Globeleq Appoints Toyota Tsusho Corporation as the EPC Contractor for the $108 Million Menengai Geothermal Project In Kenya

Globeleq, the leading private power company in Africa, has executed an engineering, procurement and construction (EPC) contract and a long-term service agreement (LTSA) with Toyota Tsusho Corporation (TTC) for the 35MW Menengai geothermal project in Nakuru County, Kenya. Mike Scholey, CEO of Globeleq and, Kazumasa Kimura, COO for the Africa Division of TTC signed the agreement in Tokyo.

Globeleq’s $108 million Menengai project will be the company’s first geothermal plant and the signing of these agreements is a major milestone for the project after financing agreements were signed in December 2022 with the African Development Bank, the Eastern and Southern African Trade & Development Bank and Finnfund.

During COP27, President Ruto of Kenya and Prime Minister Sunak of the UK jointly committed to fast-track green investment projects worth KES500 billion in the country, which included the Menengai project. The project will deliver clean, reliable and affordable baseload power to the national grid and also benefits from a Letter of Support issued by the Government of Kenya. Construction of the project is expected to commence during the first quarter of 2023 once financial close has been reached. Globeleq will operate and maintain the power plant once it reaches commercial operations in 2025.  The steam turbine and generator will be manufactured by Fuji Electric.

Mike Scholey, Globeleq’s CEO said: “We are very excited to partner with TTC, which has an established presence in Africa and a proven track record in Kenya’s geothermal sector. Menengai will be Globeleq’s first geothermal plant and will contribute to reducing the cost of power in the country.  Having signed these key project agreements with TTC after achieving a fully committed financing about a month ago, we will now work with the Government of Kenya to reach Financial Close and start construction as soon as possible.”

Richard Bielle, CEO for Africa Division of TTC and President of CFAO said: “We are very pleased to partner with Globeleq as their chosen EPC contractor for the Menengai geothermal project. TTC has been involved in Kenya since 1962 and, through our fully owned subsidiary, CFAO, we have a strong footprint in Renewable Power Development, and Mobility, Healthcare, Consumer and Infrastructure sectors.  With our rich experience in the geothermal sector and our local communication network in Kenya, we, together with Globeleq, are excited to contribute to this project toward stable and affordable supply of electricity in Kenya.”

Menengai is a greenfield geothermal project and part of the first phase of the wider Menengai complex, which is the second large-scale geothermal field being developed in Kenya after Olkaria. Steam will be supplied to the project by Geothermal Development Company (GDC), a Kenya government-owned company under a 25-year project implementation and steam supply agreement.

Once operational, electricity will be sold to Kenya Power, the national distribution company, under a power purchase agreement for the same timeframe. The project will deliver clean and cheap baseload power to the national grid and enable GDC to monetise the available steam resources from the Menengai steam field.

Source: Globeleq

McDermott and Eunice Energy Group Sign MOU for GAP Interconnector Project

McDermott and Eunice Energy Group announce the signing of a memorandum of understanding (MoU) for cooperation on the two-gigawatt (2 GW) electrical interconnection between Greece and Egypt, known as the Greece-Africa Power (GAP) Interconnector project. 

Eunice Energy Group is leading the transnational consortium between Greece and Egypt for the GAP project, which aims to contribute to regional energy security and stability by facilitating intercontinental clean energy transfer. As part of the consortium, McDermott, a leader in engineering, procurement, construction and installation (EPCI) for subsea and deepwater, will be providing engineering and construction guidance for the project.

American foreign policy is aligned with the strategic energy objectives of Greece, and GAP represents a project within the national interests of both countries.

“This is an MOU of strategic importance at a time when Europe is working to ensure energy security,” said Michael McKelvy, McDermott President and CEO. “I am proud to join forces with Eunice Energy Group on the GAP project and help build the future of energy in the region.”

George Kalavrouziotis, Eunice Energy Group CEO added: “Eunice is thrilled to partner with an American industry leader like McDermott. The GAP Project is the leading electrical interconnection project in the East Mediterranean region, being at the top of the list in terms of technical feasibility and regulatory approval. The 2 GW interconnector will help Egypt export its surplus power to Europe, and enable Greece to export its domestically produced green energy into the Balkans and Italy, thus contributing to Europe’s energy independence from Russia’s energy resources.”

Source: McDermott

Technip Energies Awarded Contract for FEED of World’s Largest Low-Carbon Hydrogen Project at ExxonMobil’s Baytown, Texas Facility

Technip Energies has been awarded a contract for the front-end engineering and design (FEED) of the world’s largest low-carbon hydrogen project for ExxonMobil in Baytown, Texas, USA.

The integrated complex will produce approximately one billion cubic feet of low-carbon hydrogen per day and capture more than 98%, or around 7 million metric tons per year of the associated CO2 emissions, making it the largest project of its kind in the world. Technip Energies has strong experience in blue hydrogen projects which remove carbon and replace natural gas or other higher-carbon fuels with low-carbon hydrogen to support decarbonization. As a result, Scope 1 and 2 emissions from Baytown complex can be reduced by up to 30%.

Loic Chapuis, SVP Gas and Low-Carbon Energies of Technip Energies, commented “We are very excited to be engaged with ExxonMobil Low Carbon Solutions to help design their low-carbon hydrogen production facility. We are committed to advancing the energy transition and this project will be a hallmark in contributing to the decarbonization of existing facilities and capturing significant volumes of carbon emissions.”

Source: Technip Energies

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 TO DEVELOP UZBEKISTAN’S FIRST GREEN HYDROGEN AND GREEN AMMONIA PROJECTS

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 MAKES THE LARGEST INVESTMENT IN ITS HISTORY IN THE PETROCHEMICAL SECTOR IN QATAR

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 KPI SIGN A JOINT DEVELOPMENT AGREEMENT FOR A WORLD-SCALE PETROCHEMICAL COMPLEX IN DUQM

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

Maire Tecnimont Group and NTPC Sign Memorandum of Understanding to develop green methanol project in India

Tecnimont Private Limited, Indian subsidiary of Maire Tecnimont Group, has signed a non-binding Memorandum of Understanding (MoU) with NTPC, India’s largest power generation company. The objective of the MOU is to jointly evaluate and explore the possibility to develop commercial scale Green Methanol Production facilities at NTPC project in India.

The Green Methanol Project involves capturing carbon from NTPC power plants and converting it into green fuel. Green Methanol has a wide range of applications, including serving the chemical industry as a base material, being used as an energy carrier for storing electricity generated from renewable sources, and serving as a transportation fuel. It is also considered as a substitute fuel for maritime fuel applications.

Alessandro Bernini, Maire Tecnimont Group and NextChem CEO, commented: “This collaboration with a leading player such as NTPC represents another strategic milestone for Maire Tecnimont Group in its roadmap to consolidate its industrial footprint as technology provider and energy transition enabler for the Indian natural resource transformation market”.

Source: Maire Tecnimont S.p.A.

Maire Tecnimont Group awarded new contracts for approximately USD 280 Million

Maire Tecnimont S.p.A. announces that its subsidiaries Tecnimont, KT-Kinetics Technology and Stamicarbon have been awarded several new contracts for licensing, engineering services, engineering and procurement (EP) and engineering, procure-ment and construction (EPC) activities, for an overall value of approximately USD 280 million. These contracts have been granted by international clients mainly in North America and Latin America, Africa, and the Far East. 

In particular, Stamicarbon, the innovation and license company of Maire Tecnimont Group, has been selected as the licensor for a major urea project in China. The plant’s capacity of 3,791 metric tons per day makes it the largest urea plant to be ever licensed by Stamicarbon in China. 
Alessandro Bernini, Maire Tecnimont Group CEO, commented: “These new value-added, higher margins contracts further consolidate our Group’s positioning in the global natural resource transformation market and provide strong evidence of the resilience of our technology-driven business model, leveraging on our companies’ distinctive competencies.”

Source: Maire Tecnimont S.p.A.

Maire Tecnimont awarded USD 1.3 Billion EPC Petrochemical Contract

Maire Tecnimont S.p.A. announces that its subsidiary Tecnimont S.p.A. has been awarded an EPC (Engineering, Procurement e Construction) Lump Sum contract relating to the implementation of a petrochemical project.

The overall value of the contract is approximately USD 1.3 billion and relates to the realization of a petrochemical plant together with its associated utilities and offsite facilities.

The project’s scope of work entails complete engineering services, equipment and material supply, erection, and construction activities up to mechanical completion which is expected in 2026. 

Source: Maire Tecnimont S.p.A.

Technip Energies Awarded a Proprietary Equipment Contract by Chevron Phillips Chemical and QatarEnergy for the Golden Triangle Polymers Ethane Cracker

Technip Energies has been awarded a contract for the supply of proprietary cracking furnaces for the 2,000 kta ethane cracker for the Golden Triangle Polymers project, a joint venture between Chevron Phillips Chemical (CPChem) and QatarEnergy, along the Gulf Coast in Orange, Texas.

This latest award is in line with our early engagement strategy with CPChem and QatarEnergy, which resulted in the selection of our proprietary ethylene technology and includes the successful completion of the ethylene license and Process Design Package (PDP).

