaction to be accretive to ROCE, free cash flow and earnings per share one year after closing, at $40 Brent.

Transaction Details

The acquisition consideration is structured with 100 percent stock utilizing Chevron’s attractive equity currency while maintaining a strong balance sheet. In aggregate, upon closing of the transaction, Chevron will issue approximately 58 million shares of stock. Total enterprise value of $13 billion includes net debt and book value of non-controlling interest.

The transaction has been unanimously approved by the Boards of Directors of both companies and is expected to close in the fourth quarter of 2020. The acquisition is subject to Noble Energy shareholder approval. It is also subject to regulatory approvals and other customary closing conditions.

The transaction price represents a premium of nearly 12% on a 10-day average based on closing stock prices on July 17, 2020. Following closing of the transaction, Noble Energy shareholders will own approximately 3% of the combined company.

Advisors

Credit Suisse Securities (USA) LLC is acting as financial advisor to Chevron. Paul, Weiss, Rifkind, Wharton & Garrison LLP is acting as legal advisor to Chevron. J.P. Morgan Securities LLC is acting as financial advisor to Noble Energy. Vinson & Elkins LLP is acting as legal advisor to Noble Energy.

Source: Chevron

Saipem_Petropipe

Saipem awarded several new offshore wind contracts for a total value exceeding 90 million euros. Additional activity for the Saipem 7000 in the wind segment

Saipem has been awarded new offshore wind contracts, for projects currently under development off the coasts of England, Scotland and France, for a total value of over 90 million euros.

Dogger Bank Offshore Wind Farms, a joint venture between Equinor and SSE Renewables, has awarded a contract to Saipem for the transportation and installation of two offshore HVDC (High Voltage Direct Current) platforms for the first two phases of the Dogger Bank project: Dogger Bank A and Dogger Bank B. Both platforms will have a capacity of 1.2 GW and will consist of a ca. 2,900-ton jacket and a ca. 8,500-ton topside. Dogger Bank will be the world’s biggest offshore wind farm when completed and is located over 130km off the North East coast of England. The project is the first to use HVDC technology in the UK’s offshore wind market.

Saipem has also been awarded an installation contract by Seaway 7 related to the Seagreen Offshore Wind Farm, a 1,075MW joint venture project between SSE Renewables (49%) and Total (51%) off the East coast of Scotland. The scope of work entails the installation of 114 foundations for an equivalent number of wind turbines.

Lastly, Saipem has been awarded a contract for the transportation and installation of the jacket and topside of the offshore substation at St-Brieuc offshore wind farm, located in Brittany, France, which is being developed by Ailes Marines, part of the Iberdrola group. All project management and engineering activities shall be executed by Saipem SA, Saipem’s French subsidiary established in Paris.

These offshore installation projects will be carried out by the crane vessel Saipem 7000.

With these contracts, Saipem further consolidates its position as a key player in renewables, for which a dedicated business line has been recently established within the E&C Offshore division.

Francesco Racheli, Chief Operating Officer of Saipem’s E&C Offshore Division, commented: “These new contracts confirm Saipem’s participation in the most relevant offshore windfarm developments and are the tangible results of a strategy which has led us to become a global reference player in energy transition. This significant achievement has been attained by leveraging on our capabilities, our technological flexibility and our distinctive assets”.

Source: Saipem

Petropipe News

Maersk Drilling awarded one-well contract for low-emission rig Maersk Integrator under Aker BP alliance

Maersk Drilling has secured an additional one-well contract from Aker BP, acting as operator of the Tambar license, for the low-emission jack-up rig Maersk Integrator. In direct continuation of its current work scope, the rig will move to the Tambar field offshore Norway to drill the K-2B development well, with work expected to commence in February 2021. The contract has an estimated duration of 73 days and a contract value of approximately USD 18.5m, excluding integrated services provided and a potential performance bonus.

