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NEWS

Foster Wheeler Global E&C Group’s news, successes and people around the world SUMMER 2013

12 EXPANDING IN
UPSTREAM
Acquisitions in UK,
UAE & Mexico
16 SINGAPORE
Singapore’s first LNG
terminal starts up 26 LNG REGASIFICATION
Innovative fast-track
offshore solution
CONTENTS
Welcome to FW News
Foster Wheeler Global E&C
Group’s news, successes &
people around the world

2 A ‘One Foster Wheeler’ mindset


4 STOP PRESS - New awards
6 Reinforcing a Zero Harm culture

NEWS 8 Stanlow FCC - moving a monster!


Consistency, best
12 Expanding in Upstream
16 Singapore’s first LNG terminal starts up practice and a
20 UAE petrochemicals master plan
‘One Foster Wheeler’
22 Gazprom Moscow refinery FEED
24 A world first for Arkema in Malaysia mindset
26 Innovative & fast-track offshore LNG regas
30 Foster Wheeler forms JV in China Last year we launched the Execution
Our Singapore LNG team
celebrates success!
32 A step forwards in SNG Excellence Programme, the key aim of
which is to drive an even stronger focus on
We work closely with our staff, 33 Lomellina waste-to-energy showcased
clients, partners, suppliers and delivering execution excellence, along with
contractors to ensure that we work 34 Sharing ideas in energy management reinforcing the ‘One Foster Wheeler’ mindset
in an environmentally responsible
& asset optimisation
way, and to understand how to throughout the Global E&C Group.
minimise environmental impacts.
35 Valero refinery agreement in UK
Managing Editors 36 Sasol project: making safe progress As part of this programme, we are
Carolyn Greenhalgh making sure that best practice is not only
Director, Strategic Planning
38 Meticulous planning pays off at BP Kinneil
& Marketing 42 Key role for our young professionals
implemented, but implemented consistently,
Global E&C Group across the Global E&C Group, including the
+44 (0)118 913 2494 44 World’s largest plasma gasification project
carolyn_greenhalgh@fwuk.fwc.com alignment of processes and tools, to further
46 Iraq facilities take shape reinforce the ‘One Foster Wheeler’ approach.
Anne Chong
Manager, Public Relations 50 Changing the skyline at IOCL Paradip, India
Foster Wheeler Energy Limited
+44 (0)118 913 2106 54 Global snapshot: highlights from This programme also drives the development
anne_chong@fwuk.fwc.com around the world of a global workshare model, in particular
Jackie Hogarty 58 Nexen Long Lake SAGD Project, Canada with our Global High Value Execution Centre
Marketing Manager in India.
Global E&C Group 60 An unbroken track record in
+44 (0)118 913 2167 SAMREF turnarounds
jacqueline_hogarty@fwuk.fwc.com With this focus on best practice and
62 Beating the schedule at BP Bulwer Island
Design
alignment, we have focused on nine key
64 Pecket Energy SNG, Chile areas which underpin key processes in EPC
Dominic Hale
Creative Design & 65 IRPC vote of confidence, Thailand execution, areas which deliver efficiency
Marketing Consultant
Global E&C Group 66 Supporting Engen’s strategic development gains, and areas where our clients tell us
+44 (0)118 913 2329
68 Upstream win in Russia
they would like to see a globally consistent
dominic_hale@fwuk.fwc.com
Foster Wheeler product.
Published by 70 FW Idea Zone: sharing our innovations
Foster Wheeler
www.fwc.com

© 2013 Foster Wheeler


For more information on any of these articles, Above: Kent Masters (right), CEO, and Umberto della Sala,
Produced by MMCS please contact us at solutions@fwc.com President & COO, Foster Wheeler

2 FW NEWS
Execution Excellence
Control of bulk quantities Construction inputs into

01 06
The objective here is to ensure the proper engineering and procurement
control of bulk quantities throughout the The objective is to optimise and align the
entire EPC phase, from estimating through inputs and needs of construction into
construction. Bulk quantities have a direct engineering and procurement, through
influence on cost, schedule, sub-contractor the definition of minimum standards.
performance, procurement and many other Inadequate definition of construction
aspects of project execution. needs at an early stage can result in severe
impacts, ranging from costly mistakes to
Worksharing significant delays and this is another area

02
The objective is to define the most cost- where getting it right every time delivers
effective worksharing model common significant benefits.
across all of our operations. To be flexible
and cost-competitive, we must be able to Planning heavy lift operations

07
execute work in multiple centres and, in This is an area where we have deep and
particular, work effectively with our Global proven expertise. This objective is all
High Value Execution Centre in India. This about ensuring that this expertise is
will also help drive the ‘One Foster applied consistently and globally and is
Wheeler’ way of working. a key part of our ‘Realizing Zero’ safety
ethos, to work safely wherever we are in
Set up and control of Foster the world.

03
Wheeler deliverables list
The objective is to ensure the proper Alignment of interfaces

08
definition, in terms of type and quantity, with clients
of Foster Wheeler deliverables. Our Our global clients expect the same ‘One
deliverables have a direct effect on all Foster Wheeler’ approach in executing
aspects of the execution of projects, projects wherever in the world they work
particularly on planning the engineering with us, so it is necessary to align all our
work, on progress measurement, on interfaces with them.
evaluating the manhours required to do
the work, on quantities to be installed and Compliance with procedures

09
ultimately on project cost and schedule.
Our processes and procedures are based
on years of experience, lessons learned
Sub-contracting and continuous improvement. If we work

04
The objective is to align the process of consistently to the standard outlined in
sub-contracting construction work, from these procedures, then the outcome will
defining the sub-contracting strategy to be consistently good.
field administration. This is an area
where the prize, in terms of efficiency
and effectiveness, is significant and where
getting it right delivers significant client These are our focus areas for 2013. But we
satisfaction and also cost-competitiveness.
do not plan to stop focusing on Execution
Excellence in December 2013! We expect to
Project risks analysis
focus on new initiatives, or continue to focus

05
The objective is to establish a common,
structured approach to the management of on further upgrades in some of the above
project risks and opportunities and to make areas, in 2014 and beyond, as part of the
sure that we apply the best practice we continuous improvement process which is
already have in-house, consistently and fully. an integral part of our core values.

FW NEWS 3
STOP PRESS ... STOP PRESS ... STOP PRESS ... STOP PRESS ... STOP PRESS ... STOP PRESS

Major awards
in Chemicals, Refining & Upstream
US EPCM win for Dow Enterprise Master Service Agreement
LA-3 Crack More Ethane Project Our Houston-headquartered US operation has signed a
Our Houston operation has been awarded a contract Master Service Agreement (MSA) to support the North

P
by The Dow Chemical Company (Dow) to provide American capital project programme of Enterprise
detailed engineering, procurement and construction Products Operating LLC, a subsidiary of Enterprise

P
management (EPCm) services for the LA-3 Crack Products Partners LP. Under this evergreen agreement,

O
More Ethane Project at Dow’s Plaquemine we will provide services for multiple projects that will

T
petrochemical facility in Louisiana, US. be awarded in a ‘release’ arrangement.

. S
Enterprise is a leading US midstream company that processes,

..
The objective of this project is to improve the plant ethane
transports and/or fractionates natural gas, natural gas liquids,
flexibility to take advantage of low-cost feedstock.
crude oil and refined products.

S
The scope will include brownfield additions and retrofit

S
modifications to the plant. This project is part of Dow’s
Enterprise world-scale PDH

E
comprehensive US Gulf Coast investment strategy.

R
EPC win in US

P
“We have the proven brownfield/retrofit project execution And now we are delighted to announce that Enterprise
capabilities that are crucial to achieving Dow’s cost and has awarded our Houston operation an EPC contract

P
schedule objectives. We are pleased that our excellent working
for a propane dehydrogenation unit (PDH) and
relationship with Dow under our Global Agreement continues

O
to flourish with this latest award.” associated power, utilities and infrastructure at Mont

ST
Belvieu, Texas, US.
Javier Palencia
CEO, Foster Wheeler Americas
The construction phase of the project will be executed through
our combined use of direct-hire labour and sub-contractors.

“The award of the MSA is another success toward our


strategic objective to develop and extend long-term
relationships with our clients to leverage our technical
expertise, project delivery and network of operations to
support their investment plans.

“Now we have won the EPC contract for Enterprise’ world-


scale PDH project, clearly demonstrating our ability to be a
major player in the US chemicals market. This award reflects
our extensive chemicals expertise and confirms our EPC
project execution capability. It is a significant step forward in
the expansion of our relationship with Enterprise, and we are
focused on delivering a world-class performance to meet our
client’s business objectives.”
Javier Palencia
CEO, Foster Wheeler Americas

4 FW NEWS
STOP PRESS ... STOP PRESS ... STOP PRESS ... STOP PRESS ... STOP PRESS ... STOP PRESS

R E S S
O P P
. .. S T
S
Nghi Son win in Vietnam Offshore prize in Venezuela

PR E S
Our Asia Pacific team has won a PMC services
contract for the Nghi Son Refinery and Petrochemical
(NSRP) Complex to be constructed in the Nghi Son
Economic Zone, Socialist Republic of Vietnam.

The NSRP Complex will consist of an integrated refinery,


processing 200,000 barrels of crude oil per stream day, and
petrochemical complex, with associated infrastructure, utilities
Our Upstream team in Houston has won a PMC
contract with Cardon IV SA for new production
facilities for the Perla Field in the Gulf of Venezuela.
Cardon IV SA is a joint venture company owned
by Eni Venezuela BV and Repsol YPF Venezuela
Gas, SA.