The modularized cracking furnaces will feature seven of the largest capacity furnaces that Technip Energies has ever designed. The cracker is designed using modern emissions reduction technology and processes that result in lower greenhouse gas emissions than similar facilities in the United States and Europe.

Bhaskar Patel, SVP Sustainable Fuels, Chemicals and Circularity of Technip Energies, commented: “We are very pleased that CPChem and QatarEnergy selected our cracker technology and design for this mega-cracker project. Utilizing our extensive experience with ethylene cracker design and our latest advancements to reduce emissions will contribute to their efforts to help enable a lower carbon future. We thank CPChem for its continued confidence in T.EN’s cracking technology, having previously incorporated the technology at other facilities.”

This contract award is representing over €250 million of revenue for Technip Energies.

Source: Technip Energies

Eni and Snam form a joint venture to develop the Ravenna Carbon Capture and Storage project in Italy

Eni Chief Executive Officer Claudio Descalzi and Snam Chief Executive Officer Stefano Venier signed an agreement to jointly develop and manage Phase 1 of the Ravenna Carbon Capture and Storage (CCS) Project, through an equal joint venture. The agreement also includes the implementation of studies and preparatory activities for the subsequent development phases.

Phase 1 of the Ravenna CCS Project covers the capture of 25,000 tons of CO2 emitted from Eni’s natural gas treatment plant in Casalborsetti (Ravenna). Once captured, the CO2 will be piped to the Porto Corsini Mare Ovest platform and injected into the homonymous depleted gas field in Ravenna’s offshore.

Eni CEO Claudio Descalzi commented: it is necessary to join forces in order to reconcile decarbonization goals, energy security and competitiveness. This agreement represents an example of excellence, leveraging industrial synergies to contribute to the decarbonisation of Italy’s production system. Phase 1 of the Ravenna Project will allow to reduce emissions from the Casalborsetti power plant, launching in Italy a project based on a mature technological process that is key for the achievement of our climate goals. CCS is complementary to renewables, to energy efficiency solutions and to the other available levers, and is central to avoiding CO2 emissions from highly energy-intensive sectors that currently have no technological alternatives for decarbonisation”.

Snam CEO Stefano Venier said: “It is a fact that CCS technologies have consolidated their role at a global level as a tool available to achieve decarbonisation goals, and for this reason they are gaining more and more attention from governments, investors and industry players. CCS projects are being developed globally and are already at an advanced stage both in Europe – especially in the UK, the Netherlands and the Nordic countries – and in the US. This joint venture sets the first initiative in Italy with the ambition to offer a solution to the entire hard-to-abate production cluster in the Po Valley, and potentially also to other Italian regions as well as other countries bordering the Mediterranean basin. Snam will contribute to the project with its know-how and distinctive skills in the transport and management of molecules, in this case CO2.”

The project represents a fundamental step to respond to the decarbonisation needs of steel mills, cement plants, ceramics and chemical industries and more generally of the “hard-to-abate” industry through an immediately available, highly efficient and effective technological process, which makes it possible to exploit the infrastructures and skills already present in the area. The planned activities will create new job opportunities, with an overall estimate of over 500 new jobs during Phase 1 of the project.

The important role of CCS in climate change mitigation strategies is reflected in the analyses of the Intergovernmental Panel on Climate Change (IPCC) and the International Energy Agency (IEA), which in their latest reports confirm CO2 capture, utilisation and storage as one of the “must-have” solutions for achieving climate goals.

Eni and Snam are related parties. Both companies applied its own internal procedure.

Source: Eni 

Aramco and TotalEnergies to build $11 bln giant petrochemical complex in Saudi Arabia

The Saudi Arabian Oil Company (“Aramco”) and TotalEnergies have taken the final investment decision for the construction of a world scale petrochemical facility in Saudi Arabia. The “Amiral” complex will be owned, operated, and integrated with the existing SATORP refinery located in Jubail on Saudi Arabia’s eastern coast. The investment decision is subject to customary closing conditions and approvals.

The petrochemical facility will enable SATORP to convert internally produced refinery off-gases and naphtha, as well as ethane and natural gasoline supplied by Aramco, into higher value chemicals, helping to advance Aramco’s liquids to chemicals strategy.

The complex will comprise of a mixed feed cracker capable of producing 1.65 million tons per annum of ethylene, the first in the region to be integrated with a refinery. It will also include two state-of-the-art polyethylene units using Advanced Dual Loop technology, a butadiene extraction unit, and other associated derivatives units. 

The project alone represents an investment of around $11 billion, of which $4 billion will be funded through equity by Aramco (62.5%) and TotalEnergies (37.5%). Its construction is scheduled to begin during the first quarter of 2023 with commercial operation targeted to start in 2027. 

Eventually, the complex will provide feedstock to other petrochemical and specialty chemical plants, located in the Jubail industrial area, which will be built, owned and operated by globally renowned downstream investors, entailing an estimated additional $4 billion of investments.  This will support the establishment of key manufacturing industries such as carbon fibers, lubes, drilling fluids, detergents, food additives, automotive parts and tires.

The overall complex, including adjacent facilities, is expected to create 7,000 local direct and indirect jobs. 

In July 2022, SATORP was the first MENA refinery to be certified ISCC+, an international recognition towards its circular initiatives, such as the recycling of plastic and used cooking oil. A first batch of recycled plastic was processed by the refinery in November 2022.

Saudi Aramco Chief Executive Officer Amin H. Nasser said: “Our long-standing relationship with TotalEnergies has been further strengthened by this important project, which represents an opportunity for us to showcase the potential for cutting edge liquids to chemicals technologies that support the circular economy. With this collaboration we aim to expand the value chain by producing advanced chemicals more efficiently than ever before, accelerating industrial progress in the Kingdom.”

Patrick Pouyanné, Chairman and Chief Executive Officer of TotalEnergies said: “We are delighted to write a new page of our joint history by launching this expansion project, building on the successful development of SATORP, our biggest and most efficient refining & petrochemicals platform in the world. It also deepens the exemplary relationship between our two companies over many decades in the Kingdom of Saudi Arabia. This world-class complex also fits with our strategy to expand sustainably in petrochemicals by maximizing the synergies within our major platforms.”

Source: TotalEnergies 

Saipem awarded new offshore contracts for a total amount of approximately 1.2 billion USD

Saipem has been awarded new contracts in Guyana and Egypt for a total amount of approximately 1.2 billion USD.

The first contract has been awarded by ExxonMobil Guyana, subject to government approvals, for the UARU oil field development project, located in the Stabroek block offshore Guyana at a water depth of around 2,000 meters. The contract scope includes the design, fabrication and installation of subsea structures, risers, flowlines and umbilicals for a large subsea production facility.  Saipem, who was previously awarded other four subsea contracts by ExxonMobil Guyanafor prior developments in the same area, namely Liza Phase 1 and 2, Payara, and Yellowtail, will perform the operations by using its vessels, including FDS2 and Constellation.

Subject to the necessary government approvals, project sanction by ExxonMobil Guyana and its Stabroek block coventurers and an authorization to proceed with the final phase, the award will allow Saipem to start some limited activities, namely detailed engineering and procurement.

The second contract has been awarded by Petrobel for the transportation, installation and pre-commissioning of 170 km of umbilicals for the Zohr Field, to be transported and installed between the central control platform (70 m water depth) and the subsea field (1,500 m water depth), connecting to the existing subsea production systems. The offshore campaign is planned to start during Q3 2023.

Source: Saipem 

Enagas, GRTgaz, Terega and REN Sign an MOU for the Development of the H2MED Project

The Spanish gas transmission system operator Enagás, the French gas transmission system operators GRTgaz and Teréga, and the Portuguese gas transmission system operator REN have signed a Memorandum of Understanding to formalize their commitment to collaborate in a coordinated manner in the joint development of H2MED, following the mandate given by the governments of the three countries at the Euromed Summit. The objective of this partnership is to make the infrastructure operational from 2030.

On October 20, 2022, the President of the Spanish Government, the President of the French Republic and the Portuguese Prime Minister decided to accelerate the development of energy interconnections and to create a green energy corridor linking Portugal, Spain and the France to the energy network of the European Union. They also agreed on the development of a hydrogen interconnection between Portugal and Spain (Celórico-Zamora) as well as the development of a maritime gas pipeline linking Spain and France (Barcelona-Marseille) in order to transport renewable hydrogen from the Iberian Peninsula to Central Europe. The three leaders ratified this commitment at the Euromed summit on December 9, with the support of the President of the European Commission,

The 4 transmission system operators welcomed this decision very favorably. H2MED is an example of cooperation and multilateralism between neighboring countries with a common goal: the decarbonisation of Europe. They have been cooperating since October 20 to provide technical advice to their respective governments regarding the development of H2MED.

Enagás, GRTgaz, Teréga, and REN will also jointly submit these projects for the labeling of Projects of Common Interest (PCI) under the new regulation on trans-European energy networks.