Maersk Integrator is contracted under the terms of the frame agreement Maersk Drilling entered into with Aker BP in 2017 as part of the Aker BP Jack-up Alliance which also includes Halliburton. The tripartite alliance uses a shared incentives model, thereby securing mutual commitment to collaborate and drive digital initiatives to reduce waste and deliver value. Contracts under the alliance are based on market-rate terms but add the possibility of an upside for all parties, based on actual delivery and performance.

“We are delighted to confirm that Maersk Integrator will be back in action for Aker BP in early 2021. Our alliance with Aker BP and Halliburton is enabling new ways of working as one team across the value chain, and we have most recently seen the results of this in the safe and highly efficient operation delivered by Maersk Integrator in a complex campaign on the Ula field. This increased efficiency also translates into a reduction of the CO2 emissions associated with drilling, which will be further enhanced by the upgrades currently being performed on Maersk Integrator,” says COO Morten Kelstrup of Maersk Drilling.

Maersk Integrator is an ultra-harsh environment CJ70 XLE jack-up rig, designed for year-round operations in the North Sea. It was delivered in 2015 and is currently performing its scheduled Special Periodic Survey offshore Norway. The rig is further undergoing a series of upgrades to turn it into a hybrid, low-emission rig before expectedly moving to the Ivar Aasen field for Aker BP in August 2020.

Source: Maersk Drilling

Taqa _Petropipe

TAQA Awards AED 900 Million Projects to Expand Its Recycled Water Distribution Program

Abu Dhabi National Energy Company (TAQA) announced, that its subsidiary, Abu Dhabi Distribution Company (ADDC), awarded projects worth up to AED 900 million to expand the company’s recycled water distribution program. The two new projects will, upon completion, have a combined capacity to transmit approximately 85 million imperial gallons per day (MIGD) of recycled water – enough to irrigate more than 3.5 million palm trees.

The program’s expansion will significantly increase the use of recycled water beyond municipal landscaping to include commercial and agricultural operations. Following completion of the projects, approximately 4,000 farms could benefit from the supply of recycled water, which would further support the program’s objectives to optimize the use of desalinated water, prevent the depletion of ground water resources and divert more recycled water towards a wider range of uses.

This phase of ADDC’s recycled water distribution program builds on its announcement in January, when the company began transmitting a capacity of 4.4 MIGD of recycled water for landscaping irrigation on Saadiyat Island, through a new transmission scheme supplied from the existing network on Yas Island. Now, ADDC’s expanded transmission infrastructure will serve commercial and agricultural clients along the outskirts of the city of Abu Dhabi. These two new projects will, collectively, encompass the laying of approximately 150 kilometers of pipelines in two phases, with the first 30 MIGD pipeline project slated for completion by Q3 2021 and the second 55 MIGD project slated for Q4 2021.

Omar Abdulla Alhashmi, Executive Director of Transmission and Distribution at TAQA, said: “Our expanded recycled water program directly supports TAQA’s vision for a future in which we are not only a sustainable, reliable and efficient supplier of water, but an organization whose operations directly contribute to the realization of the UAE’s broader sustainability and environmental goals. We are particularly focused on the goals outlined in the national strategies for energy and water supply, which anticipate an increase in demand and the deployment of more clean technologies and sustainable methods of service delivery. The expansion of ADDC’s recycled water distribution program plays a key role in TAQA’s transformative impact on Abu Dhabi’s utilities sector – across the value chain and for decades to come.”

H.E. Saeed Mohamed Al-Suwaidi, Managing Director of ADDC, added: “ADDC’s recycled water distribution program plays an integral role in meeting the objectives set forth in the UAE’s Water Security Strategy 2036. By implementing practical and sustainable solutions that optimize desalinated water usage and protect our precious groundwater resources, we will continue to reinforce the Emirate’s strategic approach to achieving water and environmental sustainability.”

Today’s recycled water expansion follows the announcement of TAQA’s successful transaction with ADPower on July 1, 2020, which created the UAE’s 3rd-largest publicly listed company by market capitalization and a top-10 utility player in the EMEA region by regulated assets. As part of the transaction, the majority of ADPower’s power and water generation, transmission and distribution assets, including ADDC, were transferred to TAQA in exchange for 106,367,950,000 new shares.