The new production facilities will comprise offshore structures,


and offsites facilities. The refinery is designed to process trees, controls, offshore processing, subsea flowlines, export
Kuwait Export crude. The plant will have the facilities for full pipelines, the shore approach and utilities facilities from the
conversion, with an integrated aromatics complex and wellheads to an onshore gas plant, and tie-in to an existing
polypropylene production. The expected total investment gas and condensate pipeline system. First gas is planned at
for the project is US$9 billion. the end of 2014.

We will manage and administer, in an integrated team with We will supervise the engineering, procurement and
the client, the EPC contractor consortium through to the construction contractors and the procurement of long-lead
completion of performance testing. The NSRP complex is equipment. We will undertake supervision activities in
expected to start commercial operation in 2017. engineering centres in Houston, Madrid, London, and Rijeka,
Croatia, and in more than 15 countries for fabrication and
“We successfully completed the FEED for the NSRP complex, construction of equipment and materials at module and jacket
and subsequently provided project management services fabrication yards and for site installation.
during the tendering phase for the main EPC contract. We are
delighted to be continuing our involvement with this strategic “We are delighted that Cardon IV has selected us for this
project during the implementation phase. Our performance project, and we look forward to continuing to deliver a high-
during the earlier stages of the project, our refining expertise quality service which fully satisfies our client. We have built a
and our experience in executing major projects in Asia were strong working relationship with Cardon IV since we started
critical factors in our success in winning this significant award.” work on the conceptual engineering in 2010, and then
Roberto Penno
completed the FEED. During these three years we have
CEO, Foster Wheeler Asia Pacific provided the client with high-quality people and deliverables,
and this latest award reflects Cardon IV’s continuing
confidence in our Upstream team.”
Hal Ankrum
CEO, Foster Wheeler Upstream

Pictured left to right: Javier Palencia, CEO, Foster Wheeler Americas; Roberto Penno, CEO, Foster Wheeler Asia Pacific; Hal Ankrum, CEO, Foster Wheeler Upstream

FW NEWS 5
Realizing Zero
Engendering a Zero Harm culture
Back in 2011 we embarked on a company-wide
journey, named ‘Realizing Zero’, to create a Zero
Harm culture within our global workforce.

“One of the immediate impacts of


Realizing Zero initiatives was an
increased level of engagement
A Zero Harm culture is one in
which every incident is considered
intolerable, and there is a desire
by our employees in HEART. and commitment to make sure
HEART is our behaviour-based we do everything in our power
Harm Elimination And Recognition
Training programme, and is a key
element of Realizing Zero. This
increased engagement, the result
of a significant investment in
to avoid any situation that could
put ourselves or others at risk
of being hurt.

Realizing Zero has a number of Asia


Pacific
training and other initiatives to key elements, some traditional
maintain the focus in this area, transactional HSE management
has paid dividends. activities and others related to
transformational leadership and
We are seeing more and more full engagement of individuals. It’s
Foster Wheeler people willingly this combination that is designed Realizing Zero is in action all around
engaging in safety-related to embed a Zero Harm culture
the Foster Wheeler global
conversations with co-workers here at Foster Wheeler.
in an effort to modify at-risk organisation. Our Asia Pacific
behaviours and to reinforce We are very proud of our HSE operation recently held a two-day
positive behaviours. performance and the many HSE Realizing Zero event and
awards which demonstrate that commitment ceremony at its
Creating a Zero Harm culture our achievements are recognised
is a journey that will include externally. But we continue to
Singapore HQ. For two rewarding
individuals developing a personal refine our HSE approach, days, the event engaged all
relationship with safety, which systems, tools, techniques and taskforces, departments and our
helps drive safety conscious training because we realise that clients. This extraordinary
decisions based on personal sustaining world-class HSE
achievement was only made possible
values, inside and outside performance is a journey.


the workplace. through active leadership and
Nick Anagnostou
Global HSE Leader
commitment from all stakeholders.
Foster Wheeler Global E&C Group

6 FW NEWS
Roberto Penno, CEO, Foster “We are striving to create a
Wheeler Asia Pacific, gave culture in which everyone truly
a speech emphasising the realises that an injury incident is
importance of adopting a Zero not a statistic but rather a person
Harm mindset in everything we who was negatively affected
do. He reminded everyone that no by a shortcoming within our
job is done well unless it is done organisational system, to which
safely and the most important we all contribute.”
thing we do is making sure each
person goes home to their
families each day safe and
injury free.
“TO CREATE
“To make our Realizing Zero
journey successful, we must all A ZERO HARM
believe that zero is possible. The
good news is that the Realizing CULTURE WE
Zero initiative empowers all of us
to make a difference. In addition MUST BELIEVE IN
to HEART, we have also provided
guiding principles governed by
our Safe Office Behaviours and
THIS, ENVISION
Life Critical Activities.
IT, AND MAKE IT
“Together, these three elements
make up the foundation of OUR CHOICE.”
Realizing Zero but they do not on
their own create our Zero Harm All participants demonstrated
culture. To truly create our Zero their commitment to Realizing
Harm culture we must place an Zero by signing the commitment
emphasis on transformational banner. Signing of this banner
leadership. It’s where the ‘heart shows not only individual, but
and soul’ comes into the picture. unified, support to Realizing Zero.

“We must ensure that our As in other Foster Wheeler


Top left: FW APAC staff sign the Realizing Zero
commitment banner in Singapore employees and members of our offices, the commitment banner is
Above: Roberto Penno, CEO, FW APAC, is the leadership team are genuinely displayed in a prominent location
first to sign to demonstrate his commitment engaged in safety because they as a reminder for all of us to take
Top right: Roberto Penno speaking at the see it as a personal value. ownership of safety at all times.
Realizing Zero event

FW NEWS 7
OIL UK

Concept into reality


World’s largest transported regenerator head and
cyclone assembly arrives safely at Stanlow refinery
The culmination of over two years of careful planning
came to fruition on 24 March 2013 when the new
fluidised catalytic cracking (FCC) regenerator head
arrived at Essar’s Stanlow refinery in the UK.
This year the FCC unit is 25 years old and the cyclones in the regenerator vessel had
reached the end of their design life.

We were employed by Shell (the refinery was subsequently purchased by Essar) to develop
a solution to replace the cyclones as a single assembly to minimise turnaround duration as
well as the amount of work on site.

Above: Cyclone can being loaded at fabrication shop in Genk

Opposite: Regenerator head lifted over cyclone can


at assembly yard at Antwerp with floating crane

8 FW NEWS
OIL UK

We believe that this is the largest The date for the transport from
regenerator head, complete with Ellesmere Port to site of 24 March
refractory lining and cyclones, 2013 was agreed back in January
that has been fabricated as an 2011 to take advantage of lighter
assembly and then transported mornings prior to the clock
On safe completion of the anywhere in the world. So the changing to British Summer Time.
operation, Allan James, transportation challenge, given
the assembly’s 15m overall
This certainly provided a very clear
focus for the regenerator head
Essar’s project manager, diameter, was a major one! supplier, the transportation
company, Foster Wheeler, the
commented: The head manufacturer client and a considerable number
completed the head assembly of other parties.
“My thanks to the in two sections in the fabrication
shop in Genk, Belgium, as the On a very cold and wintry
integrated project team total assembly would not pass morning, the assembly
under canal bridges in Belgium. successfully completed
including Foster Wheeler, A separate ‘can’ was designed to the final leg of its journey, moving
support and protect the cyclones from Ellesmere Port docks to
our business partners and during transportation from Genk the Stanlow site, along the M53,
to the assembly yard in Antwerp. closed for several hours, arriving
offsite agencies for their The head was lifted over the on site through the newly
cyclone ‘can’ in Antwerp using constructed temporary entrance
help and professionalism a floating crane. The assembly off the A5117 main road.
was then barged from Antwerp
in delivering this mammoth to Ellesmere Port, UK, on The assembly will be installed
1 March 2013. using a large ringer crane during
piece of equipment safely the shutdown planned for
The transport weight of the new October this year. We plan to
to site.” head and cyclones is 450 tonnes cover this in a later issue of
and, with 30 axle lines of self- FW News.
propelled modular trailers,
weighed in excess of 700 tonnes There are still plenty of challenges
in total. The route required to come but, so far, the meticulous
pruning of over 200 trees advance planning has paid off in
a year in advance, and the terms of safety and schedule.
temporary removal of a
considerable amount of
street furniture.
Images: Courtesy of Essar

10 FW NEWS
“We have been involved
in this project from the
very early days, working
on the concept study,
pre-FEED, FEED and
EPC phases for the last
three and a half years.
We have worked in an
integrated team with
our client to turn the
concept into reality.”
Terry King
Senior Project Manager, Foster Wheeler

Opposite: En route to Stanlow, UK;


assembly on the A5117 approaching
the site

Above left: Assembly on M53 motorway

Above right: Assembly arriving at site

Right: Assembly lifted over dip-leg


frame on site

FW NEWS 11
EXPANDING
in Upstream

12 FW NEWS
A key strategic objective for us is to
grow a much stronger position in the
global upstream market by developing
our offshore upstream capabilities as
well as growing our already strong
onshore capabilities.

Here we focus on EMEA, where Frazer Mackay (pictured), the new laying the groundwork for us to
we’ve taken several key steps in Managing Director of EMEA continue to work with our clients,
realising this objective. Upstream, is driving the further supporting the development of projects
development of our upstream through FEED, EPC and beyond.
EMEA for us covers Europe, the capability, especially in offshore.
Middle East, Africa and also Russia “Our recent acquisitions of Attric in
and the Former Soviet Union, and we “We have a very strong focus on Hull and Ingen in Aberdeen and UAE,
have had a great deal of experience building our offshore skills and have been part of this drive, expanding
and a long and successful track expertise. Our business model has our offshore capability at the very early
record in onshore upstream in the traditionally been to get involved with stages of project development and in
region, with more limited offshore a project at the earliest stage and providing on-going asset support.
expertise and experience. demonstrate that we can add value,
“With these two acquisitions, and
bringing together the upstream
expertise in our Glasgow, Woking and
specialist oil and gas team in Reading,
we now have an EMEA team that
has the horsepower to provide a full
range of services across the entire
project lifecycle.

