Saipem awarded two offshore contracts for a total amount of approximately 900 million USD

Saipem has been awarded two offshore contracts for a total amount of approximately 900 million USD.

The first contract – in partnership with Aker Solutions do Brasil – has been awarded by Total Energies, for the LAPA Southwest (LAPA SW) Development Project, a deepwater oil field  in the Santos Basin in the South Atlantic, 270 kilometres off the coast of Sao Paulo, in Brazil.

The scope of work encompasses the Engineering, Procurement, Construction, and Installation (EPCI) of Subsea Umbilicals, Risers, Flowlines (SURF) as well as a Subsea Production System (SPS).

LAPA SW Development Project is the first ever integrated SURF and SPS project awarded by TotalEnergies.

Saipem will maximize the local content by making use of its yard Guarujá CTCO (Centro de Tecnologia e Construção Offshore) for logistics activities and Quad Joints Fabrication and some other manufacturing activities.

The other contract has been awarded to Saipem by Equinor for the Irpa Pipeline project. The project, located in deep waters in the Norwegian Sea, consists of the installation of 80-kms-long swagged Pipe-in-Pipe pipeline connecting the subsea production template of Irpa field to the existing Aasta Hansteen platform.

The offshore operations are planned to take place in 2025 and will be performed by Saipem’s flagship vessel Castorone.

Source: Saipem

Technip Energies Awarded Contract to Upgrade Aramco’s Sulfur Recovery Facilities at Riyadh Refinery

Technip Energies as part of its long-term agreement with Aramco – has been awarded a contract to upgrade sulfur recovery facilities at Aramco’s Riyadh Refinery.

This contract covers the implementation of three new tail gas treatment (TGT) units, improving the performance of the existing three sulfur recovery units (SRU) to comply with more stringent regulations for sulfur dioxide emissions, with recovery efficiency at more than 99.9%.

The project will be executed locally, leveraging Saudi economic resources and infrastructure.

The existing sulfur recovery units in the Riyadh refinery were designed and built by Technip Energies in the early 2000s.

Bhaskar Patel, SVP Sustainable Fuels, Chemicals & Circularity of Technip Energies, commented: “We are pleased to be entrusted by Aramco to work on the upgrading program of their refinery in Riyadh. By leveraging our long-standing relationship, which has been in place since the mid-1990s, we are committed to make this project another success, while utilizing local resources and supply chain.”

Source: Technip Energies

Técnicas Reunidas wins an EPC contract to develop the largest ammonium production plant in Kazakhstan

KAZAZOT, the leading company in the fertilizer industry in Kazakhstan, has selected Técnicas Reunidas as the contractor to develop a new Ammonium, Urea, Nitric Acid and Ammonium Nitrate Complex.

With a total investment of approximately $1 billion, the plant will be located in Aktau, Mangistau Oblast, in the southwestern side of the country.

Técnicas Reunidas will first carry out the engineering design under a FEED OBE contract (front-end engineering design/open book estimation) that will require about 200.000 engineering hours. This work will be executed at its Madrid headquarters and it is expected to be completed in the current year.

Once accomplished all work and obtained the related financial resources, Técnicas Reunidas will execute the full engineering, procurement and construction of the plant through an EPC contract.

It is worth recalling in this regard that the company has a long experience in the conversion of FEED OBE contracts into EPC contracts. In this case, the initial FEED OBE contract, for 16.75 million euros, will be followed on completion by an EPC contract for the total construction of the facility, which, as mentioned above, will amount to about 1 billion dollars.

The new world scale complex will have the capacity to produce 660,000 tons per year of ammonia, 577,500 tons per year of urea, 395,000 tons per year of nitric acid and 500,000 tons per year of ammonium nitrate.

Once completed, the installation will become the largest combined fertilizer production complex in the Republic of Kazakhstan.

Técnicas Reunidas will improve the plant’s environmental compatibility by increasing its level of integration with existing facilities, optimizing the use of natural resources and improving efficiency compared to other similar pants, thus making the new complex a reference in its sector at an international scale.