Source: Taqa Press Release

Subsea7 Taiwan- Petropipe

Subsea 7 awarded renewables contract offshore Taiwan

Subsea 7 announced the award of a sizeable(1) contract for the installation of the submarine cable system on an offshore wind farm project in Taiwan.

Project engineering will commence immediately at Seaway 7’s offices in Leer, Germany and in Taipei, Taiwan. Offshore activities are expected to commence in 2023.

The contract is subject to a final investment decision by the client and Subsea 7 will record the contract in backlog once that decision has been made.

At this time, no further details can be communicated for contractual reasons.

(1) Subsea 7 defines a sizeable contract as being between USD 50 million and USD 150 million.

Source: Subsea7

Mcdermott Project | Petropipe

McDermott Awarded Next Phase of Azikel Refinery Project

McDermott International Ltd. announced it has been awarded a *large engineering and procurement contract from Azikel Petroleum Ltd. for the modular 12,000 BPD Hydro-Skimming Refinery project. The facility will be located in Yenagoa, Bayelsa State within the Federal Republic of Nigeria.

The scope of the award includes the detailed engineering and design of the inside battery limits (ISBL) modular refinery. It also includes supply of equipment and all tagged items within the ISBL.

McDermott has been working with Azikel Petroleum Ltd. since 2018, most recently on an extended Front-End Engineering Design (FEED). This next phase of the award will utilize McDermott’s extensive modularization experience and expertise. The design capitalizes on McDermott’s world-class refining process engineering abilities.

“McDermott has been an integral part of what is one of the few refineries to be built in Nigeria and we look forward to expanding our presence further by delivering the next phase of this important project,” said Tareq Kawash, Senior Vice President, Europe, Middle East, Africa. “Our decades of modularization experience makes us uniquely positioned to deliver this scope and the team has done a great job of developing a simple process design that meets all of Azikel’s product specification requirements.”

The engineering and design are scheduled to be executed from McDermott’s office in Tyler, Texas with support from its Mexico City office. Equipment will be sourced from both US domestic and international suppliers. Azikel is building this grassroots facility and has already done extensive work to prepare the site for construction. The early work includes site reclamation and backfilling, completion of roads, perimeter wall, drainage and security gates. Early work also includes construction of the administrative, maintenance and terminal operator buildings as well as the erection of the feedstock tanks. Construction is also underway for a 656-foot (200 meter) pier with shoreline protection. The pier will be used for the delivery of the refinery modules and other equipment.

The President of Azikel Group, Dr. Eruani Azibapu Godbless, stated that the award was based on the high level of confidence and professionalism exhibited by McDermott and he expects the project will be delivered on schedule and within budget. He further stated that the Azikel Refinery is a flagship for Nigeria as it is the first hydroskimming refinery to advance to this level of achievement in the modular refinery regime.

Azikel Petroleum Limited is a subsidiary of the Azikel Group and the progenitor of the Azikel Refinery Project.

The contract award will be reflected in McDermott’s second quarter 2020 backlog.

* – McDermott defines a large contract as between USD $50 million and $250 million.

Source: McDermott

Wood | Petropipe

Wood secured two solar EPC contracts from an American power and energy company worth over $200 million

Wood, the global engineering and consulting company, has secured two solar engineerings, procurement and construction (EPC) contract from an American power and energy company worth over $200 million.

Wood was selected following a competitive tender process and will be responsible for delivering two major solar projects in the U.S. state of Virginia with a combined output of 190 megawatts.

The first project is a 120-megawatt solar facility in Pittsylvania County, expected to be operational in 2022.

The second project covers a 70-megawatt solar facility in Chesapeake and is expected to be operational in late 2021.

Both solar facilities also further Virginia’s Clean Economy Act, passed on April 13, 2020, which mandates that the state’s electricity be 100% carbon-free by 2050.

Stephanie Cox, CEO of Wood’s Asset Solutions Americas business, said: “These contracts build on a 10-year relationship with our client, for whom we’ve executed more than 40 projects. The awards are testament to our ability to maintain consistent project execution, deliver to accelerated construction schedules and bring forth a strong EPC proposition and skilled workforce to meet our client’s project goals.