“In addition, we also have upstream


expertise in our other operations in
EMEA, including our Milan, Paris,
Madrid and South African operations,
and so have the flexibility, reach and
expertise to serve our upstream clients
wherever they are investing.”

Want to know more? Our team of


experts will be at Offshore Europe in
Aberdeen in September, or you can
contact us at upstream@fwc.com

FW NEWS 13
EXPANDING
in Upstream
Foster Wheeler acquires
UK-based Ingen Ideas
We have acquired Ingen
Ideas, a privately held
upstream consultancy
company located in
Aberdeen, UK, and
in the UAE.

Ingen specialises in field development and project decision support,


focused on the evaluation and implementation of oil and gas field
developments for greenfield and brownfield assets. Ingen’s expertise
includes field development, process engineering including subsea
and topsides design, flow assurance, enhanced oil and gas recovery,
carbon management and petroleum engineering.

“The acquisition of Ingen is part of our stated strategy to grow our


upstream capabilities, particularly for offshore, and to extend our
offering to our clients to encompass the full oil and gas value chain. The
ability to provide high quality, high value-added consultancy services to
our clients at a very early phase of the development of an oil and gas
asset is a key factor in developing and extending long-term relationships
with our clients, and also strengthens our position for future phases of
these projects.”

Kent Masters
CEO, Foster Wheeler

14 FW NEWS
Official opening of Growing in
our Woking office Mexico
On 21 March 2013, Lord Stephen Green, UK Minister of State for NorthAm joins the
Trade and Investment, officially opened our new upstream office Foster Wheeler family
in Woking, UK, unveiling a plaque at a special ceremony. The
event was preceded by a roundtable discussion between Lord
Green, who was accompanied by representatives from UK Trade
& Investment (UKTI), and senior executives from Foster Wheeler,
led by CEO Kent Masters.

We continue to expand our existing


upstream capability and the new
office, focused on the offshore sector,
opened last year. We plan to grow
the office to offer a full spectrum of
services for greenfield and brownfield
developments, including concept
selection, pre-FEED, FEED, detailed We are pleased to announce
design, project management that we have acquired
consultancy, and EPC/EPCm for NorthAm Engineering SA
upstream offshore oil and gas projects. DE CV (NorthAm).
“The new office will provide access NorthAm is one of the largest
to the world-class offshore skills and Mexican engineering and project
expertise available in the Woking/ management companies, with a
London corridor which, together with track record in upstream, offshore
“I’m delighted to be officially opening the further development of our existing and onshore, downstream and
Foster Wheeler’s new UK office. The UK global upstream resources and track power projects. With its main
is open for business and we warmly record, gives us a strong foundation operations in Monterrey, Mexico
welcome inward investment. Foster upon which to grow our upstream City and Poza Rica, the company
Wheeler has been supported by UKTI’s market share.” has approximately 400 employees.
extensive network of experienced sector
Kent Masters
and location consultants providing CEO, Foster Wheeler “With NorthAm’s excellent
market information, location guidance reputation and strong relationships
and practical help to get its Woking with key Mexican clients, this
operation up and running. I wish the acquisition significantly strengthens
company every success.” our position in the growing Mexican
Lord Stephen Green market. In addition, it provides an
Minister of State for Trade and Investment, UK excellent platform from which to
further expand our business in the
wider Latin American market.”
Kent Masters
CEO, Foster Wheeler

Above: Lord Green (left) receiving a memento from


Kent Masters to commemorate the official opening

FW NEWS 15
first

Images: Courtesy of SLNG

16 FW NEWS
New LNG terminal starts operation
The S$1.7 billion Singapore LNG
Terminal, a key infrastructure
development in Singapore’s energy
diversification strategy, is now in
operation. The first phase of
development, comprising two
180,000 m3 LNG tanks, a jetty and
regasification facilities, started
construction in 2010 and was
completed safely, on schedule
and within budget.

Above; Roberto Penno (third left), CEO, Foster Wheeler Asia Pacific, with Foster Wheeler PMC team
Main picture: Q-Max LNG carrier delivering commissioning cargo from Qatargas on 27 March 2013

FW NEWS 17
first
“Phase 1 of this strategically important project has been a great success.
The close working relationships and team spirit have undoubtedly
contributed to the excellent safety record, and its on-budget and on-time
performance. We will continue to work with the same collaborative team
spirit to help make the next phase just as successful.”
Roberto Penno
CEO, Foster Wheeler Asia Pacific
Singapore LNG received its We played a key role in this The LNG terminal has an initial
first shipment of LNG, for the project as PMC, providing regasification capacity of 3.5
commissioning of the terminal, expertise and leadership to both million tonnes per annum (mtpa).
on 27 March 2013. Then on SLNG’s project management and
7 May 2013 the first commercial Samsung C&T’s EPC team. A third LNG tank, additional
LNG cargo from BG Group was regasification facilities and a
successfully off-loaded at With the strong contribution secondary berth are currently
the terminal. from our team, the project was under construction. We are
executed with no lost-time injuries working as PMC on this second
At the stroke of midnight, the and a total recordable injury rate phase, which will increase the
LNG was regasified and sent of less than 0.24 per 200,000 regasification capacity to 6 mtpa
out through the terminal to the manhours - a great achievement by the end of 2013. Phase 3 FEED
Singapore gas network. considering that more than for a fourth tank and additional
15 million manhours were facilities for the potential future
expended on the project. expansion of the terminal is
in progress.

Opposite: Mr S Iswaran (left), Minister in Prime Minister’s Office and Second Minister for Home Affairs and
Trade & Industry, Singapore, with Roberto Penno (right), CEO, FW APAC

Above, right to left:


Roberto Penno; Kevin Hollingworth, Commissioning Manager, FW APAC; Chong Yee Leong, SLNG
Board Member; Peter Wood, VP, Projects and Development, SLNG; Tay Seng Chye, President, UPAGE;
RKS Nachiappan, General Secretary, UPAGE; Mr S Iswaran; Neil McGregor, CEO, SLNG; Bob Tan, Chairman,
SLNG; Yeo Yek Seng, Deputy CE, EMA; Lee Seng Wai, Director LNG Dept, Regulation Division, EMA Images: Courtesy of SLNG

FW NEWS 19
petrochemicals
UAE
master plan
Recently, our Reading, UK, operation completed a master plan study for the development
of the petrochemicals sector for the Department of Economic Development (DED),
Government of Abu Dhabi, UAE. The client team for this work consisted of senior level
representatives from DED, ADNOC, Takreer, ChemaWEyaat, Borouge and Senaat
(formerly ADBIC).

Foster Wheeler and IHS Chemical Existing studies previously


collaborated very successfully in undertaken by two stakeholder
“It is worth mentioning that executing this master plan study. companies were reviewed
We provided project management and evaluated.
after the last successful and co-ordination, layout, cost
estimation, logistics and process The master plan study was
interactive discussion and design capability while IHS was completed in April 2013 and
sub-contracted to provide market received positive client feedback.
presentation, H.E. the assessment, social impact,
governance and project The report will be the guiding
Chairman commended all economics capability. factor in determining the level
the work done and your of processing and further
The techno-economic master plan industrialisation that could be
contribution to our study.” study included a comprehensive feasible. This will support the
common/integrated future plan delivery of Abu Dhabi’s Vision
Ayman Al Makkawy
Executive Director, DED
to cover the optimum use of 2030, targeting a 64% contribution
naphtha and liquefied petroleum to GDP by non-oil sectors,
gas for petrochemical projects including petrochemicals, by 2030.
in Abu Dhabi.
The delivery of this vision will
The master plan was translated require significant investment in
into a business case to show the a broad petrochemical-based
impact on the economy of Abu portfolio which includes basic
Dhabi, its competitive position chemical building blocks and
and economic attractiveness. downstream derivatives.

Right: Sheikh Zayed Grand Mosque, Abu Dhabi

20 FW NEWS
“Our technical and project execution capability and expertise
cover all phases of world-scale petrochemical projects and
this, together with our proven capability in providing expert
consultancy and master planning services, meant we were
perfectly placed to deliver this study to assist in providing
a road map for Abu Dhabi's top-targeted industry, towards
achieving its long-term diversification vision.”
Dr Damon J Hill
Senior VP, Business Development, EMEA, Foster Wheeler

FW NEWS 21
FEED win for major upgrade

Gazprom
Moscow
Refinery
22 FW NEWS
“The CORU Project is the most
Our Milan operation has important investment for our
been awarded a contract
to provide the FEED and Moscow Refinery. Timely
design documentation in completion and plant start-up
accordance with Russian are vital for our company, but
norms for Gazpromneft’s
completion of a strong FEED is
Combined Oil Refinery
Unit (CORU) project at a very important first step in the
its Moscow refinery. realisation of this key project.”
Anatoli Moiceevich Cherner
Deputy Chairman of the Board, Gazpromneft

A major investment for We previously executed the


“Developing long-term relationships with Gazpromneft, the CORU project process design package for the
our clients based on project execution is part of a revamping and crude and vacuum distillation
upgrading programme, under units and the gas plant. We
excellence and expanding our served which the refinery will be expect our FEED activities for
markets in Russia are two of our expanded up to 2020 to process the new project to be complete
an additional six million tons by the end of this year, with
strategic objectives. We plan to leverage of crude oil per year and the submission of design
our experience in Russia, our in-depth produce transportation fuels documentation scheduled for
to Euro-V standards. the first quarter of 2014.
refining experience and our reputation for
The CORU facilities are planned
developing high-quality FEEDs to deliver to include crude distillation
a strong performance for Gazpromneft and vacuum distillation units,
a continuous catalytic reforming
to form the basis for a longer-term unit with naphtha hydrotreatment
working relationship.” and hydrogen recovery by
pressure swing adsorption,
Umberto della Sala
a diesel hydrotreater including
President & COO, Foster Wheeler
a dewaxing section, a gas plant
with a liquefied petroleum
gases sweetening unit, and
common utilities.