The development of H2MED is the first pillar of the European Hydrogen Backbone, which aims to accelerate the decarbonisation of Europe by creating the hydrogen infrastructure necessary for the development of a hydrogen market. competitive, liquid and pan-European hydrogen. H2MED will accelerate the deployment of hydrogen in Europe and connect the Iberian Peninsula to France and Northern Europe.

Among the benefits of this project are industrial development, with a high level of innovation, the reduction of emissions and the development of renewable energies, as well as the creation of jobs and the promotion of a just transition.

H2MED will have the capacity to transport up to 2 million tons per year of renewable hydrogen, which represents 10% of the consumption expected in Europe in 2030, according to REPowerEU.

Source: GRTgaz

Petrofac secures brownfield EPC contract with ADNOC

Petrofac, a leading provider of services to the global energy industry, has been awarded a lump-sum engineering, procurement, and construction (EPC) contract with ADNOC in the United Arab Emirates. Under the agreement, Petrofac’s Asset Solutions business will design and install facilities to optimise operations and reduce methane and greenhouse gas emissions at the Habshan Complex, located 150 kilometres South West of Abu Dhabi.

This award follows the September 2022 announcement that Petrofac will continue to support ADNOC’s operations at the Haliba oil field, with a two-year Field Maintenance Services contract extension.

Present in the UAE since in 1991, with operational centres in Abu Dhabi and Sharjah, Petrofac has developed a large workforce to deliver both regional and international projects, while supporting In-Country Value and Emiratisation.

Source: Petrofac

Air Products, AES to invest $4 bln in building largest U.S. green hydrogen plant

Air Products and The AES Corporation announced plans to invest approximately $4 billion to build, own and operate a green hydrogen production facility in Wilbarger County, Texas. This mega-scale renewable power to hydrogen project includes approximately 1.4 gigawatts (GW) of wind and solar power generation, along with electrolyzer capacity capable of producing over 200 metric tons per day (MT/D) of green hydrogen, making it the largest green hydrogen facility in the United States.  
 
The facility, which is targeted to begin commercial operations in 2027, will serve growing demand for zero-carbon intensity fuels for the mobility market as well as other industrial markets. It will yield a totally clean source of energy on a massive scale, and, if all the green hydrogen were used in the heavy-duty truck market, it would eliminate more than 1.6 million metric tons of carbon dioxide (CO2) emissions annually when compared to diesel use in heavy-duty trucks. Over the project lifetime, it is expected to avoid more than 50 million metric tons of CO2, the equivalent of avoiding emissions from nearly five billion gallons of diesel fuel. 
 
Air Products and AES(i) will jointly and equally own the renewable energy and electrolyzer assets, with Air Products serving as the exclusive off-taker and marketer of the green hydrogen under a 30-year contract.  

The project would create more than 1,300 construction and 115 permanent operations jobs, as well as about 200 transportation and distribution jobs. It is also expected to generate approximately $500 million in tax benefits to the state over the course of the project’s lifetime, while extending Texas’ energy leadership. 
 
“We are very pleased to announce this exciting joint venture with AES, which is one of the leading renewable energy companies in America. The new facility in Texas will be, by far, the largest mega-scale clean hydrogen production facility in the U.S. to use wind and sun as energy sources. We have been working on the development of this project with AES for many years and it will be competitive on a world-scale while bringing significant tax, job and energy security benefits to Texas. We are excited to move forward and make clean green hydrogen available to U.S. customers in the near future,” said Seifi Ghasemi, Air Products’ Chairman, President and Chief Executive Officer. 
 
AES President and Chief Executive Officer Andrés Gluski stated, “This project will capitalize on AES’ position as one of the nation’s largest renewable energy developers and its global leadership in innovations such as energy storage systems and supplying around the clock clean energy to data centers. We are very pleased to partner with the world leader in hydrogen, Air Products, for this first of its kind mega-scale green hydrogen facility in the United States. We will build more than 1 GW of new solar and wind facilities to provide zero carbon energy for electrolysis and related production facilities. AES believes that green hydrogen has a key role to play in decarbonizing transportation and accelerating the future of energy.”  
 
Demand for green hydrogen for mobility and industrial applications is expected to grow exponentially across the United States over the next decade. The growth in demand is supported by green hydrogen’s role in net-zero ambitions announced by several states and major corporations. The project is subject to receipt of local permits, and local, state and federal incentives.

Source: Air Products

Technip Energies Selected by Infinite Green Energy for a Green Hydrogen Production Project in Australia

Technip Energies has been selected by Infinite Green Energy Ltd to perform a Front-End Engineering Design (FEED) for their MEG-HP1 Early Production Facility, a 10MW Green Hydrogen production project in Northam, Western Australia.

MEG-HP1 Early Production Facility will be powered by the Northam Solar Farm, located approximately 100 kilometres east of Perth, to be acquired by Infinite Green Energy Ltd. The 10 MW Northam Solar Farm consists of 33,600 solar panels and is constructed over 25 hectares (around 0.25 km2). The Northam Solar Farm is already connected to the South West Interconnected System (SWIS) with additional land secured for potential expansion.

The 10 MW green hydrogen production facility will be located in close proximity to the solar farm and will produce up to 4.3 tonnes per day. Hydrogen production offtake is focused on the heavy transport sector, targeting back-to-base logistics operators and local governments with in-depot refueling.

Gareth Philp, Australia Managing Director of Technip Energies, said: “We are proud to have been selected as an execution partner by Infinite Green Energy Ltd for the MEG-HP1 Early Production Facility project. We are committed to leveraging our local footprint and our integration and design expertise to contribute to building the future of green hydrogen in Australia.”

Stephen Gauld, CEO and founder of Green Infinite Energy, added: “This is an important milestone for Infinite Green Energy and we’re pleased to be partnering with Technip Energies on Front End Engineering and Design.  Our MEG-HP1 Early Production facility at Northam is leading the transition to a net zero economy. With first gas expected in 2024, Infinite Green Energy is on track to delivering some of the first commercial-scale green hydrogen in WA.”

Source: Technip Energies

Kent wins Pre-FEED Engineering Contract for £360m Carbon Capture Plant at Essar Stanlow Refinery, UK

Kent, a leading engineering company in oil and gas, carbon capture, utilisation, and storage (CCUS), and hydrogen (H2) have been awarded a Pre-FEED Study by Essar Oil UK for the Stanlow Refinery.

As part of the new contract win, Kent will incorporate a CO2 Capture and Storage Plant (CCS) to capture CO2 from the Fluid Catalytic Cracker (FCC) flue gas at Essar’s Stanlow Refinery in the North West of England, the UK’s first low carbon refinery.

The project supports Stanlow’s position as the central pillar of the HyNet low-carbon energy project and Essar’s UK decarbonisation strategy.

Since 2019 Kent, as part of a consortium with Progressive Energy and Essar (now Vertex Hydrogen) and Johnson Matthey, has also delivered Pre-FEED, FEED, and additional work packages for a Low Carbon Hydrogen Plant (HPP1), also to be located on Essar’s Stanlow Refinery, and part of the HyNet Northwest industrial cluster.

HyNet Northwest is being developed to provide low carbon hydrogen production, storage, transportation, and associated CO2 Transmission & Storage (T&S) for the Ellesmere Port industrial area and beyond.

Matt Wills, Market Director, Low Carbon Onshore Projects at Kent, said, “We are delighted to be a part of this milestone project. We have an excellent relationship with Essar, and we feel honoured to continue supporting them in their aim to reduce energy-related carbon dioxide (CO2) emissions to help meet global climate targets. Also, contract wins like these demonstrate our capability of full energy transition scopes, i.e., hydrogen, carbon capture, and decarbonisation.”

Essar Oil UK Limited has committed to reducing carbon emissions from operations by 75% by 2030 and becoming net zero by 2040. This will be achieved via energy efficiency, switching fuel to low carbon H2, and implementing carbon capture to mitigate approximately 1 MTPA of CO2 emissions from the refinery’s Fluid Catalytic Cracking (FCC) Coke.

Source: Kent

Petrofac Awarded Engineering and Procurement Services Contract by Shell in Oman

Petrofac, a leading provider of services to the global energy industry, has been selected by Shell to undertake new Engineering and Procurement Services (EPS) scopes in Oman.

The first is a five-year EPS contract for Shell’s Block-10 Mabrouk Phase-2 Project, located in the Al Wusta Governate of Oman – around 400km from the capital, Muscat. The contract was awarded following a competitive tender and the scope includes well-pads for multiple wells, remote manifold stations, and connecting pipelines, including water infrastructure for well development and a Field Operations Base.

Two further contracts, to provide residual engineering and procurement services to complete Phase-1B of the Block-10 development, were secured under Petrofac’s global Enterprise Framework Agreement with Shell.

Elie Lahoud, Chief Operating Officer of Petrofac’s Engineering & Construction business, said: “Petrofac has been operating in Oman for over 30 years, delivering more than 15 major projects and US$3.7 billion of in-country value during that time. We are delighted to continue our support of the Sultanate’s energy industry and its Vision 2040 priorities.”

The three newly awarded contracts will be delivered in-country utilising Petrofac’s multi-discipline engineering and project execution office in Muscat. Petrofac has been supporting Oman’s energy industries since 1988 to design, build, operate, and maintain facilities, as well as developing local workforce competence and generating in-country value.