“We are seeing an unstoppable momentum towards a lower-carbon energy environment and Wood is proud to partner with clients that are committed to investing in a sustainable energy future.”

These awards follow a series of other recent contract wins including $100 million of onshore wind projects, that will see Wood’s U.S. renewables business double in size in 2020.

To date, Wood has delivered over 200 solar projects across the globe, including 35GW of solar PV projects. In addition to its extensive engineering, procurement and construction track record, Wood has provided advisory solutions for over 13 years and developed world-leading guidelines for the renewables sector, including the IFC solar guidebook.

Source: Wood Plc

Petropipe

Saipem awarded a contract for the Búzios pre-salt field in Brazil worth approximately 325 million USD

Saipem has been awarded a contract by Petrobras for the installation of a rigid riser-based subsea system to serve the Búzios pre-salt project, in water depths from 1537 to 2190 meters, offshore the state of Rio de Janeiro.

The Búzios-5 overall production system foresees the interconnection of 15 wells to the FPSO in two phases. The project awarded to Saipem includes the Engineering, Procurement, Construction and Installation (EPCI) of the Steel Lazy Wave Risers (SLWR) and associated flowlines between all wells and the FPSO. In particular, the scope of work includes five production and five injection risers and flowlines for a total length of 59 km, a 16 km-long gas export line to be connected to an existing pipeline, 11 rigid jumpers and 21 foundation subsea structures (risers and PLETs).

Saipem will use FDS, its state-of-the-art field development ship, for all the subsea works.

“Búzios is one of the world’s largest deepwater oil fields and it is very important for Saipem to contribute to such a significant project for Brazil, a country in which we have a long-established presence and track record of successfully-executed projects.” commented Francesco Racheli, Chief Operating Officer of Saipem’s E&C Offshore Division. “This new acquisition efficiently combines in-house capabilities and appropriate assets to carry out this ambitious endeavour and reinforces our reputation as a global provider of valuable solutions in a country offering great opportunities. We look forward to working alongside Petrobras to further develop Brazil’s resources and ensure the safe and timely achievement of the field’s full production output”.

Source: Saipem

petrofac epc project

Petrofac joint venture secures EPCC contract in Kazakhstan with NCOC

Petrofac’s Engineering & Production Services (EPS) division, in joint venture with Isker, a Kazakhstan company, has secured an Engineering, Procurement, Construction, Pre-commissioning and Commissioning (EPCC) contract worth approximately US$135 million for New Water Treating Facilities for North Caspian Operating Company (NCOC) in Atyrau, Kazakhstan.

The work scope for the 30-month project includes an inlet stream screening to remove debris, feed water tanks with oil skimmer and pumps, a clarifier system including flocculation, coagulation and oil skimmer, treated wastewater storage and pumps, sludge treatment and relative utilities.

The award of this project is in line with Petrofac EPS’s strategy to focus on and secure small greenfield and brownfield EPC projects, utilising its capabilities, footprint and infrastructure.

NCOC acts as the operator of the North Caspian Project, the first major offshore oil and gas development in Kazakhstan. The company started oil production at the Kashagan field in 2016 and production has now reached 380,000 barrels per day.

Source: Petrofac

Technip FMC

TechnipFMC Signs a Major EPC Contract with Assiut National Oil Processing Company (ANOPC) for a New Hydrocracking Complex in Egypt

TechnipFMC has signed a major Engineering, Procurement, and Construction (EPC) contract with Assiut National Oil Processing Company (ANOPC) for the construction of a new Hydrocracking Complex for the Assiut refinery in Egypt.

This EPC contract covers new process units such as a Vacuum Distillation Unit, a Diesel Hydrocracking Unit, a Delayed Coker Unit, a Distillate Hydrotreating Unit as well as a Hydrogen Production Facility Unit using TechnipFMC’s steam reforming proprietary technology. The project also includes other process units, interconnecting, offsites and utilities.