It should be noted that this award is fully aligned with Técnicas Reunidas’ strategy and commitment to Kazakhstan, as it has been identified as a strategic market.

Source: Técnicas Reunidas 

Chiyoda Corporation has signed MOU with BLCP Power and Mitsubishi Corporation to Study the Development and Application of Decarbonization Technology

Chiyoda Corporation (Chiyoda) is pleased to announce that it has entered into a Memorandum of Understanding (MOU) with BLCP Power Limited (BLCP Power) and Mitsubishi Corporation (Mitsubishi) to jointly study the development and application of Decarbonization technology.

The MOU was signed on 12 January 2023 during the MOU signing ceremony at Japan-Thailand Energy Policy Dialogue (JTEPD) held in Bangkok, Thailand.

We have agreed to conduct the Feasibility Study for Carbon Capture and Utilization (CCUS) technologies applied to Flue Gas of the existing BLCP coal-fired Power Plant toward CO2 reduction.

Thailand is positioned as an important country in the Asia Zero Emissions Community (AZEC) concept advocated by the Japanese government, and it is expected that the movement toward carbon neutrality will accelerate further in the future. Through this Feasibility Study together with BLCP Power, a top player in the energy industry, and Mitsubishi Corporation, which has an extensive network in the country,

We will contribute to the implementation of CCUS in Thailand and efforts toward carbon neutral initiatives in countries around the world.

Source: Chiyoda Corporation


ACWA Power, a leading Saudi developer, investor, and operator of power generation, water desalination, and green hydrogen plants worldwide, has signed extensive heads of terms agreements to develop a green hydrogen facility and a green ammonia pilot project in the Republic of Uzbekistan with the country’s Ministry of Energy and Uzkimyosanoat, a state-owned chemical company.

These projects are the first of their kind in the Central Asian country.

“While we take pride in getting this initiative off the ground on fast-track basis, we aim to ensure our readiness and establish the right framework and policies that will serve as the foundation for accelerating the development of green hydrogen projects in the future.” he added.

The first green hydrogen project will be an integrated facility and is set to be connected to an existing ammonia plant in Chirchiq, 45 kilometres from Tashkent, the country’s capital. The project is expected to generate 3,000 tonnes of green hydrogen a year. ACWA Power will oversee the full value chain of integration to this existing infrastructure project to green hydrogen, which is expected to improve the service factor of the facility and reduce its dependence on natural gas. The company has plans for an accelerated development timeline for this facility and is targeting a commissioning date of December 2024.

The second project involves the development of a 500,000-tonne green ammonia feasibility study. Since this project will reduce Uzbekistan’s dependence on natural gas by 600 million cubic metres per year, it is expected to cut carbon dioxide emissions by 1.5 million tonnes annually. The study will conclude by the end of next year.  

Aside from these green hydrogen and green ammonia projects, ACWA Power also has five existing projects in Uzbekistan, including four wind projects and a combined gas cycle turbine facility. The country is the second largest in terms of value for the company after its home market of Saudi Arabia.

Source: ACWA Power

A JV composed of Tecnimont, Technip Energies and Samsung Engineering awarded early engineering and procurement works contract for a total value of USD 80 million by ADNOC for the Hail & Ghasha Gas Development Project in Abu Dhabi

Maire Tecnimont S.p.A. announces that Tecnimont S.p.A. received a Letter of Award from ADNOC for the early engineering and procurement works (“Pre-Construction Services Agreement-PCSA”) related to the onshore facilities of the Hail & Ghasha Development Project, as member of a Joint Venture composed of Tecnimont, Technip Energies, and Samsung Engineering.  

The overall contract value to the Joint Venture for the early engineering and procurement works on the onshore facilities is approximately USD 80 million. The PCSA scope of work also includes the preparation of an Open Book Estimate for the full project delivery scope, which will be considered as part of the Client’s Final Investment Decision.