Shell Integrated Gas Oman BV, a subsidiary of Shell plc, along with its partners, OQ and Marsa Liquefied Natural Gas, signed a concession agreement to develop and produce natural gas from Block-10 in December 2021. Shell became operator of the field at the signing.

Source: Petrofac

Maire Tecnimont awarded €80 Million EPCM refining contract in Greece

Maire Tecnimont S.p.A. announces that its subsidiary KT – Kinetics Technology S.p.A. has been awarded an EPCm (Engineering, Procurement & Construction Management) contract by Motor Oil Hellas (MOH) for a new C3 splitter unit to be implemented inside the Corinth Refinery, in Greece. MOH is a leading oil refining company in Greece and a key market player in Southern Europe and the Mediterranean region. 

The contract value is equal to €80 million and relates to the execution of a new C3 splitter unit aimed at separating the mixture of propane and propylene coming from the existing fluid catalytic cracking unit in order to produce polymer grade propylene, one of the most important building blocks for the entire chemical industry. 

The contract’s scope of work includes full engineering activities and supply of all materials and equipment as well as construction supervision services, while construction activities will be carried out by subcontractors directly selected by the client, under KT-Kinetics Technology’s responsibility and management. The Corinth Refinery is among the most complex refineries of its kind in Europe and processes crude oil of various characteristics to produce a full range of high-end products.

Alessandro Bernini, Maire Tecnimont Group Chief Executive Officer, commented: “This important award represents a new significant step to strengthen the business relationship with a leading player such as MOH, thanks to our technological know-how and process expertise, which will ensure the best environmentally performing standards. We are glad to support the industrial development plans envisaged by MOH, as it is set to play an increasingly strategic role in the energy transition in the Mediterranean region”.

Source: Maire Tecnimont

Aramco affiliate S-OIL to build $7 billion petrochemical project in South Korea

Aramco is making its biggest ever investment in South Korea to develop one of the world’s largest refinery-integrated petrochemical steam crackers through its S-OIL affiliate, in line with the company’s strategy to maximize the crude to chemicals value chain.

The $7 billion Shaheen project aims to convert crude oil into petrochemical feedstock and would represent the first commercialization of Aramco and Lummus Technology’s TC2C thermal crude to chemicals technology, which increases chemical yield and reduces operating costs. It follows an earlier $4 billion investment into the first phase of the petrochemical expansion completed in 2018.

Located at S-Oil’s existing site in Ulsan, the new plant is planned to have the capacity to produce up to 3.2 million tons of petrochemicals annually and include a facility to produce high-value polymers. The project is expected to start in 2023 and be completed by 2026.

The steam cracker is expected to process by-products from crude processing, including naphtha and off-gas, to produce ethylene — a building block petrochemical used to make thousands of everyday items. The plant is also expected to produce propylene, butadiene and other basic chemicals.

Aramco President & CEO, Amin H. Nasser, said: “The global petrochemical landscape is rapidly evolving with demand growth anticipated to accelerate, driven in part by rising consumption from Asia’s emerging economies. That is why S-Oil’s Shaheen is well positioned to meet rising demand for the materials that will be required across the region’s key industries. By further integrating refining and chemical processes through the first commercialization of Aramco’s thermal crude to chemicals technology, we aim to create a more efficient, competitive and sustainable platform for growth, while paving the way for further downstream expansion.”

Aramco Senior Vice President of Downstream, Mohammed Y. Al Qahtani, said: “Shaheen aspires to be a gamechanger not only for S-OIL in South Korea, but also for our global chemicals business, allowing us to process a greater range of feedstocks in a more efficient and less energy-intensive way. The project represents the first large-scale deployment of Aramco’s thermal crude to chemicals technology and shows how, through better design, we can contribute to the transition to more efficient and more sustainable production processes.”

The new steam cracker is planned to use mixed feedstocks, outperforming naphtha-based crackers in terms of overall efficiency and performance. Upon project completion, S-OIL chemical yield based on volume could almost double to 25%, which demonstrates the impact of this cutting-edge technology, complementing Aramco’s strategy to expand its liquids to chemicals capacity to up to 4 million barrels per day.

Aramco is the majority shareholder of S-OIL, holding more than 63% of the company’s shares through its Aramco Overseas Company B.V. subsidiary.

Source: Aramco

Aibel awarded an EPCIC contract worth a billion NOK for Equinor’s Irpa gas field development

Aibel has been awarded a billion NOK contract by Equinor for extensive modifications and preparation of the Aasta Hansteen platform for tie-in of the Irpa field (previously Asterix).

Aibel estimates the contract to be a large contract which at peak will employ over 200 people. Management and engineering will be carried out from Aibel’s office in Stavanger with the support of the offices in Oslo and Singapore. In addition, the project will exploit synergies with Aibel’s existing maintenance and modification contract for Aasta Hansteen, which is led by the Harstad office. Prefabrication and module assembly will take place at Aibel’s yards in Haugesund and Thailand.

The EPCIC contract (Engineering, Procurement, Construction, Installation and Commissioning) was an option when Aibel last year was awarded the FEED contract (Front End Engineering and Design) to plan the modifications in detail.

“The contract award is an acknowledgment to the organisation that has worked with the FEED. At the same time, it confirms Aibel’s leading position in modifications of infrastructure on the Norwegian continental shelf. We have a long history as main supplier within this area and look forward to providing an integrated solution in close cooperation with Equinor,” says President and CEO in Aibel, Mads Andersen.

Irpa is a gas field located 80 kilometres west of the Aasta Hansteen platform in the Norwegian Sea. The field will be developed as a so-called tie-in to Aasta Hansteen with export through the 482 km long gas pipeline Polarled to the Nyhamna gas processing plant.
In order to receive production from the Irpa field, comprehensive modifications must be made to the Aasta Hansteen platform, which will also extend its lifespan by seven years. This includes, among other things, integration work on the platform’s existing processing equipment as well as construction and installation of an approx. 450 tonnes monoethylene glycol module (MEG module).

Engineering work starts immediately, while the first offshore activities are expected already during February 2023. The project is expected to be completed in 2026.

Source: Aibel 

Subsea7 awarded EPCI contract offshore Trinidad and Tobago

Subsea7 announced the award of a contract to Subsea Integration Alliance to support the development of bp’s Cypre project, a gas development located offshore Trinidad and Tobago. Subsea7’s scope of the awarded Subsea Integration Alliance contract is substantial.

Subsea7’s scope covers the concept and design, engineering, procurement, construction and installation of a two-phase liquid natural gas tieback to the Juniper platform through dual flexible flowlines and a manifold gathering system, along with topside upgrades.

Design, engineering, and project management will commence immediately at Subsea7’s offices in the USA, with offshore installation planned for 2024.

Craig Broussard, Vice President for Subsea7 US, said: “We have been working closely with bp and our suppliers at the earliest possible stage to help develop and deliver an integrated SPS and SURF solution that optimises cost and efficiency, to accelerate first gas.”

Olivier Blaringhem, CEO for Subsea Integration Alliance said: ”bp’s Cypre project is a prime example of our ability to harness the key strengths of Subsea Integration Alliance; Subsea7 with its expertise in executing complex EPCI projects, and OneSubsea’s fast-track distribution of subsea production systems. Combined, we are delivering a refined solution which enables early first gas.” 

Source: Subsea7

JGC and Kiewit JV Awarded an EPC Contract for one of the World’s Largest Ethylene Plants in the United States

JGC HOLDINGS CORPORATION announced that a Joint Venture consisting of JGC America, Inc. and Kiewit Energy Group Inc. (Kiewit), hereafter referred to as “JKJV”, has been awarded an Engineering, Procurement, and Construction (EPC) Contract for the ethylene portion of an integrated polymers project in Orange, Texas, U.S.A. The client, known as Golden Triangle Polymers, is a joint venture between Chevron Phillips Chemical and QatarEnergy. The client has made the final investment decision for the project.

The complex will use ethane derived from US shale gas as the feedstock for the production of ethylene and HDPE (High Density Polyethylene). The ethylene plant will have an annual production capacity of 2 million tons, one of the largest such plants in the world, to help meet increasing demand for polymer products arising from the continued growth of the global middle class.

JGC has a track record of involvement in over 50 ethylene plant construction projects, including large-scale facilities inside and outside Japan, and is regarded as one of the world’s leading contractors with its numerous project accomplishments and advanced engineering technologies. Chevron Phillips Chemical and QatarEnergy have been important clients of JGC for many years. In 2015 JGC completed a large-scale gas processing plant construction project in Qatar for QatarEnergy, and in 2008 and 2011, it delivered two large-scale petrochemical plant construction projects in Saudi Arabia for Chevron Phillips Chemical. Most recently, in 2017, JGC completed a large-scale petrochemical plant construction project for Chevron Phillips Chemical in Texas.

The selection of JKJV as the EPC Contractor for this project reflects the client’s positive evaluation of the strengths of the JKJV’s proposal founded on JGC’s track record,relationships with the client, and Kiewit’s fabrication and construction capabilities in the U.S.A.