The complex will transform lower-value petroleum products from Assiut Oil Refining Company’s (ASORC) nearby refinery into approximately 2.8 million tons per year of cleaner products, such as Euro 5 diesel.

The complex will transform lower-value petroleum products from Assiut Oil Refining Company’s (ASORC) nearby refinery into approximately 2.8 million tons per year of cleaner products, such as Euro 5 diesel.

Catherine MacGregor, President of Technip Energies, stated: “This award demonstrates TechnipFMC’s long-standing relationship with the Egyptian petroleum sector and strengthens our expertise in the delivery of complex projects in the country. It comes after successful execution of the FEED (2)reflecting our selective approach and the importance of being involved at a very early stage of any development. Assiut is considered one of the major strategic projects needed to meet growing local demand for cleaner products, and we are extremely honored to have been selected by ANOPC to contribute to the largest refining project to be implemented in Upper Egypt.

The Company is working with ANOPC to complete the remaining conditions precedent to enable project work to commence. The Company will include the contract award in its inbound when all the requirements are fulfilled.

Source: Technip FMC

PetropipeFze

Air Products, ACWA Power and NEOM Sign Agreement for $5 Billion Production Facility in NEOM Powered by Renewable Energy for Production and Export of Green Hydrogen to Global Markets

The World’s Largest Green Hydrogen Project Will Supply 650 Tons Per Day of Carbon-Free Hydrogen for Transportation Globally and Save the World Three Million Tons Per Year of CO2,

Air Products, in conjunction with ACWA Power and NEOM, announced the signing of an agreement for a $5 billion world-scale green hydrogen-based ammonia production facility powered by renewable energy. The project, which will be equally owned by the three partners, will be sited in NEOM, a new model for sustainable living located in the north west corner of the Kingdom of Saudi Arabia, and will produce green ammonia for export to global markets.

The joint venture project is the first partnership for NEOM with leading international and national partners in the renewable energy field and it will be a cornerstone for its strategy to become a major player in the global hydrogen market. It is based on proven, world-class technology and will include the innovative integration of over four gigawatts of renewable power from solar, wind and storage; production of 650 tons per day of hydrogen by electrolysis using thyssenkrupp technology; production of nitrogen by air separation using Air Products technology; and production of 1.2 million tons per year of green ammonia using Haldor Topsoe technology. The project is scheduled to be onstream in 2025.   

Air Products will be the exclusive off-taker of the green ammonia and intends to transport it around the world to be dissociated to produce green hydrogen for the transportation market.

“We are honored and proud to partner with ACWA Power and NEOM and use proven technologies to make the world’s dream of 100 percent green energy a reality,” said Seifi Ghasemi, Chairman, President and Chief Executive Officer for Air Products. “Harnessing the unique profile of NEOM’s sun and wind to convert water to hydrogen, this project will yield a totally clean source of energy on a massive scale and will save the world over three million tons of CO2 emissions annually and eliminate smog-forming emissions and other pollutants from the equivalent of over 700,000 cars.”

Mohammad A. Abunayyan, ACWA Power Chairman, said, “Stemming from our belief in Vision 2030 and HRH Crown Prince Mohammed bin Salman’s aspirations for NEOM to become the global pioneer in sustainable living, the Board of Directors and Management of ACWA Power are proud to take part in this groundbreaking and first-of-its-kind investment in the world. ACWA Power has a proven track record of leveraging pioneering renewable technologies to deliver carbon-free power at the lowest cost. With our global experience, we are confident that our collaboration with an industry-leading company like Air Products will create significant opportunities in the production of green hydrogen, and further us in our goal to help countries meet their clean energy targets and unlock significant socio-economic benefits. Based in NEOM’s Industrial Cluster, and enabled by its unique mandate, this investment will integrate and localize cutting-edge technologies that will harness solar and wind power to produce sustainable and globally accessible green energy.”