FW NEWS 23
24 FW NEWS
Integrated bio-methionine &
thiochemicals plant in Malaysia

A world first
Our Malaysian operation is currently working
for Arkema on the world’s first integrated bio-
methionine and thiochemicals plant. This is
also the first thiochemicals platform to be built
in Asia for Arkema, a global chemical company
with operations in more than 40 countries. "We are delighted to be
The ground-breaking facility is being built at the Kerteh Bio partnering with Arkema on
Polymer Park in Terengganu, Malaysia. We have a long track
record of delivering projects in the Kerteh region and are
this strategic investment in
delighted to be supporting Arkema in this strategic investment. Malaysia. This award reflects
Arkema owns a process to produce methyl mercaptan, a the project execution capability
thiochemical and a sulphur-based intermediate that is used
in the production of methionine. Arkema will supply methyl of our Malaysian operation and
mercaptan feedstock to its JV partner for the production of
bio-methionine via a bio-fermentation process from renewable
the wider Asia Pacific region.
raw materials. Bio-methionine is a bio-amino acid used in the We look forward to continuing
production of animal feed.
our successful track record in
We are currently working on the EPC phase of the methyl
mercaptan plant, having successfully completed the pre-FEED delivering projects for Arkema."
and FEED phases. We are providing EPCm services, as well as Roberto Penno
supplying the equipment and materials for the facility. CEO, Foster Wheeler Asia Pacific

The formal ground-breaking ceremony was held on 6 October


2012 in the presence of the Prime Minister of Malaysia and
over 500 guests.

When completed, the facility will provide amino acids for


the poultry feed market and sulphur derivatives for the
petrochemical market.

FW NEWS 25
18
An innovative fast-track
solution for fixed offshore
LNG regasification terminals
The projected growth in global gas demand, and
specifically where LNG imports are needed to meet
that gas demand, is likely to translate into requirements
for faster delivery of LNG regasification terminals.

26 FW NEWS
Combining features from different
offshore concepts, our novel
design, both modular and
scalable, is a fast-track, cost-
effective LNG import solution with
the following characteristics:

• 500 million standard cubic feet


per day (mmscfd) of natural
gas send-out capacity
• Uses proven equipment
• Uses known technology
• Offers high availability
• Is able to deal with a wide
In answer to this challenge, we have range of LNG compositions
developed a novel solution for locations
Our solution consists of a
where an onshore LNG terminal is not regasification unit, with a
an option. Augusto Bulte (pictured), permanently moored LNG ship
proposal manager in our Houston which acts as a storage unit. A
gas pipeline connects to onshore
operation, outlines our solution, recently receiving facilities supplying the
presented at LNG17 in Houston, Texas. gas to the local pipeline grid.

FW NEWS 27
An innovative fast-track
solution for fixed offshore
LNG regasification terminals

Our innovative solution The offshore facilities consist of • Offshore facilities and
enables a permanent the following elements: regasification equipment
installed on top of the platform
installation to be put • A conventional LNG carrier,
in place at a competitive modified and classified to The regasification unit is
price and with a fast-track function as a floating storage constructed so that all the
schedule, with higher unit (FSU), moored to a platform equipment and modules are
which also acts as a jetty integrated, transported and
availability than the
• A jetty/platform with all the placed on a piled concrete
regasification vessel
facilities for mooring ships (LNG platform or concrete caisson at
alternatives, since there carriers and the FSU); ships are the final destination, and can be
is a lower impact from moored on opposite sides of used with almost any available
adverse sea conditions. the jetty and LNG transfer is gas in the LNG market.
carried out using the unloading
arms installed at both sides of
the jetty

FSRU
Estimated parameters for alternative solutions Onshore + tankage
Onshore + FSU
Foster Wheeler solution
BAD

300M$ 541M$ (1) 36m

180M$ 324M$ 22m


18-20m
160M$ 194M$
16m
GOOD

173M$
70M$
Total investment,
Net Present Value (10 years)
including OPEX
Initial CAPEX

Schedule to
mechanical completion

Permits

Restrictions
of applicable
standards

Possibility of
standardisation

Unit efficiency

Note:
This comparison is based on a storage capacity of
150,000m3 and a send-out rate of 500 mmscfd
(1)
Including FSRU charter rate

28 FW NEWS
Typical plot plan Float-over operation
The loading platform (including mooring Modular plant delivered in one module
and fendering system) and dolphins will as shown in the scheme, using a semi-
serve to host the shuttle LNG carrier and submersible ship (float-over).
unload the cargo via arms to the FSU.

The plant is designed to comply The compact regasification In summary, our novel design for
with International Maritime concept, which is 70m x 50m, a fast-track cost-effective LNG
Organisation and other allows a more standardised and import terminal using proven
classifications such as DNV. modular civil infrastructure equipment and technology is able
The system is designed and approach to be adopted to to handle a wide range of LNG
manufactured according to support a fast-track schedule. compositions, and offers high
DNV guidance for offshore availability. Construction
regasification installations. Cellular reinforced concrete execution is based on proven
caissons can be used, comprising methods, similar to any other
Due to the challenges of working a base slab and vertical walls. offshore upstream facility. Our
offshore, our construction innovative design can meet
strategy is based on: The regasification unit is placed aggressive schedules and is
on the caisson and the two flexible in terms of site selection.
• Minimising work offshore elements can be transported
at site together, with the caisson
• Minimising the construction functioning similarly to a barge.
period
Once the caissons arrive
• Designing for modularisation To read the full version of Augusto’s
at site, they are ballasted down,
which is possible since part of LNG17 paper please visit our website
The plan would be to deliver the the caisson is still open. The www.fwc.com/publications/index.cfm
modular plant in one module, deck slab is cast in situ later.
using a semi-submersible ship For more information, or to talk to our
(float-over). LNG experts, please contact us at
solutions@fwc.com

FW NEWS 29
Another stride
forward in China
Foster Wheeler forms JV with CEFOC

BEIJING
TIANJIN

SHIJIAZHUANG

SUZHOU
SHANGHAI

“In Foster Wheeler we recognised a partner with quality


management systems and execution practices that will allow
us to improve our technical capability and management
quality in the fields of engineering design, project
management and project contracting.”
Shigang Chen
President, CEFOC

30 FW NEWS
“This is the culmination of a
great deal of work by many
people in both organisations.
It will enable us to deliver the
full value chain of services
that our clients in China are
demanding, and represents a
key milestone in our growth
strategy in China. This is truly
an exciting development for
our business here.”
Eoin Quirke
GM, Foster Wheeler (Hebei)
Engineering Design Company Limited

On 6 May 2013, in a major development This new JV company is fully The existing PECHDI offices in
licensed to engineer, procure Shijiazhuang, Beijing, Tianjin,
for our business in China, we signed an and construct process facilities and Suzhou will become part
equity purchase agreement with in China under single contracts. of the new JV company. These
CEFOC, to purchase a 49% share in are already well-established
It possesses Class A design operations, having served clients
their Chinese Design Institute, PECHDI. in the refining, chemical,
licences in the ‘Chemical,
The co-owned design institute is now a Petrochemical and Pharmaceutical’ petrochemical and pharmaceutical
new joint venture named Foster Wheeler industry. Under Chinese law, sectors for 60 years.
this industry grouping includes
(Hebei) Engineering Design Company
other key business sectors for Combining PECHDI resources
Limited, through which our Global Foster Wheeler: upstream, and our Shanghai operations
Engineering & Construction Group and refining and power. immediately creates a workforce
of more than 600 qualified
CEFOC will execute business in China.
We have management control technical personnel.
of the new company, whose
management centre will be our
Shanghai operation.

FW NEWS 31
VESTA SNG Technology
Major step forward

We have signed a co-operation agreement with Clariant International AG


and Wison Engineering Ltd to build a pilot plant to demonstrate our
VESTA substitute natural gas (SNG) technology. The pilot plant will be
constructed in China and is planned to go on-stream during 2013.

Under this agreement, Wison The VESTA SNG technology is


Engineering will provide based on once-through operation
“We are extremely
engineering and construction with no recirculation, avoiding
services, we will license the expensive compressors. The pleased to announce this
technology, and Clariant will technology is based on a co-operation agreement
supply the proprietary developed maximum operating temperature
catalyst. The plant will be of 550°C, avoiding any metal with Clariant and Wison
operated by Wison Engineering. dusting formation and enabling Engineering. Focused
relatively simple reactors to on China, the world’s
The co-operation agreement also be used.
sets out a framework for long- largest SNG market, this
term co-operation to deliver and The technology can operate with is an important first step
build methanation plants in China syngas from any commercial
based on VESTA SNG technology. gasification technology and is
in establishing our ability
designed to be simple and safe to to address the global
Our VESTA SNG technology is operate and to be implemented SNG market.”
a novel methanation technology at a low total investment cost.
designed to produce SNG from Umberto della Sala
President & COO, Foster Wheeler
synthesis gas obtained from
gasification of either coal or
petroleum coke.
Above, seated left to right: Luigi Bressan, Director of Process and Technology, Foster Wheeler Italiana;
Jeff Braden, Director of Business Development - Syngas, Clariant International AG;
Chen Huimei, Vice President, Wison Engineering Ltd

32 FW NEWS
Lomellina waste-to-energy
On 13 March, our Milan operation was delighted to
host a visit to its offices and the Lomellina waste-to-
energy (WTE) plant by Steven Demetriou, Non-
Executive Chairperson of our Board of Directors.
After meeting senior management of the Milan team, a small group
visited Lomellina Energia’s WTE plant located 40 km from Milan. This
is one of the power plants built by our Milan operation on a build-own-
operate basis, and burns 380,000 tonnes per year of municipal and
industrial waste, producing 40 MWe of power.