As a world-leading engineering contractor in the ethylene field, the JGC Group of companies will continue to actively pursue sales activities for ethylene plant construction projects planned worldwide.

Source: JGC 

Saipem awarded new offshore drilling contracts in the Middle East and West Africa worth approximately 800 million USD

Saipem has been awarded new offshore drilling contracts, three in the Middle East and two in West Africa for a total amount of approximately 800 million USD. This value is considered net of the leasing costs of the vessels used for the works

In the Middle East two new contracts have been awarded for two high-specification Jack-Up drilling units, the Perro Negro 12 and Perro Negro 13, chartered by third parties for drilling and workover activities on the specific projects. The duration of the operations will be five years plus two optional years for the first unit and three years plus one optional year for the second unit. Both the projects are scheduled to start between the third and the fourth quarter 2023. The third contract encompasses the five-year extension for an existing contract for the high-specification Jack-Up unit Sea Lion 7, highly versatile self-elevating drilling unit able to operate up to 375 feet water depth.

In West Africa, Saipem has been awarded two contracts in the Ultra Deep-Water segment for drilling operations with the sixth-generation Drillship Saipem 12000.

The first contract has been awarded by Eni Cote d’Ivoire for drilling operations offshore Ivory Coast, which are expected to start in the fourth quarter 2022 and extending the current activities of the rig in the area of about six months.

The second contract has been awarded by Azule Energy for drilling, completion and testing of development and exploration wells offshore Angola in Block 15/06 operated by Eni Angola S.p.A. The contract will have the duration necessary to drill and complete 12 firm wells (estimated lasting 26 months) and include the possibility of extension for an optional term. The project is scheduled to start in 2023 in continuity with the previous works of the rig in West Africa.

These long-term awards in the Middle East confirm Saipem strategy towards this key area for its business and the awards in West Africa secure the continuity of operations in line with Saipem strategy for the ultra-deepwater market in this area. 

With the contracts announced, since the beginning of 2022 Saipem has been awarded new contracts in the offshore drilling segment for a total amount of about 1,6 billion EUR equivalent.

Source: Saipem 

Doosan Enerbility Wins KRW 1.6 trillion Contract for Construction of El Dabaa Nuclear Power Plant Turbine Island

Doosan Enerbility announced that it had signed a contract valued to be KRW 1.6 trillion with Korea Hydro and Nuclear Power (KHNP) for construction of the turbine island at the El Dabaa Nuclear Power Plant in Egypt. This marks the first time that Doosan Enerbility has won a contract that calls for construction of an overseas nuclear power plant, in addition to its role of supplying the main equipment, such as the reactors and steam generators.

Doosan Enerbility signed the contract for construction of the turbine island of the El Dabaa Nuclear Power Plant in Egypt, with the related parties, including Jungmook Lim, KHNP’s Cairo Office Head, and Daeyong Yu, Doosan Enerbility’s Cairo Branch Director, in attendance at the signing ceremony.

As for the El Dabaa Nuclear Power Plant project, this is a project that was won in 2017 by ASE JSC, a subsidiary of Russia’s state-owned nuclear power company Rosatom, from the Egyptian Atomic Energy Agency (NPPA). The project requires the building of four 1,200MW reactors at a site that is located at a distance of 300km to the northwest of Cairo. This past August, KHNP signed the contract with ASE JSC to construct the turbine island of the El Dabaa Nuclear Power Plant. The construction of the Tower Building No. 1 is scheduled to commence in August 2023.

Under the recently signed contract, Doosan Enerbility will be building a total of 82 buildings and structures, including the turbine building, water treatment, and air conditioning systems, by 2029, with preparations also being made to have the turbine and generator installed. Furthermore, to fulfill the Egyptian government’s request for localization, partnerships are being pursued with local companies in the areas of construction and equipment & materials, which will likely contribute to the mutual growth of the nuclear sector in both Egypt and Korea.

“As this is our first nuclear power plant construction contract won overseas, it is significant for Doosan Enerbility in that we will now be able to boast of a nuclear new build track record in not only Korea, but in the global market as well,” said Inwon Park, CEO of Doosan Enerbility’s Plant EPC Business Group. He added, “We will do our utmost to successfully complete this project, so that we may contribute to the government and KHNP’s efforts to win more global nuclear projects in the future.”

Doosan Enerbility holds the capability for manufacturing not only the main components of nuclear power plants, such as the reactor and steam generator, but also the capability for constructing nuclear power plants. As of now, a total of 34 reactors and 124 steam generators have been supplied by Doosan, with 11 of the reactors and 44 of the steam generators having been exported overseas. Doosan also participated in the construction of ten nuclear power plants in Korea, such as the Hanul Nuclear Power Plant Units 1 to 6 and Shin-Kori Nuclear Power Plant Units 3 to 6.

Source: Doosan Enerbility

Wood secures FEED for first large-scale green hydrogen production facility in Mosjøen in Norway

Wood has been awarded the front-end engineering design (FEED) scope for Gen2 Energy’s green hydrogen production facility, located in Mosjøen in northern Norway.

Gen2 Energy is a Norwegian company dedicated to developing, building, owning and operating an integrated value chain for green hydrogen. The company targets having several large-scale production facilities for green hydrogen, making it easy and cost efficient for consumers to adapt to green hydrogen.

As a leader in hydrogen production solutions, Wood will apply its decades of hydrogen expertise and breadth of project implementation capabilities to develop the new 100MW plant – the first large-scale commercial green hydrogen production facility in Norway.

The award follows Wood’s initial conceptualisation of the plant as well as other production facilities that Gen2 Energy is developing to accelerate the distribution of hydrogen produced in Norway via zero-emission renewable energy to the UK and across Europe.

Due to good access to low-priced electricity, Mosjøen in Vefsn municipality in northern Norway is an excellent place for large-scale production of green hydrogen. The first phase of Gen2 Energy’s plan is to build a 100MW plant with a continuous production of around 45 tonnes of green hydrogen per day.

Lars Fredrik Bakke, Wood’s Vice President of Norway, said: “We are excited to support Gen2 Energy and enable the acceleration of green hydrogen production in Norway. With our deep domain expertise in hydrogen projects, we are well positioned to support the delivery of large-scale production facilities which will play a critical role in enabling a transition to a lower carbon energy mix. We look forward to building our relationship with Gen2 Energy to support their continued growth and uniting in our shared ambition to create a greener, more sustainable future.”

Jonas Meyer, CEO of Gen2 Energy, said: “The contract with Wood represents a milestone in Gen2 Energy’s targeted work to realise large-scale production of green hydrogen in Norway. In close collaboration with Wood, we will build a facility that turns green hydrogen into a commercial product for markets in Norway and northern Europe. Gen2 Energy’s hydrogen expertise matches very well with Wood’s industrial project capabilities.”

This contract will be delivered by Wood’s existing teams in Norway, with support from the company’s global experts from within its operations and projects business units. Wood will execute the FEED study jointly with personnel from Gen2 Energy.

Source: Wood 

Técnicas Reunidas and Allied Methanol have signed an agreement to develop an integrated methanol and blue ammonia plant in Australia

Técnicas Reunidas S.A. and Allied Methanol Pty. Ltd. have signed an agreement to develop an integrated methanol and blue ammonia production plant in Darwin, in the Northern Territory, Australia. 

The plant configuration will enable carbon emissions to be reduced by half compared to traditional technologies. 

The agreement contemplates that Técnicas Reunidas will carry out the front-end engineering design (FEED) of the plant in the coming months, once the corresponding financing has been obtained. 

The development of the FEED, would put Técnicas Reunidas in a good position to continue with the following phases of the project execution, which includes detailed engineering, equipment and materials procurement and construction management.

Full execution of the project will be subject to the outcome of the FEED and the subsequent securing of the necessary financing and permits from Allied Methanol. The project will involve an investment of USD 800 million. 

The methanol and blue ammonia plants will use Haldor Topsoe technology and will have a name plate capacity of 1350 and 415 tons per day, respectively.  The plant is scheduled for commissioning in 2026.

The plant configuration will enable carbon emissions to be reduced by half compared to traditional technologies.

Methanol is an essential ingredient to produce hundreds of everyday consumer items. It is a clean and cost-competitive alternative to fuels. The main current application of blue ammonia is in the fertilizer industry, and it is expected to be used in shipping as a net zero- emission fuel alternative.

This project further consolidates Técnicas Reunidas’ commitment to establish itself as a global leader in energy transition markets, especially in relation to the hydrogen value chain, circular economy, bioproducts, carbon capture and recovery of critical materials.

Source: Técnicas Reunidas

ADNOC Awards Record $4 Billion Framework Agreements for Integrated Drilling Fluids Services

Abu Dhabi National Oil Company (ADNOC) announced the award of three framework agreements valued at $4 billion (AED14.68 billion) for integrated drilling fluids services (IDFS) to support the ongoing expansion of its lower cost and lower-carbon intensive production capacity as it responds to growing global demand for energy. 