The awards come as ADNOC accelerates gas expansion, as part of its low carbon growth strategy to continue responsibly meeting global energy needs. ADNOC is committed to unlocking the UAE’s abundant natural gas reserves to enable domestic gas self-sufficiency, industrial growth and diversification, as well as to meet growing global gas demand. 

Alessandro Bernini, Maire Tecnimont Group CEO, commented: “We are honoured to keep on supporting ADNOC in accelerating its gas growth plans, where Maire Tecnimont has been involved in its energy transformation industry since the late 90s, with the first polyolefin complex (Borouge 1) completed in 2001. This award confirms Maire Tecnimont’s commitment to creating value in the UAE thanks to its technology-driven unparalleled skills and distinctive competences.”

Source: Maire Tecnimont S.p.A

Aker Solutions Wins Rosebank FPSO Contract from Altera Infrastructure

Aker Solutions has been awarded a substantial contract from Altera Infrastructure for the complete upgrade of the Petrojarl Knarr floating production storage and offloading vessel (FPSO) to be redeployed at Equinor’s Rosebank field development, offshore UK. The selected development concept for the Rosebank field includes redeployment and reuse of the existing Petrojarl Knarr FPSO owned by Altera.

The work will be performed in a joint venture (JV) with Drydocks World-Dubai, and the upgrade will take place at the company’s yard in Dubai, UAE. The Engineering, Procurement and Construction (EPC) contract is a combination of work with new build, demolition and life extension (hull, marine systems and topsides) required for the FPSO to be kept on the field for 25 years without drydocking. The detail design will be done in Norway by Aker Solutions in collaboration with Citec Norway AS, ABB Norway AS, OneSubsea Processing AS.

The EPC work is planned to start up during the first half of 2023 and is scheduled to be completed at end-2025. The Petrojarl Knarr FPSO was transported to Aker Solutions yard at Stord in August 2022 and will be stored there until the planned tow to Dubai during the second half of 2023. 

“We are pleased to have been selected by Altera Infrastructure for this important field development project by Equinor and partners at Rosebank. We will execute this project together with our long-standing partner Drydocks World-Dubai, and we are looking very much forward to continuing our long-term relationship. Collaboration and partnerships are core to Aker Solutions’ strategy and to how we work. It also enables us to handle capacity in the most safe and efficient way, with a strong focus on solutions that reduce emissions,” said Sturla Magnus, executive vice president and head of Aker Solutions’ topside and facilities business.

Aker Solutions expects to book an order intake of around NOK 2.5 billion related to this contract in the first quarter of 2023 in the Renewables and Field Development segment, pending final investment decision and regulatory approvals. This order intake would reflect Aker Solutions part of the JV’s scope.

Source: Aker Solutions


QatarEnergy announced the Final Investment Decision (FID) with Chevron Phillips Chemical Company LLC (CPChem) to build the Ras Laffan Petrochemicals complex – a $6 billion integrated olefins and polyethylene facility at Ras Laffan Industrial City. 

The announcement was made in Doha in a special ceremony during which His Excellency Mr. Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs, the President and CEO of QatarEnergy, and Mr. Bruce Chinn, the President and CEO of Chevron Phillips Chemical, signed the agreement for a joint venture company to implement the project, in which QatarEnergy will own a 70% equity share, and CPChem will own a 30% share. The signing ceremony was attended by Mr. Mark Lashier, the President and CEO of Phillips 66, and senior executives from QatarEnergy and CPChem.

QatarEnergy also announced the award of the engineering, procurement, and construction (EPC) contract for the ethylene plant to SCJV, a joint venture company between Samsung Engineering Company Ltd. of South Korea and CTCI of Taiwan. The EPC contract for the polyethylene plant was awarded to Maire Tecnimont of Italy, while Emerson of the USA was awarded the main automation contract.The Ras Laffan Petrochemicals complex, expected to begin production in 2026, consists of an ethane cracker with a capacity of 2.1 million tons of ethylene per annum, making it the largest in the Middle East and one of the largest in the world. It also includes two polyethylene trains with a combined output of 1.7 million tons per annum of High-Density Polyethylene (HDPE) polymer products, raising Qatar’s overall petrochemical production capacity to almost 14 million tons per annum.