The plant, which was built in two phases, includes two lines based on
our proprietary circulating fluidised-bed boilers. The first line entered
commercial operation in 2000, the second in 2007.

Above, left to right:


The visit concluded with a view of Vigevano’s famous Piazza Ducale and,
Rosa Domenichini, Director, Power Division, of course, Italian hospitality and cuisine!
Foster Wheeler Italiana (FWI); Umberto della Sala,
President & COO, Foster Wheeler; Steven J. Demetriou, The other power plants built on a build-own-operate basis by us in Italy
Non-Executive Chairperson, Board of Directors, Foster are two combined cycle cogeneration units at 150 MWe each, and three
Wheeler AG; Marco Moresco, CEO, FWI; Daniel Sonnino,
wind farms with an overall installed capacity in excess of 100 MWe.
Director Contract Operations, FWI

Our project development team is currently developing about 250 MWe of


wind projects not only in Italy, but also in other countries where we have a
strong presence, combining our development and power expertise with our
deep knowledge of the local environment: two key elements for success.

FW NEWS 33
Energy management
& asset optimisation
In recent years we have
delivered energy
management and asset
optimisation workshops
to a number of clients.

At the start of this year we These events combined our


delivered one-day workshops to technical and operational know-
Whether you operate a refinery, two operating companies in the how with case studies to identify
chemical facility, LNG plant or Far East. gaps and opportunities in current
upstream facility, we can help you asset performance whether they
deliver energy savings. For more Both events were well-attended are design or operations related.
by senior management from the
information, please contact us at
facility operations, maintenance Attendees brought to the meeting
solutions@fwc.com and technical services their plant information and data
departments, with the emphasis on which was used to assess the
engendering a highly participative current facility performance
sharing of innovative ideas for against best-in-class benchmarks.
enhancing energy performance. Improvement ideas were shared
and debated and areas for
There are many ways to optimise possible further investigation
facility assets and energy were agreed.
performance, including investing
in plant enhancements, better These enthusiastically embraced
planning and scheduling, all the workshops provide a relaxed
way to improved hourly operation and informal opportunity to
and minute-by-minute control. ‘brainstorm’ possible areas for
improvement, drive the setting
Mike Whitling, manager of asset of best-in-class performance
operations and consultancy objectives, and help ensure that
(pictured left), and Mike Green a wide range of options and
(right), principal process opportunities are effectively
consultant, both from our UK identified and discussed, prior
operation, facilitated the events. to entering a more detailed
study phase.

34 FW NEWS
Valero Refinery, UK
Evergreen agreement
Our UK operation has signed an evergreen agreement
to provide services to Valero’s Pembroke Refinery.

We will provide home office FEED and detailed “We know this refinery well, having
engineering design services to support new executed projects for the refinery since
development and modification projects at the
Pembroke Refinery. We will also provide other
the 1980s. The combination of our
support services including project control and knowledge of the refinery, together
cost estimating. with our in-depth refining expertise,
particularly in revamp projects, and
Valero acquired the Pembroke refinery in 2011.
our flexible and responsive team,
Opened in 1964, the refinery is one of the
largest, most complex refineries in Western gives us an excellent opportunity to
Europe. Its products include gasoline, diesel, build a strong, long-term relationship
kerosene, and petrochemical feedstocks. in the UK with Valero. We have already
successfully executed projects for
Valero elsewhere, particularly in
the US.”
Filippo Abbà
Chairman & CEO, FWEL

Image: Courtesy of Valero

FW NEWS 35
Our work on our EPCm contract at Sasol’s C3
Stabilisation Project at its Secunda facility in
South Africa is now well into the construction phase.
Work started in early 2012 and is currently targeted
to be completed by the end of the year, with
commercial operation planned for mid-2014.

Sasol C3
Stabilisation
Progressing safely

Above: Portion of the panoramic view of the bullet area after the final lift
Right: Bullet 4 delivery - flagman directing the truck to the lifting area

With thanks to Sasol for its kind permission to publish this article

36 FW NEWS
The project has recently A successful shutdown was
celebrated the successful completed in April to allow the
installation of all the vessels installation of the piping,
(‘bullets’), each of which weighs instrument and electrical tie-ins.
500 tons and is 56 metres long. The civil and structural steel
The vessels have been installed contracts are nearing completion
as per the original schedule. and the main focus is now on
The objective of the project is They are currently being insulated piping installation.
to stabilise the C3 value chain with a new type of fireproofing
in Secunda by de-linking the insulation which is a combination All those involved in the project
extremely tight integration of foam glass tiles and an epoxy have worked together very well
between the upstream Synthol coating. The thousands of foam so far, and we are delighted to
reactors, propylene extraction glass tiles are individually glued report that this progress has been
units and the downstream onto the surface of the vessel. achieved with no recordable
chemical plants. Six buffer This insulation of the vessels is safety incidents, and is on-track
vessels are being installed, which expected to take eight months. to complete on schedule.
will store more than 6,000 cubic
metres of propylene.

FW NEWS 37
Triumph
of meticulous planning at Kinneil

38 FW NEWS
We recently undertook the movement of
a 450-tonne module from Immingham
on Humberside to the BP Kinneil site at
Grangemouth, Scotland. This was the
heaviest module that we have designed
and shipped within the UK in the last
ten years and from the onset involved
close co-ordination between BP and our
teams based in Reading, Immingham
and Grangemouth.

In today’s intensely safety-conscious environment,


legislation demands that risk is minimised and
managed effectively. We are highly skilled in this
area, having our own team of expert engineers and
supervisors dedicated to the careful and meticulous
engineering, planning and supervision of these major
handling operations.

The Enhanced Gas Separation Project (EGSP) has


the primary objective of allowing BP’s Kinneil gas
plant to process crude oil with a higher gas to oil
ratio. We executed the concept study, FEED, and the
engineering and procurement for this project. During
the FEED it was agreed that a modular approach
would be adopted, maximising work off site and
providing schedule assurance.

The 450-tonne module, 23 metres long, 13.5 metres


wide and 19 metres high, plus a second module
weighing 110 tonnes, were loaded onto a barge at the
GDF Suez Fabricom module yard at Immingham on
8 January 2013. The modules contain heat exchanger
equipment and associated ancillaries to cool the
outgoing crude oil from Trains 1 and 2 at BP’s
Kinneil Terminal.

Less than two weeks later the large module was


landed on its foundations to bring an end to a hugely
successful operation that was over two years in the
planning and involved a number of third parties.

The planning had to take account of some significant


challenges, including the restrictions along the
2.5 mile route from Grangemouth docks to the site.

One of the most critical of these challenges was the


width restriction created by the Avon Bridge. This
limited the span of the transportation trailers which,
in turn, meant that the weight and centre of gravity of
the module had to be carefully engineered to ensure
the transport operation would be stable. In addition,
the entrance to the site limited the overall module
width at its base to around 10m.

FW NEWS 39
Triumph
of meticulous planning at Kinneil
All of the restrictions had to be
taken into account and provided
the dimensional envelope within
which the engineers had to work
when designing the module.

In order to verify the route, the


project team engaged a third-
party transport consultant to
study all aspects of the
movement of the main module
and identify any street furniture
that had to be removed for safe “My gratitude goes to
access and ensure that there
were no ‘showstoppers’. all the people involved
in the move as well as
Once the module route had been
developed and agreed by the those who designed
project team, it had to be and built the units,
discussed with and approved by
a number of local stakeholders, Foster Wheeler and
including Grangemouth Ports
Fabricom respectively.
Authority, Falkirk Council, INEOS
Refinery, The Highways Agency This is a significant step
and the local police.
in delivering a successful
During the early stages of project and realising the
engineering, the project team also
engaged a marine consultant to
mission to start up these
assist with the module and sea modules in 2013,
fastening design.
releasing operating
As the detailed engineering was capacity for the
being developed, contracts for
the module fabrication, site
participating shippers,
mechanical, site civils and inclusive of Kinnoull.”
transportation/installation
were awarded. Tudor Evans
EGSP Senior Project Manager
The GDF Suez Fabricom yard North Sea Regional Project Team, BP
in Immingham was selected to
fabricate the modules and
Mammoet were contracted to
provide overall ‘cradle to grave’
transport services from the
fabrication yard to the site,
including installation.
Left (top to bottom):
Mammoet was also responsible
for lifting the 150-tonne upper The modules on barge passing
module assembly onto the lower through the Firth of Forth towards
the Forth Bridge
section at the module yard using
the world’s largest telescopic The 450-tonne module en route
crane, 1200-tonne capacity, as to the Grangemouth site
part of a combined tandem lift.
Module travelling over Avon Bridge

40 FW NEWS
The route from the Fabricom • Re-configuration of trailers at
works to Immingham port was site - the trailer configuration
checked as part of the module from Grangemouth docks to the
yard pre-qualification process site was governed by the width
based on the module design of the Avon bridge. The trailers
weight and dimensions. had to be reconfigured at site
to accommodate the spacing
There were, however, some of the foundation plinths.
gradients en route that had to
be analysed and Mammoet was • Site ground conditions -
additionally contracted to carry existing conditions along the
out a detailed route survey to the roads at site were generally
local port and to create a 3D high- poor and had to be upgraded
definition animation of the whole along major sections to
movement from the fabrication accommodate the wheel
yard to the foundation at site. loading from the trailers.

This proved to be very beneficial • Transport through the


and was used by the project team PetroIneos refinery – this
in presentations to all contractors needed close co-ordination
and third parties. between the BP and PetroIneos
owners, but this meant that
As the project developed, other any disruption of fuel tankers
challenges had to be overcome, leaving the Grangemouth
including: refinery could be minimised.