The awards, the largest of their kind in the industry, were awarded to ADNOC Drilling Company P.J.S.C (ADNOC Drilling), Schlumberger Middle East S.A. (SLB) and Halliburton Worldwide Limited Abu Dhabi (Halliburton). They cover ADNOC’s onshore and offshore fields and will run for five years with an option for a further two years.

Over 80% of the award value could flow back into the UAE’s economy under ADNOC’s In-Country Value (ICV) program over the duration of the agreements. Furthermore, the contractors will create job opportunities for UAE Nationals and invest in local manufacturing of equipment and chemicals required for the IDFS. 

Yaser Saeed Almazrouei, ADNOC Upstream Executive Director, said: “These record framework agreements for integrated drilling fluids services continue ADNOC’s significant investment in drilling-related services to enable the expansion of our production capacity and responsibly unlock the UAE’s leading low-cost, lower-carbon intensity hydrocarbons. In line with the wise directives of the UAE’s leadership, we are prioritizing in-country value as we respond to growing global demand for energy and these agreeements will create skilled job opportunities for UAE Nationals in the private sector, drive domestic manufacturing and support the UAE’s industrial growth.”

The framework agreements will enable investment in local manufacturing of equipment and facilities, including in Liquid Mud Plants and a Waste Management Facility, as well as key commodity chemicals. This underscores ADNOC’s efforts to create long-term opportunities in the UAE’s manufacturing sector and drive industrial growth.

ADNOC Drilling’s scope of the framework agreements is valued at up to $1.6 billion (AED5.87 billion). This reflects the company’s transformation and expansion of its service profile into a fully Integrated Drilling Services (IDS) company, following the development of its Oilfield Services division in partnership with Baker Hughes.

The framework agreements were awarded following a competitive tender process. They will enable hundreds of millions of dollars in cost savings through ADNOC’s optimized procurement approach that focuses on longer-term contracts with an optimal number of suppliers that can reliably deliver at competitive rates.

Since November 2021, ADNOC has awarded over $16 billion (AED 58.72 billion) in agreements for drilling-related equipment and services, including these awards and other agreements for wellheads, downhole completion equipment, liner hangers, cementing service, wireline logging, directional drilling and logging while drilling. The average ICV of all of these awards combined amount to 70% value flowing back ito the UAE economy, supporting manufacturing growth, employment and economic diversification. 

IDFS are necessary to drill the wells that will enable ADNOC expand its oil production capacity and drive gas self-sufficiency for the UAE. Some of these services include provision of products, engineering, technical laboratory support, filtration equipment and solid control equipment. 

Source: ADNOC

Maire Tecnimont awarded USD 380 MN LPG Project by Sonatrach in Algeria

Maire Tecnimont S.p.A. announces that its main subsidiary Tecnimont S.p.A. has been awarded by the Direction Centrale Engineering & Project Management of SONATRACH an EPC contract for the execution of an LPG extraction plant inside the existing Rhourde El Baguel oil & gas treatment complex, located in northeastern Algeria.

The overall contract value is about USD 380 million, to be executed on a Lump-Sum basis. 
The scope of the Project entails the implementation of a new LPG extraction plant with a capacity to process 10 million metric standard cubic meters per day of associated gas coming from the existing facilities. The completion of the plant is scheduled within 36 months from the Contract’s effective date. 

LPG is a pressurized liquid mixture of propane and butane, mainly used as fuel in heating and cooking appliances, and vehicles.

Alessandro Bernini, Chief Executive Officer of Maire Tecnimont Group, commented: “We are proud of consolidating our track-record with SONATRACH also in consideration of the strategic relationship between our two Countries in the current global energy supply scenario. This achievement furtherly strengthens our presence in the Algerian market and in the gas monetization segment, where our Group consolidated a solid experience in other Middle East and North African countries”. 

Source: Maire Tecnimont S.p.A.

McDermott Awarded FEED Contract from Hydrostor

McDermott International has been awarded a front-end engineering design (FEED) contract from Hydrostor Incorporated for the Silver City Energy Storage project located in Broken Hill, New South Wales, Australia.

Under the contract scope, McDermott will provide the full suite of FEED services for a 200MW advanced compressed air energy storage (A-CAES) facility that can provide up to eight hours of energy discharge at a time.

The award follows the successful completion of pre-FEED services by io consulting, a McDermott joint venture, who will continue to contribute during the FEED phase. McDermott will also leverage its storage business, CB&I, to determine the best thermal liquid storage solution. This approach aligns with Hydrostor’s strategy to harness renewable energy and storage technology.

“Our joint offering with io and CB&I establishes a unique position to develop a modularized solution that provides a reliable, clean and long-term energy solution for Broken Hill,” said Tareq Kawash, Senior Vice President, Onshore of McDermott. “We look forward to working with Hydrostor to accelerate the transition to renewable energy in support of Australia’s goal of decarbonization.”

Silver City is being developed using Hydrostor’s unique A-CAES technology for energy storage that provides equivalent reliability, scale, duration and operating life as pumped hydro storage. It also offers greater flexibility and reduces water use by up to ten times and land use by twenty times.

Work on the project will be executed by McDermott’s teams in The Hague, the Netherlands; Brno, Czech Republic; and Perth, Australia.

Source: McDermott 

Saipem has been awarded a contract by Qatargas worth approximately 4.5 billion USD

Saipem has been awarded a contract by Qatargas for the North Field Production Sustainability Offshore Compression Complexes Project – EPC 2 located offshore the north-east coast of Qatar. The contract value amounts to approximately 4.5 billion USD.

The scope of work encompasses the engineering, procurement, fabrication and installation of two offshore natural gas compression complexes aimed at sustaining the production of the North Field, including two of the largest fixed steel jacket compression platforms ever built, flare platforms, interconnecting bridges, living quarters and interface modules.

To execute this project, Saipem will leverage on its own assets, know-how and competences on offshore engineering, installation and fabrication, as well as its capability to maximize local content.

This prestigious award represents the largest single offshore contract by total value in the company’s history. It follows the award in early 2021 related to offshore facilities for extraction and transportation of natural gas for the same field and demonstrates the continuity and the quality of Saipem’s performance in Qatar.

With this contract, Saipem accelerates its strategic repositioning in the offshore segments (E&C and drilling) which represent the large majority of the announced order intake year-to-date, further supporting the delivery of its Strategic Plan.

Source: Saipem 

CB&I and DSME Sign MoU for Feasibility Study of Large Liquid Hydrogen Carrier

CB&I, McDermott’s storage business line, and Daewoo Shipbuilding & Marine Engineering Co., Ltd. (DSME) have signed a memorandum of understanding (MoU) for a feasibility study of a large liquid hydrogen (LH2) carrier including an LH2 storage tank design.

The ability to ship large quantities of hydrogen across the ocean is an increasing need to help countries, like South Korea, achieve carbon reduction goals in a hydrogen economy. CB&I and DSME bring unique expertise to the study. CB&I will evaluate its LH2 storage tank design for ocean-going ships and DSME will investigate and develop the ship’s general design to install the LH2 storage tank. The output of the feasibility study is expected to contribute to the future design of a large-scale LH2 carrier.

“The development of LH2 storage for ocean-bound vessels is essential to South Korea’s focus on a carbon-neutral environment,” said Cesar Canals, Senior Vice President of CB&I. “Our expertise in designing and building field-erected pressure spheres for LH2 storage is a perfect combination with DSME’s technical excellence.”

CB&I spheres can store LH2 at temperatures of minus 423 degrees Fahrenheit, and the company is nearing completion of the world’s largest LH2 sphere in Cape Canaveral, Fla., USA. Their history in this field spans more than 60 years.

Source: McDermott 

ADNOC Drilling Awarded Close to $1 Billion Contract to Further Unlock UAE’s Offshore Energy Resources

Abu Dhabi National Oil Company (ADNOC) announced the award of a contract worth $980 million (AED3.6 billion) to ADNOC Drilling to hire two jack-up offshore rigs and associated manpower and equipment. The contract, awarded by ADNOC Offshore, will support the expansion of ADNOC’s production capacity as it responds to the growing global demand for lower carbon intensity oil and gas.

ADNOC Drilling is the largest national drilling company in the Middle East by rig fleet size and this award will leverage the company’s world-class expertise and state-of-the-art rig fleet to further unlock the UAE’s offshore energy resources. Over 80% of the award value will flow back into the UAE’s economy under ADNOC’s In-Country Value (ICV) program, supporting local economic growth and diversification.

Yaser Saeed Almazrouei, ADNOC Upstream Executive Director said: “This award for the hire of jack-up rigs supports our ongoing efforts to responsibly unlock our lower carbon intensity oil and gas resources, alongside our strategic international partners, and contribute to global energy security. ADNOC Drilling’s world-class capabilities continues to be a key enabler of these efforts. Importantly, this award will also deliver significant in-country value to drive economic growth and diversification, in line with the UAE leadership’s wise directives.”

This award brings the total value of awards from ADNOC Offshore to ADNOC Drilling in 2022 to $5.95 billion (AED21.84 billion) to maximize value from Abu Dhabi’s offshore oil and gas resources. In October, ADNOC Drilling was awarded a contract worth $1.52 billion (AED 5.58 billion) for the provision of jack-up and island rigs and associated Integrated Drilling Services. This followed two awards in August worth $3.43 billion (AED12.59 billion) to hire eight jack-up rigs.