In remarks at the signing ceremony, His Excellency Mr. Saad Sherida Al-Kaabi said: “This marks QatarEnergy’s largest investment ever in Qatar’s petrochemicals sector and the first direct investment in 12 years. It will double our ethylene production capacity, and increase our local polymer production from 2.6 to more than 4 million tons per annum, and place the utmost emphasis on sustainable growth and the environment.”

“There is no doubt that this cornerstone investment in Ras Laffan Industrial City marks an important milestone in QatarEnergy’s downstream expansion strategy. It will not only facilitate further expansion in the downstream and petrochemical sectors in Qatar, but will also reinforce our integrated position as a major global player in the upstream, LNG, and downstream sectors. This will be further enhanced once the new world-scale petrochemical project in Orange, Texas, in the United States of America comes online in partnership with Chevron Phillips Chemical, executed by our joint venture Golden Triangle Polymers Company” His Excellency added.His Excellency minister Al-Kaabi concluded his remarks by saying: “We are delighted to enter into this exciting new venture with Chevron Phillips Chemical – a leading and highly respected international petrochemicals company, and a long-term partner with whom we have achieved many successes together building and operating plants safely and efficiently for more than 20 years. Together, our large and diverse portfolio will not just help meet the world’s growing needs for advanced plastics and petrochemicals, but will also enable balanced growth and facilitate human development in a responsible and sustainable manner. I would like to thank everyone who has worked to reach this milestone. We are also grateful to the leadership and guidance of His Highness the Amir Sheikh Tamim bin Hamad Al Thani, for his unwavering support to Qatar’s energy sector.”

This final investment decision comes less than two months after QatarEnergy and Chevron Phillips Chemical took the Final Investment Decision to execute the $8.5 billion Golden Triangle Polymers Plant on the US Gulf Coast in Texas. 

Source: QatarEnergy

JGC Awarded EPCC Contract for First Nearshore Floating LNG Plant in Malaysia

JGC Holdings Corporation announced that JGC Corporation which operates the overseas Engineering, Procurement and Construction (EPC) business of the JGC Group, and as the leader of a consortium with Samsung Heavy Industries (SHI), has been awarded the Engineering, Procurement, Construction, Commissioning (EPCC) contract for a nearshore Floating Liquefied Natural Gas (FLNG) facility project in Malaysia planned by Petroliam Nasional Berhad (PETRONAS), the Malaysian oil and gas company.

This facility will be the first nearshore FLNG in the world as well as the third floating LNG plant to be constructed for offshore gas fields in Malaysia, with a minimum production capacity of 2 million tonnes of LNG per annum and scheduled for completion in 2027. JGC’s main responsibilities will cover the engineering, procurement and commissioning work for the FLNG topside, the associated onshore facilities, as well as the management of the overall project. As for the consortium partner, SHI will be responsible for the FLNG hull EPC work and the modular fabrication of the topside.

Since the 1980’s, the JGC Group has executed EPC projects for PETRONAS for all nine trains of the LNG plants at the PETRONAS LNG Complex in Bintulu, Sarawak, which has an annual production capacity of approximately 29 million tons per annum, and in 2021 the successful completion of PETRONAS’ second FLNG facility, PFLNG Dua, the world’s first deep-water FLNG facility currently in production.

As a leading global contractor for LNG and Floating LNG projects, the JGC Group also achieved the Mozambique Coral FLNG 1st Cargo in November of this year. The Group’s experience includes two other newly-built EPC FLNG projects out of the total of three in operation around the world, and is currently performing the FEED for an FLNG project in Nigeria.