• Weight control - critical to There were a number of different


ensuring that bridge loadings teams involved in ensuring that
along the route and trailer the movement from Fabricom’s
stability limits were not module yard to site went safely
exceeded. The module weight and smoothly and a great deal
had to be carefully monitored of work went into ensuring
throughout. It was weighed that every team understood
accurately using calibrated load its responsibilities.
cells prior to sail-away at the
module yard. The modules passed under the
famous landmark Forth Bridge in
• Installation sequence – a the late afternoon of 12 January,
second, smaller module was providing some excellent photo
shipped to site and installed opportunities for the many
first. It was temporarily raised onlookers.
by about one metre using
climbing jacks so that it did All transport operations went
not interfere with the trailers safely and extremely well over
delivering the main module. a two-week period thanks to the
This required very careful meticulous planning and attention
planning during the to detail that took place during
engineering phase. the engineering phase.

Images: Courtesy of BP Exploration


Operating Company Limited

FW NEWS 41
Engineering
the future
Key role for our young professionals
We are members of the European Construction Institute (ECI)
and in November 2012 were invited to participate in the
Young Professionals Task Force (YPTF).

42 FW NEWS
shaping the future
of our industry

The task force will look at


communication through the supply
The aims of the YPTF are:
chain, communication techniques,
The ECI’s goal is to strive to improve • To enable young professionals from information flow, software usage and
the competitiveness of its members ECI member organisations to build project team structure and engagement.
through the application and sharing on their knowledge and expertise The team’s final report on this topic
of knowledge so that ECI member and increase their industrial profile was presented at the ECI’s annual
organisations can meet the challenges • To create a strong young conference in July 2013.
of world-class project delivery in the professionals’ network and develop
engineering construction industry. high-value relationships and contacts The members of the YPTF will potentially
across the industry have the opportunity to progress into
Four of our young engineers, Stephen • To undertake research projects that other ECI task-force groups.
Fortune, Matteo Mandelli, Valerio Pace will help shape the future direction of
and Craig Shuter are part of the task the industry and the ECI Enabling young engineers to become
force, which comprises 13 individuals, actively involved in shaping the future of
with varying levels of experience and The task force is focusing its initial our industry is something we strongly
expertise, and from various ECI research on information flow within encourage here at Foster Wheeler.
member organisations. projects, which impacts decision-making,
attitudes, efficiency and progress, with
particular emphasis on the challenges of
geographically dispersed and culturally You can find more about the
diverse project teams. ECI at www.eci-online.org

Pictured: Stephen Fortune (top left); Matteo Mandelli (top right);


Craig Shuter (bottom left); and Valerio Pace (bottom right)

FW NEWS 43
Teesside, UK

The world’s
largest plasma
gasification project
We are the EPCm contractor for Air
Products PLC’s energy-from-waste
facility on Teesside. This ground-
breaking facility is the world’s
largest plasma gasification project
and the first of its kind in the UK.
Construction is now in full swing,
with major equipment deliveries and
installation for the power generation
section almost complete.

“The installation of the gasifier


was the culmination of an
integrated effort by all our The heart of the process is the plasma gasifier that will daily convert
950 tonnes of municipal solid waste to syngas, which will then be
construction contractors on site. consumed in the power generation section. In May, the site took
delivery of the main gasifier vessel which was transported carefully
We had to use precision surveying from the Tees River to site along three miles of narrow local roads.
and custom-made shims to allow To celebrate the gasifier installation and for the achievement of
250,000 hours worked on site safely with no recordable incidents,
the gasifier vessel to be installed Foster Wheeler and Air Products senior management teams took the
to the required tolerances. The opportunity to host a safety celebration breakfast at site to thank the
workforce. The celebration included HSE presentations and awards for
professional approach by everyone the site workers who have demonstrated excellent commitment to our
Zero Harm philosophy.
involved made this happen safely
Once operational in 2014, the plant is planned to generate 50 MW
and on schedule." of power to provide renewable energy for up to 50,000 homes.

Barry McConnell We are also pleased to be working with Air Products on its plans for
Resident Site Manager, Foster Wheeler building a second energy-from-waste plant which is subject to relevant
approvals later this year.

We are also assisting Air Products in generating a mechanical integrity


programme for the site. Our operations and maintenance team is
gathering engineering data to enable Air Products to implement this
programme, covering pressurised systems that are new to Air Products.

Left: Main gasifier vessel


Above right: Lifting of gasifier into position at site Images: Courtesy of Air Products

FW NEWS 45
2
IRAQ CRUDE OIL EXPORT EXPANSION PROJECT

PHASE well underway


46 FW NEWS
Since completing the FEED for the Iraq Crude Oil Export Expansion Project (ICOEEP)
in 2010, we have been working as project management consultant for Iraq’s South Oil
Company (SOC), managing a programme of projects, overseeing the EPC contractors
for each of the two phases of the export expansion programme. We are also managing
the free-issued materials ordered as long-lead items during the FEED phase, and
administering survey works, operations and maintenance contracts for the offshore
facilities, as well as developing contracts for the removal of the wreck of a supertanker
in the vicinity of the single-point mooring (SPM) operating areas.

FW NEWS 47
2
IRAQ CRUDE OIL EXPORT EXPANSION PROJECT

PHASE well underway

Phase 1 of the expansion


programme included the
provision of the onshore and “South Oil Company looks forward to the
offshore pipeline system, together
with the installation of four SPMs.
successful implementation of Phase 2 of
The first two of these SPMs have this project, which will realise ICOEEP’s full
been operational and exporting oil
since March 2012. The second potential, providing a total of 3.6 million
two SPMs will come on line when
Phase 2 is complete. barrels per day of export capacity. We
SOC signed the EPC contract for
continue to work closely with Foster Wheeler
the second phase in October during Phase 2’s critical construction phase.”
2011, for which the scope
includes the fabrication and Dheyaa Jaafar Hyjam
installation of a central metering Director General, South Oil Company
and manifold platform (CMMP)
connected via a footbridge to the
existing offshore export facility, Facilities to be installed on the The detailed engineering, design
the Al Basrah Oil Terminal. CMMP include four metering and procurement activities,
skids, scraper launchers and performed in Milan, Italy, are now
The CMMP will receive crude oil receivers, a pedestal crane, and largely complete. Work on the
through the two 48” pipelines control facilities including a state- topsides structure started in May
installed during Phase 1. The of-the-art supervisory control and 2012, with all fabrication, erection,
pipelines will be controlled and data acquisition (SCADA) system painting, testing and pre-
metered via operations on the and telecommunications facilities. commissioning works performed
CMMP, with the oil then in Karimun Island, near Batam, in
distributed to the four SPMs The deck will be transported Indonesia. The 2,000-tonne jacket,
for loading onto tankers. The from Indonesia to Iraq on the the link bridge and its supporting
complete delivery system is back of a 50,000-tonne heavy tripod are being fabricated in
designed to support exports of transportation semi-submersible Dammam, Saudi Arabia.
up to 0.9 million barrels per day vessel. Once the jacket is
from each of the four SPMs. installed and piled, the topsides We have also recently mobilised
deck will be installed by a float- our resident team to the United
The CMMP deck comprises a over operation using the same Arab Emirates, which is the
three-storey, 30m-high topsides semi-submersible vessel. overall co-ordination and logistics
structure, weighing approximately base for the project during the
9,000 tonnes, which will be A very familiar situation for us, installation phase of the CMMP
supported by a 40m-high support Phase 2 spans multiple execution in Iraqi waters. We run our Iraq
structure (jacket). centres around the globe and our operations from Basra, also the
experienced teams are resident in key location for our co-ordination
all of these execution centres to with SOC.
manage and oversee the
completion of the works.

Previous page: Topsides structure, north side,


Karimun Island, Indonesia

Opposite: FW's Nigel Gallagher (left), Project


Management Team Yard Manager, and Eddie
Raymond, Welding/QC, at the Dammam Yard,
Saudi Arabia, in front of the CMMP jacket

48 FW NEWS
“This second phase of the project
will double the export capacity
expansion achieved in Phase 1.
Foster Wheeler is pleased to be
playing a key role in helping Iraq
realise its oil export objectives.”
Filippo Abbà
Chairman & CEO, FWEL

Above (left to right): George Lavelle, Chief Field Engineer; Ian Turner, Mechanical & Piping
Engineer; Russell Browning, Turnover & Completions Co-ordinator; Derek Watson, HSE
Advisor; Steve Brown, Resident Construction Manager; and Kevin Oliver, Project Engineer,
all from FW, at Karimun Island, Indonesia

FW NEWS 49
Changing
the skyline
Heavy lifts completed at IOCL Paradip

50 FW NEWS
The skyline at Paradip, Orissa
State, India, home of Indian Oil
Corporation Limited’s flagship
15 million tonnes per annum
grassroots Paradip Refinery
Project, has changed significantly
over the intensive construction
period of the last two years.

“The successful conclusion of all We are the overall managing project management
contractor (MPMC) and also PMC for a number of
heavy lift operations represents a process units and the utilities and offsites facilities.
major milestone for the IOCL Paradip
Amongst our many MPMC responsibilities has
Refinery Project and is testament to been the management and co-ordination of all
the leadership, dedication, and high heavy transportation and lifting operations on
behalf of the major EPC contractors and
performance of all those involved consultants engaged on the project.
from IOCL, Foster Wheeler, the
This significant undertaking was completed during
heavy lift contractor, and the various February 2013 with a total of approximately 20,000
tonnes of complex equipment items successfully
EPC contractors.”
installed, a record by any standard. 35 major
Filippo Abbà equipment items each weighing 300 tonnes or
Chairman & CEO, FWEL more were involved, while the installation of items
weighing less than 300 tonnes was managed
directly by the various contractors.