ADNOC Offshore is supporting ADNOC’s drive to expand production capacity to five million barrels per day (mbpd) by 2030 and enable gas self-sufficiency for the UAE, and ADNOC Drilling is a critical to delivering on these strategic objectives. ADNOC Drilling’s rig fleet spans 105 owned rigs, including 28 offshore jack-up units, one of the largest operational jack-up fleets in the world. The company’s expansive rig fleet and expertise are key drivers in its ability to win and service large-scale drilling contracts for customers such as ADNOC Offshore.

Source: ADNOC

MHB Awarded the EPC Contract for the Solar Powered Offshore Platform, Rosmari-Marjoram Project, from Sarawak Shell Berhad

Malaysia Marine and Heavy Engineering Sdn Bhd (MMHE), a wholly owned subsidiary of Malaysia Marine and Heavy Engineering Holdings Berhad (MHB), has secured a contract from Sarawak Shell Berhad (SSB) to undertake the engineering, procurement and construction (EPC) services of the offshore platform for the Rosmari-Marjoram gas project, off the coast of Sarawak, offshore Malaysia. The platform will comprise of a topside, a 4-legged jacket and piles.

Upon completion, the platform will be installed in a water depth of 140 metres (m) within SK318 area, off the coast of Bintulu, Sarawak.

This unmanned platform will be primarily powered by renewable energy where it will utilise power from solar panels. With a design life of 20 years, it will cater for up to 800 million standard cubic feet of gas per day with start-up targeted in 2026 supplying natural gas to the PETRONAS LNG Complex in Bintulu, Sarawak.

The Rosmari-Marjoram gas project is currently undertaken by SSB (Operator of the SK318 Block) and PETRONAS Carigali Sdn. Bhd.

Pandai Othman, Managing Director and Chief Executive Officer of MHB said, “We are honoured to have been entrusted with such a significant project from SSB. To us, this project award is not just another achievement for our record books but in fact, it signifies our strong and lasting partnership with SSB in many years to come.

With the announcement of Final Investment Decision by SSB for the project on Monday, 5th September 2022, followed by the award of this contract to MHB also indicates the beginning of the revitalisation of the oil and gas industry in Malaysia that has long been impeded due to the pandemic and economic slowdown causing oil and gas developers to be more cautious in its CAPEX spending for new developments.

Apart from our ultimate aim to deliver this project safely and timely, we are pleased to say that this project is aligned with our commitment in providing cleaner energy solutions through the utilisation of renewable energy to power the platform.

MHB has already begun our sustainability journey by integrating sustainable practices into our business and decision-making to ensure that we operate responsibly. Through this project, this will further intensify our aspiration to support all our stakeholders, in particular Shell and PETRONAS, towards materialising their net zero carbon emission agenda.”

Source: MMHE

ADNOC Drilling Awarded $1.53 Billion Contract to Support Expansion of ADNOC’s Offshore Operations

Abu Dhabi National Oil Company (ADNOC) announced the award of a contract worth $1.53 billion (AED 5.62 billion) to ADNOC Drilling. The award supports the expansion of ADNOC’s offshore operations and its objective to responsibly increase production capacity and meet the growing global demand for reliable, lower carbon intensity oil and gas.

ADNOC Offshore awarded the two-year contract which covers the provision of 12 jack-up rigs and two island rigs and the associated Integrated Drilling Services (IDS). ADNOC Offshore and its strategic international partners continue to maximize value from Abu Dhabi’s offshore oil and gas resources and this award will leverage ADNOC Drilling’s start-to-finish offering as well as its position as the largest drilling company in the region by rig fleet size to drive value and efficiencies while minimizing environmental impact.

Over 80% of the award value will flow back into the UAE’s economy under ADNOC’s successful In-Country Value (ICV) program, supporting local economic growth and diversification.

Yaser Saeed Almazrouei, ADNOC Upstream Executive Director, said: “Through this award, ADNOC Offshore will continue to responsibly harness the energy in Abu Dhabi’s waters, as we increase production capacity to meet the world’s growing demand for energy with lower carbon intensity oil and gas. ADNOC Drilling is a world leader in drilling and completion services. Their deep expertise and wide technical capability will maximize value and minimize the environmental foorprint of every well as ADNOC expands its production capacity. The substantial in-country value generated through this contract will support the directives of our wise leadership to grow and diversify the UAE economy.”

This award will support the expansion of ADNOC’s crude oil production capacity to five million barrels per day (mmbpd) by 2030 and gas self-sufficiency for the UAE. ADNOC Drilling has provided IDS to ADNOC Offshore since 2019. The company’s highly competitive position, integrated capabilities and technical expertise have helped increase the efficiency of ADNOC’s offshore operations.

Since ADNOC Drilling launched its IDS offering in 2018, the company has enabled more than $250 million (AED917.5 million) in savings for its customers through the successful end-to-end delivery of drilling and completion services.

Source: ADNOC

Technip Energies to Perform FEED for PTTEP Lang Lebah Onshore Gas Plant Associated with Carbon Capture in Malaysia

Technip Energies has been selected by PTTEP HK Offshore Ltd. to perform the Front-End Engineering Design (FEED) of the Lang Lebah Onshore Gas Plant 2 (OGP2) project located in Bintulu, Sarawak, in Malaysia.

The FEED contract covers the design of an onshore gas plant including the integrated flow assurance of the native CO2 capture, compression and transportation via pipeline up to the offshore wellhead platform where it will be reinjected. The gas coming from the Lang Lebah offshore field will be treated before being sent to the Malaysia LNG complex.

Loic Chapuis, SVP Gas & Low-Carbon Energies of Technip Energies, stated, “We are very pleased to have been selected by PTTEP for this landmark gas development in Sarawak. Bringing Technip Energies expertise in designing large scale gas plants with CO2 capture and transportation, we are committed to making this project another successful milestone in our longstanding relationship with PTTEP and our history in Malaysia.”

The Lang Lebah OGP2 project is one of the key projects of the Sarawak Integrated Sour Gas Evacuation System (SISGES) Development. SISGES is expected to be the catalyst for further development of untapped sour gas resources off the coast of Sarawak.

Source: Technip Energies

Technip Energies Announces Award of a Large Contract for FEED, License and Proprietary Equipment Supply for INEOS’ Project One Ethane Cracker

Technip Energies has been awarded a large contract for the proprietary equipment supply for INEOS Olefins Belgium NV’s 1,450 kta ethane cracker in Antwerp, Belgium. This latest award is in line with early engagement strategy and consolidates the successful completion of the Ethylene License and Extended Front End Engineering and Design (FEED) previously awarded to Technip Energies by INEOS.

The cracker is designed using Technip Energies’ latest enhancement on technologies to achieve a CO2 footprint less than 50% of the best 10% of European crackers. The furnaces are modularized and designed to fire high hydrogen fuel, and to transition to 100% hydrogen firing in the future, in addition to the plant being carbon capture ready. The plant design maximizes the use of modularization, using Technip Energies’ extensive experience in modularized LNG projects.

Bhaskar Patel, SVP Sustainable Fuels, Chemicals and Circularity, Technip Energies, stated “We are very pleased that INEOS selected our low carbon ethane cracker technology and equipment for this sizeable project. Utilizing our extensive experience with modular design will result in a reduced site assembly footprint with sustainable features to reduce emissions.”

Source: Technip Energies

Keppel O&M secures repeat newbuild FPSO contract worth US$2.8b from Petrobras

Keppel Offshore & Marine (Keppel O&M)’s wholly owned subsidiary, Keppel Shipyard, has won a tender from Brazil’s National Oil Company, Petroleo Brasileiro S.A (Petrobras), to undertake the engineering, procurement and construction (EPC) of P-83, a Floating Production, Storage and Offloading vessel (FPSO), for about US$2.8b.

Scheduled for delivery in 1H 2027, the P-83 is a repeat order of the P-80 FPSO that Keppel O&M secured in August this year. The contract will be on progressive milestone payments and adds approximately S$3.8b to Keppel O&M’s orderbook bringing it to about S$11.8b.

As a repeated order, the P-83 will be identical to the P-80 in specifications and execution methodology. It will build on the synergies reaped from the P-80, including adapting the design and engineering as well as leveraging economies of scale in the procurement of materials. The fabrication of the topside modules will be replicated across Keppel O&M’s facilities in Singapore, China and Brazil, while the construction of the hull and accommodation module will be done by CIMC Raffles in China. Integration of the separate components will be carried out in Singapore, with the final phase of offshore commissioning works undertaken by Keppel O&M when the FPSO arrives at the Buzios field.

The P-83 will be the third FPSO that Keppel O&M is building for Petrobras for the Buzios field. In addition to the P-80, Keppel O&M is currently working on the P-78 FPSO which was awarded in May 2021.

When completed, the FPSOs will be among the largest floating production units in the world. The P-83 has a production capacity of 225,000 barrels of oil per day (bopd), water injection capacity of 250,000 bpd, 12 million cubic metres of (Sm3/d) of gas processing per day and a storage capacity of two million barrels of oil.