NEOM CEO, Nadhmi Al-Nasr, said, “This partnership reflects our deep commitment to developing a carbon positive society which will be a beacon for sustainable living and a solution to many of the environmental challenges facing the world. This demonstrates the ability of NEOM to generate significant partnership opportunities for international and national investors. This is a pivotal moment for the development of NEOM and a key element in Saudi Vision 2030 contributing to the Kingdom’s clean energy and circular carbon economy strategy. As the world’s largest renewable hydrogen project, NEOM’s Board of Directors, headed by HRH Crown Prince Mohammed bin Salman, and the company’s Executive team are delighted to announce this significant milestone for NEOM in becoming a global leader in green hydrogen production and green fuels. We are also excited that two world-class organizations, Air Products and ACWA Power, have joined us in developing this major project, the first of many developments at this scale that will put NEOM at the heart of a new future society.”

Source: NEOM NewsRoom

Mc dermott| Petropipe

McDermott Awarded EPFC Contract for Storage Tanks in Canada

McDermott International Ltd. announced CB&I Storage Solutions has been awarded a large* contract by a major EPC contractor for the engineering, procurement, fabrication and construction (EPFC) of 14 tanks in Burnaby, British Columbia. The tanks are part of the Trans Mountain Expansion Project, which will increase the nominal capacity of the Trans Mountain Pipeline System from 300,000 to 890,000 barrels of oil per day.

The scope of the contract includes 14 flat-bottom atmospheric storage tanks of various sizes up to 185 feet (56.4 meters) in diameter. The engineering and installation of the tanks will be performed by Canadian workers.

“This award demonstrates the confidence major international contractors place in our world-class storage and EPFC solutions,” said Cesar Canals, Senior Vice President of CB&I Storage Solutions. “For more than a century, CB&I Storage Solutions has maintained a strong track record of execution excellence in Canada.” 

The award will be reflected in McDermott’s second quarter 2020 backlog.

*McDermott defines a sizeable contract as between USD $50 million and $250 million.

CB&I Storage Solutions is the world’s leading designer and builder of storage facilities, tanks and terminals. With more than 59,000 structures completed throughout its 130-year history, CB&I Storage Solutions has the global expertise and strategically-located operations to provide its customers world-class storage solutions for even the most complex energy infrastructure projects.

About McDermott
McDermott is a premier, fully-integrated provider of engineering and construction solutions to the energy industry. Our customers trust our technology-driven approach to design and build infrastructure solutions to responsibly transport and transform oil and gas into the products the world needs today. From concept to commissioning, our expertise and comprehensive solutions deliver certainty, innovation and added value to energy projects around the world. It is called the “One McDermott Way.”

Operating in over 54 countries, McDermott’s locally-focused and globally-integrated resources include approximately 40,000 employees, a diversified fleet of specialty marine construction vessels and fabrication facilities around the world.

Source: McDermott News

Saipem projects|Petropipe

Saipem has been selected by Perdaman Industries for a Urea Plant in Karratha, Australia

Saipem, in a 50% joint venture with Clough, has been selected as the exclusive EPC contractor for the development of Perdaman Industries’ urea plant on the Burrup Peninsula, approximately 20 km North-West of Karratha, on the coastline of Western Australia. The conclusion of the contract is subject to a Final Investment Decision (FID), final signature of an EPC contract and all governmental and regulatory authorizations.

The scope of work of the joint venture includes engineering, construction, pre-commissioning and commissioning of the urea plant including all utilities, urea handling, storage tanks and site civil buildings.

The facility will consist of the urea fertiliser plant and related facilities with a capacity of 2 million tonnes of urea per annum and will include a water treatment plant, a power plant (100MW), as well as urea storage, loading and unloading facilities. The urea will be shipped from Pilbara Ports Authority to local and offshore markets, with 50 to 100 shiploads expected per year.

Alessandro Tattini, APAC Area Manager of Saipem’s Onshore E&C Division commented: “Saipem has a strategic interest in Australia as well as strong international expertise in urea/ammonia. Thanks to this joint venture, we are partnering with a company such as Clough who has been delivering projects in the country for more than a century. This joint venture looks forward to bringing one of the largest urea projects in the world into production for our client Perdaman”.