JGC Holdings Corporation Representative Director, President and COO Tadashi Ishizuka said, “We believe that our consortium secured the order for the PETRONAS FLNG facility project on the basis of JGC’s world-leading project management capabilities and the company’s advanced and proven technologies in LNG plants, accounting for about 30% of LNG plants worldwide, as well as SHI’s world-class shipbuilding capabilities in this field. JGC’s strong leadership backed by excellent project management know-how has been demonstrated during the Front End Engineering Design (FEED) stage.”

Ishizuka went on to say, “It is our sincere wish to continue to contribute to the realization of planned FLNG plants and LNG plants, with LNG positioned as a key energy transition source. In doing so, JGC will leverage its accumulated experience and achievements, founded on an abundance of high-level execution and technical capabilities.”

Source: JGC 


SABIC, OQ and Kuwait Petroleum International (KPI) have signed a Project Development Agreement of a jointly owned petrochemical complex in the Special Economic Zone at Duqm (SEZAD), the Sultanate of Oman. The three companies aim to establish a petrochemical complex consisting of a steam cracker and derivative units and a natural gas liquid (NGL) extraction facility. They will conduct the necessary studies and collaborate using their wealth of technical and commercial experience to develop the project with unique attributes that make it globally competitive and profitable for all three partners.

The agreement was signed by Abdulrahman bin Saleh Al Fageeh, SABIC CEO (A); Talal bin Hamed al Awfi – OQ Group CEO; and Shafi Taleb Al-Ajmi, CEO of Kuwait Petroleum International.

Commenting on this agreement, Abdulrahman Al-Fageeh, SABIC CEO (A), said, “SABIC’s collaborative approach has built longstanding relationships of collaboration, delivered innovative solutions and created mutual value for more than 45 years. This agreement enables us to identify and assess opportunities for ambitious and sustainable growth by bringing together our capabilities, expertise and technologies and working collectively with our partners. Our involvement in this well-positioned project is consistent with our growth strategy and Saudi Vision 2030 goals to develop a stronger downstream business, addressing challenges in the petrochemicals industry such as carbon neutrality, and providing diversified and sustainable products.”

Talal Al Awfi, OQ Group CEO said, “OQ is proud of this historic agreement with our partners SABIC and KPI. The agreement is a significant milestone reached between the partners and comes at an important time in Oman along with our 52nd national day celebrations and the near completion of the OQ8 refinery project in SEZAD being undertaken by OQ and KPI through the OQ8 joint venture.  This agreement also comes in line with Oman Investment Authority (OIA) plans to attract foreign investments to support realize Oman’s vision 2040 in its endeavour to diversify Oman’s economy”.

KPI’s President and Chief Executive Officer, Shafi Taleb Al-Ajmi commented, “We are pleased to work side by side with OQ and SABIC on this pioneering project in Oman, because working with our regional partners supports KPC’s 2040 strategy for growth in the petrochemical industry and enhances integration between the refining and petrochemical sectors. The project also supports the economic growth and development of the Special Economic Zone at Duqm (SEZAD).”

Petrochemicals’ demand is expected to continue its growth path as living standards and human development improve, particularly in growing markets close to Oman. The project intends to monetise Natural Gas Liquids and other feedstocks from OQ and KPI’s joint venture refinery, OQ8 in Duqm, to manufacture petrochemical products targeting growing markets linked to energy transition, clean technologies, mobility, construction, durable goods, healthcare and packaging amongst others.

The project intends to deploy state-of-the-art technologies to minimise carbon footprint and incorporate circular economy aspects and commit to high environmental standards. This mega project would support the region’s development aspirations, maximizing socio-economic impacts as well value addition to these companies. In addition, the project would also benefit from the excellent location of Duqm being close to markets and taking advantage of the infrastructure which has been developed in the area, as OQ continues in its strategy to help develop SEZAD as manufacturing and logistics hub in line with vision 2040.

Source: SABIC