Opposite: Partial view of the IOCL Paradip Refinery from the south
Above, left to right: Transportation of the CDU column - 790 tonnes, 72m(l) x 12m(d); transportation of
one of the four coke drums, each weighing 630 tonnes; transportation of the VDU column - 978 tonnes,
58m(l) x 16m(d); lifting of one of the two alkylation settler vessels - 414 tonnes, 45m(l) x 4.6m(d)

FW NEWS 51
Changing
the skyline
“The Paradip project achieved another pioneering breakthrough
with the erection of four of the world’s largest coke drums for
the delayed coker unit, based on our SYDECSM delayed coking
technology. Each drum weighs 630 tonnes and is mounted
on top of a concrete superstructure at 35 metres elevation,
the world’s tallest structure of its type.”
Ash Morzeria
Project Director, Foster Wheeler

A total of 15 imported pressure


vessels were transported from
Paradip Port via a purpose-built
heavy haul road along the
coastline to the site. In order not
to disturb a local fishing village,
this road had to be diverted at
one point for a one-kilometre
stretch via the beach.

The Paradip refinery is built


on reclaimed land by the Bay
of Bengal, which made for
interesting ground preparation
challenges! vacuum distillation (CDU and
VDU) columns, towards the end
Among the constant logistics of 2011. We concluded the heavy
challenges at site were road lifting operations with the
preparation, clearance for the installation of the naphtha
movement of cranes and hydrotreater in February 2013.
equipment on a site heavily
congested with materials, and The heaviest single lift of
sterilisation of large areas for tail- 978 tonnes was the VDU column;
swing operations, while keeping the Paradip VDU is one of the
safety at the forefront at all times largest in the world.
Above: Erection of the final (top) section of the propylene and ensuring disruption to
recovery column; fully assembled, this was the heaviest and ongoing, site-wide construction The largest single vessel, the
largest vessel, weighing 1,400 tonnes and 95m in length activities was kept to a minimum. propylene recovery column,
weighing 1,400 tonnes and
The first two vessels to be 95 metres long, was installed
installed were the crude and in three sections with crane

52 FW NEWS
utilisation carefully co-ordinated a maximum capacity of 2,400
with the essential welding and tonnes, was configured specially
post-weld heat treatment of by Mammoet, the heavy lift Above left: Coke drums mounted on top of a
the vessel during a four-week contractor. 35m-high concrete structure
operation.
Above: Lifting of the VDU column on 27 Nov 2011
The leadership, dedication and onto a 25m-high concrete structure
At 73 metres tall, the alkylation collaborative efforts of all those
column, weighing 560 tonnes, involved from IOCL, Foster
was the tallest single vessel to Wheeler, Mammoet and the
be installed in one operation. various contractors have been
exemplary and, following the
The huge cranes operated successful achievement of this
frequently in ‘super-lift’ major milestone, construction
configuration. The main crane works have advanced significantly
used for the CDU, VDU and as the project enters its critical
propylene recovery columns, commissioning phase.
the MSG/PCT-35 crane with

FW NEWS 53
Highlights from around the globe

THAILAND Our Thailand operation has been The plant will be located at Asia
Another PTT win awarded a contract by PTT for a new Industrial Estate, Ban Chang, Rayong,
polymethyl methacrylate (PMMA) Thailand, and is expected to start
facility at Ban Chang. We will execute commercial operation in late 2015.
the FEED for the outside battery limits Demand for PMMA is increasing: it is
portion, and will prepare the ITB often used as an alternative to glass.
package and undertake pre-
qualification and evaluation of EPC “This award confirms PTT’s continued
bids for the entire facility. confidence in the quality of our team,
our responsiveness and our ability to
The new PMMA facility will be based on provide comprehensive, high-quality
technology provided by Asahi Kasei services to PTT across its business
Chemicals Corporation. The two-train portfolio and locations.”
plant is planned to have a capacity of Graham Pope
40,000 tonnes per year, using methyl GM, Foster Wheeler Thailand
methacrylate supplied by PTT Asahi
Chemical Company Limited (PTTAC) and
meta-xylene as feedstock.
Shaking hands, Ruj Suwannasewog (left), Project Leader - PTT PMMA Project, and Chairat Sracoopun, Project Manager,
Foster Wheeler Thailand, surrounded by members of the project team at our Sriracha operation in Thailand

BAHR AIN SOUTH AFRICA


BAPCO five-year agreement signed A NOSCAR winning HSE performance
4th consecutive award
We are very pleased to extend our 20-year
relationship with BAPCO with the signing of a five- Our total score for the 2012 audit
year framework agreement for the provision of which forms the basis of the
engineering consultancy services associated with NOSCAR award was 96%,
the fluid catalytic cracking unit (FCCU) at BAPCO’s measured during a NOSA Grading
refinery complex in Sitra, Bahrain. Audit. NOSA is the National
Occupational Safety Association of
Our services are provided on a call-off basis at South Africa. Our 2012 audit score
BAPCO’s request and most recently have included is a further improvement on our
engineering services to support BAPCO’s successful already impressive 2011 score and
2013 FCCU turnaround. demonstrates that we are serious
Left to right: Justin Hobday, MD, NOSA; Andrew when we talk about striving for
Wilby, HSES Manager, FWSA; Ignatius Louw,
“We have successfully executed a number of projects continuous improvement in
Senior Safety Advisor Home Office, FWSA; Craig
at this complex and are delighted to have developed Gordon-Bennett, NOSA Representative HSE performance.
this agreement which will enable us to deliver our
technical and project execution expertise in a flexible Our South African operation is “Recipients of this prestigious award
and responsive way to support BAPCO and its Sitra celebrating receiving its fourth are recognised internationally as
refinery team in meeting their business objectives.” consecutive NOSCAR award organisations that show measurable
Dr Damon J Hill (National Occupational Safety and remarkable dedication in
SVP, Business Development, EMEA, Foster Wheeler Credited Awards) for health and maintaining the highest levels of
safety performance. The award excellence in occupational risk
presentation was made on management performance.”
10 May 2013 at Summer Place, Justin Hobday
Illovo, Johannesburg. Managing Director, NOSA

54 FW NEWS
PAKISTAN LIBERIA
Refinery Isomerisation Project Minerals and metals win
FEED win
We have been awarded a concept study by
Western Cluster Limited (WCL) for power
plant facilities to serve planned iron ore
mines in Liberia.

WCL plans to build three iron ore mines in


Liberia. Our study will investigate various
options for greenfield captive power facilities
to meet the mines’ expected power demand.
The initial power requirement for the first mine
to be developed is estimated by WCL to be
approximately 70 MW, while the full demand
will be approximately 300-400 MW.

This study will evaluate various power


generation technologies and feedstock
sources as well as options for the supply of
power to multiple operational locations. The
study is expected to be completed during the
third quarter of 2013.

Some of the FW/PRL team with their senior executives: Iain Calcott (3rd right), GM, Glasgow Operations,
FW; Muhammad Ali Mirza (4th right), GM Project Advisory, PRL; Brian Macdonald (5th right), PM, FW;
Asad Hasan (7th right), Senior PM, PRL; Frazer Mackay (8th right), MD, EMEA Upstream, FW

We have been awarded a FEED contract by Pakistan Refinery Limited


(PRL) for its isomerisation project at its refinery in the coastal belt of
Karachi. This project will allow PRL to comply with more stringent
Pakistani fuel quality legislation for gasoline. The FEED is scheduled
for completion during the third quarter of 2013.

We have already worked with PRL on the feasibility study phase of this
project via our Business Solutions Group in Reading, UK.

“We have a long and successful track record in executing projects


designed to meet increasingly stringent fuel quality specifications. Our “This win is in line with our stated aim to build
reputation for delivering high-quality FEEDs, together with our in-depth our position in the minerals and metals sector
technical knowledge and proven project execution capability, will enable as part of our diversification strategy. This
us to assist PRL in meeting its objectives safely and cost-effectively.” award demonstrates our ability to leverage
our recognised capability in power generation,
Filippo Abbà
our project delivery track record and our South
Chairman & CEO, FWEL
African operational presence into the mineral
and metals sector in Africa.”
Dave Lawson
President & Global Leader of Minerals & Metals
Foster Wheeler

FW NEWS 55
Highlights from around the globe

AZERBAIJAN
SOCAR-Foster Wheeler JV
Happy 1st birthday!
Umberto della Sala (pictured, “This was indeed a fast-track success, “I would like to congratulate all
far left), President and COO of demonstrating the genuine interest of us on the progress made to date.
Foster Wheeler, recently visited and commitment of SOCAR and Going forward, we can clearly see
Baku in Azerbaijan on 16 March Foster Wheeler and a real desire for a wide range of possibilities for the
2013. He met with Mr Rovnag long-term co-operation. development of the JV, including
I Abdullayev (pictured, centre), upstream, environmental, wastewater
President of SOCAR, and gave a “This JV company is very lucky to treatment and refining, to name
speech to mark the first anniversary have such prominent ‘parents’ and, but a few.
of the formation of the SOCAR- thanks to SOCAR’s hospitality, the
Foster Wheeler JV. JV team is comfortably housed at “For us in Foster Wheeler, this is
SOCAR’s Oil and Gas Scientific certainly not the first time we have
“It is my honour and privilege to be Research and Design Institute developed such a joint venture for
here today to celebrate this significant premises. The JV has been working the long-term – our successful Foster
event for our two companies. Nearly on pre-FEED and FEED activities for Wheeler BIMAŞ operation in Turkey,
two years ago the idea of setting up the new gas processing plant, part forty years old this year, started in this
a joint business between our two of the planned world-scale oil, gas way. I look forward to the similarly
companies was first conceived. and petrochemicals complex successful development of our JV
By June 2011 we had signed the at Garadag. company here in Azerbaijan.”
MOU, and SOCAR-Foster Wheeler
Engineering LLC was formally
registered on 27 February 2012.