Mr Chris Ong, CEO of Keppel O&M, said, “We are pleased to be awarded a third newbuild turnkey FPSO by Petrobras. It is a testament to the strong track record of the projects we have delivered to Petrobras over the years and reflects their confidence in Keppel O&M as a partner in the development and construction of high quality, sustainable and robust production units.

“We are able to draw insights from the first of our newbuild FPSOs, the P-78, which is progressing well and contributing to Keppel O&M’s earnings. As the P-83 and P-80 are identical units, greater economies of scale and productivity gains can be expected as we are able to further optimise the engineering and construction process, as well as fully leverage technology and the seamless coordination with our partners in the execution. We look forward to delivering all our projects safely, on time and within budget to our valued customer Petrobras.”

Petrobras operates the world’s largest carbon capture, utilisation, and storage (CCUS) programme. The P-83, P-80, and P-78 FPSOs will be equipped with green technologies such as CCUS to separate the carbon, reinject it back into the reservoir where it is stored and minimise the need for gas flaring. The FPSOs will also feature energy recovery systems for thermal energy, waste heat and gas, as well as seawater deaeration to reduce the consumption of fuel and the carbon emissions of the vessel.

Keppel O&M has delivered a significant number of projects for Brazil and Petrobras over the years, including FPSOs, production platforms, Floating Storage Regasification Units, drilling rigs and accommodation vessels, to support Brazil’s energy infrastructure. BrasFELS, Keppel O&M’s yard in Angra dos Reis, Brazil is currently also undertaking integration and fabrication work for two other FPSOs that will operate in the Sepia field and the Buzios field.

The above contract is not expected to have a material impact on the net tangible assets or earnings per share of Keppel Corporation Limited for the current financial year.

Source: Keppel Corporation

bp awards Wood multi-region contract to support efficient and safe energy production

Wood has been awarded a multi-region engineering services contract by bp to support efficient and safe energy production through the provision of asset repairs, modifications and enhancements.

The five-year reimbursable contract, valued at around $350m, will be delivered via agile working methods to optimise cost and delivery performance, enabling operational efficiencies to be realised across bp’s offshore installations.

This agreement renews Wood’s existing contracts in the regions to support bp to produce energy safely, efficiently, and reliably, as the world contends with the dual challenges of energy security and transition.

Craig Shanaghey, Executive President of Operations at Wood, said: “This opportunity is exciting for Wood because it has allowed us to think big, knowing that with bp’s own bold ambitions, we can help meet the world’s energy needs as efficiently as possible. Being able to truly leverage the breadth of experience and capability from right across our business will allow us to provide a solution that delivers transformational results.

“We have an extensive track record with bp and, for the first time, this multi-region approach allows us to combine these contracts into one single delivery model that puts exceptional execution, innovation, and simplification at its heart.“

Brian Chalmers, responsible for Wood’s global relationship with bp and President of Strategy and Development for Operations, said: “I am delighted that we will have the opportunity to drive a step change in the performance of bp’s offshore portfolio.

“We have proven that when we work in partnership, we can deliver transformational outcomes that support bp’s ambition to drive higher efficiency and productivity across their assets.”

This multi-region contract will be led by Wood’s Operations business unit with a centralised contract management team and local delivery teams, supported by Wood’s global execution centre.

Source: Wood

Saipem awarded new contracts in Ivory Coast worth approximately 1 billion euro overall

Saipem has been awarded two new contracts in Ivory Coast worth approximately 1 billion euro overall. The contracts have been assigned by the ENI Cote d’Ivoire-Petroci consortium for the Baleine Phase 1 Project, for the development of the relative oil and gas field offshore Ivory Coast located at a 1,200m water depth.

The Baleine Prospect represents the largest commercial discovery in the country in the last 20 years and it will contribute to energy production in Ivory Coast, strengthening the country’s role as a regional energy hub. Saipem contributed to the discovery of the field thanks to the drilling activities of the Saipem 10000 and Saipem 12000 vessels. 

The first contract entails Engineering, Procurement, Construction and Installation (EPCI) activities of Subsea Umbilicals, Risers and Flowlines (SURF) and of an onshore gas pipeline for the connection to the distribution grid.

The offshore laying of flexible lines, risers and umbilicals will be executed by Saipem’s flagship vessel FDS2 and the development of the project will be on a fast-track basis. The start of operations is planned for the fourth quarter of 2022.

The second contract – also developed with a fast-track schedule – encompasses Engineering, Procurement, Construction and Commissioning activities regarding the refurbishment of the Firenze FPSO vessel, plus 10 years of Operations and Maintenance services of the vessel.

The award of significant contracts in a new area with great potential such as Ivory Coast represents an important recognition of Saipem’s role as a contractor of excellence for the execution of complex projects requiring the integration of drilling, engineering and construction skills – both onshore and offshore – on a fast-track basis. These contracts also consolidate Saipem’s strategic positioning in West Africa.

Source: Saipem

QatarEnergy signs deal with TotalEnergies for North Field South Expansion

QatarEnergy announced that it has selected TotalEnergies as the first international partner in the North Field South (NFS) expansion project. The NFS project, which comprises 2 LNG mega trains with a combined capacity of 16 million tons per annum (MTPA), will raise Qatar’s total LNG export capacity to 126 MTPA.

The partnership agreement was signed by His Excellency Mr. Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs, President and CEO of QatarEnergy, and Mr. Patrick Pouyanné, Chairman of the Board and CEO of TotalEnergies, during a ceremony held today at QatarEnergy’s headquarters in Doha and attended by senior executives from both companies.

Pursuant to the agreement, TotalEnergies will have an effective net participating interest of 9.375% in the NFS project (out of a total 25% interest available for international partners) while QatarEnergy will hold a 75% interest.In his remarks during the ceremony, H. E. Minister Al-Kaabi said: “QatarEnergy is moving forward, to help meet growing global demand for cleaner energy, of which LNG is the backbone for a serious and realistic energy transition. We are committing significant investments to lower the carbon intensity of our energy products, which constitutes a key pillar of QatarEnergy’s sustainability and energy transition strategy.”

“We will continue our efforts to power lives in every corner of the world for a better tomorrow for all,” His Excellency added.H.E. Minister Al-Kaabi welcomed TotalEnergies to this new project and said “I am pleased to welcome TotalEnergies yet again as a partner in our flagship LNG projects.”

In concluding his remarks, H.E. Minister Al-Kaabi said: “I would like to thank the working teams at QatarEnergy and TotalEnergies for their excellent cooperation that led to this agreement. I also would like to thank the Qatargas leadership and project teams for their efforts in implementing the North Field expansion projects on schedule, and with an outstanding safety record. Most importantly, we are forever grateful to the wise leadership of His Highness the Amir Sheikh Tamim bin Hamad Al Thani and for His unlimited support of Qatar’s energy sector.”

The North Field Expansion Project, comprising NFS and the North Field East (NFE) expansion projects, is the industry’s largest ever LNG project. It will start production in 2026 and will add more than 48 MTPA to the world’s LNG supplies. Five partnership agreements have been signed in June and July this year covering the NFE project, which comprises 4 mega LNG trains with a combined capacity of 32 MTPA.

This unique project is characterized by the highest health, safety, and environmental standards, including carbon capture and sequestration, to reduce the project’s overall carbon footprint to the lowest levels possible. Other partners in the NFS project will be announced in due course.

Source: QatarEnergy

Doosan Enerbility Signs EPC Contract for Jafurah Cogeneration Plant Project in Saudi Arabia

Doosan Enerbility announced that it had signed a contract valued at approximately KRW 540 billion for the “Saudi Arabia Jafurah Cogeneration Plant” construction with Korea Electric Power Corporation (KEPCO). As the project developer, KEPCO will oversee the project development and operation, while Doosan in its role as EPC contractor will handle the overall process starting from design to the equipment supply, installation, and plant commissioning.

The Jafurah Cogeneration Plant is to be constructed at a location that is approximately 400km east of Riyadh, the capital of Saudi Arabia. It is scheduled to be built by the second half of 2025, and once it is set up, it is expected to have an electric power generation capacity of 320MW and steam generation capacity of 314 tons per hour, to ensure the supply of electricity and heat to the Jafurah Gas Field.

“Following on the heels of the Ukudu Combined Cycle Power Plant project in Guam that we won in 2020, we find it truly meaningful to be able to participate in another global new build project like this as a Team Korea member,” said Inwon Park, CEO of Doosan Enerbility’s Plant EPC Business Group. “Over the next five years, as it is forecast there will be close to 30GW worth of new orders for combined cycle power plants in the Middle East region, particularly in Saudi Arabia, we plan to strengthen our market targeting efforts in this region.”

Doosan Enerbility is steadily solidifying its position in the Saudi Arabian market as made evident in how it has won over KRW 2.3 trillion worth of new build orders in the region this year alone. A contract for the construction of a casting & forging facility valued to be KRW 1 trillion was won this past February and another KRW 840 billion contract for a seawater desalination plant was won in August this year.

Source: Doosan Enerbility