Source: Saipem


Duqm refiniries | Petropipe

Mammoet awarded two contracts for Oman’s Duqm oil refinery

Mammoet has recently been awarded two contracts crucial to the success of Duqm oil refinery, reflecting a major step forward in the development of a world-class integrated refining and petrochemical complex .

The Duqm refinery is a strategic investment for the Sultanate of Oman and forms the cornerstone of the Duqm Special Economic Zone, Oman’s next industrial center. The development occupies more than 2,000 acres and, when completed, will have the capacity to process approximately 230,000 barrels of crude oil per day.

It will manufacture high-quality products, such as diesel, jet fuel, naphtha and LPG, in compliance with global operational and safety standards. The first contract came from a local manufacturer, comprising the inland and sea transport of nine LPG storage tanks (bullets) for EPC-2 Offsite and Utilities scope of the project. 

The second contract was awarded by Agility Global Logistics (Agility) and involved receiving and transport of various reactors. Each 780t bullet fabricated at a local fabrication facility in Sohar, measured 72m long, 11m high and 8m wide, was loaded-out by 44 axle lines of self-propelled modular trailers (SPMT) onto a barge provided by Mammoet in Sohar, bound for the Port of Duqm.

Precision positioning of the RoRo ramps, an accurate ballasting plan, expert mooring and sea fastening ensured successful load-outs. On arrival at the Port of Duqm, the bullets were safely loaded-in, staged in the port’s laydown area and transported 25km to the project site.

Once at the refinery, the bullets were successfully positioned onto their foundations by 1,600t and 1,250t capacity crawler cranes working in tandem. By managing the complete logistics chain from the fabrication yard to the Duqm refinery, Mammoet was able to ensure timely and safe delivery of the bullets.

The Agility contract was an essential component of the Tecnicas Reunidas’ Process Unit scope of the project. This included handling a 1,130t reactor measuring 33m long, 8.7m wide and 7.3m high, which was the heaviest cargo ever loaded-in at the Port of Duqm.

All the reactors Agility handled have been received successfully and safely delivered to the project site using 54 axle lines of SPMT. Additionally, as part of the scope of work, ten hydraulic cranes and three crawler cranes have been engaged at Duqm refinery to support other subcontractors on site.

This is one of the first projects performed since the acquisition of ALE by Mammoet, and has seen colleagues from both former companies combining their expertise to deliver the best possible service.

“We are delighted to have successfully completed our scope for the Duqm refinery. The close collaboration of the entire project team, including our clients, the Port of Duqm and the local authorities, enabled us to successfully deliver all key equipment safely and within the deadlines set.” commented Vishal Buddhadev, General Manager of Mammoet’s Oman branch.

Source: Mammoet News

Subsea7- Petropipe

Subsea 7 awarded contract offshore Norway

Subsea 7 announced the award of a sizeable(1) contract by Aker BP for the Hod Field Development Project, located 12 km from the Valhall area in the southern part of the North Sea.

The re-development concept includes a new Wellhead platform (Hod B) tied back to Valhall Field Centre with rigid pipelines and an umbilical.

The contract scope includes EPCI for pipelines, umbilicals and tie-ins using key vessels from Subsea 7’s modern fleet. The production pipeline is a pipe-in-pipe design and will include the world’s first application of mechanically lined pipe based on GluBi® (2) technology from BUTTING. 

Project management and engineering will commence immediately at Subsea 7’s offices in Stavanger, Norway. Fabrication of the pipelines will take place at Subsea 7’s spool base at Vigra, Norway and offshore operations will take place in 2020 and 2021.

Monica Bjørkmann, Vice President for Subsea 7 Norway said: “Subsea 7 is very pleased with this award by Aker BP, through the Aker BP Subsea Alliance. It acknowledges Subsea 7 as a key partner in the delivery of pioneering technology, transforming the economics of field development. We look forward to continuing our alliance with Aker BP for the Hod Field Development, with safety, reliability and quality at the forefront throughout.” 

(1) Subsea 7 defines a sizeable contract as being between USD 50 million and USD 150 million.

Source: Subsea7