Above: SOCAR's and Foster Wheeler's management looking at the model of the
planned world-scale oil, gas and petrochemical complex at Garadag.

56 FW NEWS
UK
Queen Elizabeth Prize for Engineering
Inspiring the next generation of engineers
In the UK, the Queen Elizabeth Prize for Engineering (QEPrize) has been UK
established. It is a one million pound global engineering prize designed to reward Expanding in the UK
and celebrate individuals who have been responsible for ground-breaking
innovation in engineering, which has also been of global benefit to humanity. New offices in the North East
On 18 June, our Teesside operation in
the UK’s North East celebrated the
official opening of its new office in
Middlesbrough. A plaque was unveiled
by Ray Mallon, Elected Mayor of
Middlesbrough, at a ceremony held at
Centre North East where our new offices
are located. The ceremony was preceded
by a roundtable discussion between
Mayor Mallon and senior executives
from Foster Wheeler.

Our operation on Teesside, now almost


25 years old, specialises in the execution
of small- to medium-sized projects in a
wide range of industries in the UK
and internationally.

With complete project execution


Five joint winners were awarded the first “It was a great honour to be selected to capability, and experience ranging from
QEPrize for their ground-breaking work, be part of such an important event. It has conceptual studies and project cost
starting in the 1970s, which led to the been long recognised that there is a huge estimation to FEED, EPC, commissioning
internet and worldwide web. skills shortage in engineering. The creation and on-going asset support, our Teesside
of this award has raised the profile of operation’s experience includes greenfield,
On 25 June 2013, a reception was held engineering, especially as the award has brownfield, revamp and term service
at Buckingham Palace to celebrate the been granted royal patronage and enjoys projects for the upstream, refining,
inaugural award. Tamara Holmgren, wide-ranging political support in the UK. petrochemicals, chemicals, fine chemicals,
project manager in our Reading operation, Engineering is an incredibly satisfying and power, utilities, pharmaceutical and food
was selected by the Royal Academy of rewarding career and I hope this event will industries. It also enjoys an excellent level
Engineering to represent civil engineering inspire the next generation to see the of repeat business with its clients.
and to be presented to HM the Queen. opportunities that are available.”
Tamara Holmgren
Project Manager, FWEL

FW NEWS 57
Long Lake
SAGD Project
Canada

Images: Courtesy of Nexen

58 FW NEWS
The engineering concept of
designing and executing the
‘generic’ modules positively
impacts the construction
execution, and applying the
‘carbon-copy’ theory in the
module yard ultimately reduces
TIC for our client.

Execution & Management


All aspects of the project were
measured and monitored. Very
important to the execution of
the project was keeping key
personnel present on the job,
so that the technical skills,
competencies, management skills,
initiatives and communication
Three Streams Engineering Concept Well Pad
could be maintained.
Modularisation
(TSE), recently acquired Development Solid project and change
by Foster Wheeler, has TSE designed a ten- and a management was also examined
six-well-pair module, and the and measured, in terms of the
completed both FEED and execution strategy was to take review and return of documents,
forward those designs as and qualitative analysis of
detailed execution of a multi- ‘generic’ for the remaining five specifications, scope, and
modules. One of TSE’s key skills requirements. As well, project
phased scope of work for the is mastering the ‘generic’ module management was measured
concept which is perfected with throughout along with adherence
Nexen Long Lake Steam one of their other long-term to the stage gate process, formal
Assisted Gravity Drainage clients, intended to reduce approval through technical
engineering costs and, more document reviews and change
(SAGD) project and Kinosis importantly, the total installed management approvals.
cost (TIC).
SAGD Phase 1A Facility, Canada. To facilitate the execution of the
The facilities on the first Long project Nexen allowed TSE to act
The Long Lake project is located Lake pad were designed to as an agent to procure material
approximately 50km south of Fort accommodate additional well and fabrication contracts on
McMurray in Alberta. Its central pairs, accomplished using six- its behalf.
processing facility (CPF) is well modules. The facilities on
designed to produce 70,000 the second Long Lake pad were TSE Lessons Learned
barrels per day (bpd) of bitumen designed to accommodate one To reaffirm an old belief, TSE
from the Athabasca Oil Sands additional well pair and the learned that no two companies
deposit. A total of seven modules facilities on the first Kinosis Pad design and implement well-pads
were conceptually designed and were designed to accommodate in the same way. Each client is
procured with a core TSE and two additional well pairs. forced by culture, capital, location
Nexen project team. and circumstance to vary their
The facilities on the second designs to suit their needs.
In addition, TSE’s scope of work K1A Pad were designed to the
included FEED and detailed maximum well-pair capacity; TSE also reaffirmed that solid
design for a 4km steam flowline ten-well module and six-well design and rapid deployment can
utilities corridor to deliver steam modules were used to fulfill be a game-changer from a client’s
and blanket gas from the existing these requirements. capital expenditure perspective.
CPF to the well-pads and to bring
produced emulsion and vapour
to the CPF from the well-pads.

FW NEWS 59
An unbroken track
record in turnarounds
SAMREF Refinery, Saudi Arabia
We have been supporting the SAMREF refinery at Yanbu in Saudi Arabia with
engineering, procurement and construction planning services for their 2013
turnaround. A joint venture between Saudi Aramco and a subsidiary of ExxonMobil,
this complex refinery processes over 400,000 barrels per day of Arab Light crude.

“It was a pleasure to welcome Simon and his team to Reading. We have executed many successful
The kick-off meeting clearly demonstrated the desire to continue turnaround and maintenance projects for
to work closely as a team. I have worked with David Kell, SAMREF since 1995 and have worked on
every turnaround since that date.
ExxonMobil’s project management advisor, over many years and
many projects and, of course, Ali Kharashi, SAMREF’s project
2013 Turnaround & VDU Debottlenecking
manager, is well-known in Reading from his assignment here • FCCU and CCR revamp
during the 2002 turnaround.” • FEED, detailed engineering, procurement
and construction planning
Graeme Lang*
Director, Projects, & Project Sponsor, FWEL
2010 Turnaround
• FEED and detailed engineering and procurement
Replacement sections of both the We are also working on the FEED
fluidised catalytic cracking (FCC) for the tail gas clean-up (TGCU)
2006 Turnaround & 2006 Low-Sulphur
reactor and the regenerator have project and will start the
Automotive Diesel Project
been safely and successfully engineering, procurement and
• Engineering and procurement services
installed. We worked with construction planning in and construction personnel
SAMREF on the detailed design September 2013. The project
of these replacement sections, involves the addition of a new 2002 Turnaround
construction sequencing and the unit, taking its feed from the • Engineering and procurement services
delivery to site of the equipment, sulphur plant, to reduce
up to 400 tonnes in weight and emissions in line with limits set by 1998 Turnaround & Refinery Upgrade
15 metres in diameter. the Saudi Royal Commission. • Regenerator cyclones and internal cone:
engineering and procurement
Other projects were completed In April 2013, a SAMREF
by our team to increase the delegation headed by Simon 1995 Turnaround & FCC Revamp
steam availability in the refinery Downing, projects executive and • Reactor and regenerator head removal and
and to replace a section of a technical manager, visited our replacement: engineering and procurement
stripper tower. offices in Reading, UK, for the
TGCU kick-off meeting. The long-
The seven-week turnaround standing relationship between Right: Regenerator cyclones being lifted from their temporary support ready
was successfully completed Foster Wheeler and SAMREF to be installed onto the regenerator barrel, following their refurbishment
by SAMREF at the end of April was evident at the meeting.
this year.

* After 39 years of service with Foster Wheeler, Graeme Lang retired on 30 July 2013. FW News takes this opportunity to wish Graeme a long and happy retirement

60 FW NEWS
Image: Courtesy of SAMREF
©Ali Rwaished Awad Al Hasawi
BP
Bulwer Island
Heater module shipped four
weeks ahead of schedule
“With the project being managed from Reading, executed by our
fired heater team in India, assembled in Thailand, and shipped
to our client in Australia, it was quite a co-ordination challenge.
However, in the spirit of ‘One Foster Wheeler’, we all worked as
one team and delivered ahead of schedule and on budget, so
congratulations to all involved.”
Martyn Roberts
Manager, Fired Heater Division, FWEL

Main image: Courtesy of BP Refinery


(Bulwer Island) Pty Ltd
Photographer: Chris Garber

62 FW NEWS
In May 2012 we were awarded the
contract to design and supply a crude
furnace to replace the unit originally
delivered by us in 1986 to BP’s Bulwer
Island refinery in Australia. Designed
in line with today’s standards, our
solution for a replacement module
was developed to enable quick
installation at the refinery during a
critical shutdown planned for the
second quarter of this year.

We have now successfully completed


the fabrication of the replacement
furnace in Thailand, and the 130-
tonne tube bank module was safely
loaded onto the ship (pictured right)
for delivery to Australia, four weeks
ahead of schedule.

We also provided technical support to


BP during dis-investment planning for
the original unit.

FW NEWS 63
Pecket Energy
SNG study win
Our Milan operation has been awarded
a contract by Pecket Energy for feasibility,
Santiago conceptual and basic engineering studies, and
to develop an overall investment cost estimate,
for a substitute natural gas (SNG) production
facility to be built near Punta Arenas, Chile.

The main objective of the project is to produce syngas to be used as


CHILE a clean feedstock for SNG production. The SNG will be distributed to
the existing grid in the Magallanes region of Chile for domestic and
industrial consumption.

The new facility encompasses several state-of-the-art units, including


air separation, partial oxidation for syngas production, syngas
treatment, acid gas removal, methanation and solid sulphur production.
Our study should be complete during this summer.

Focused on coal-based energy business development, Pecket Energy


belongs to ICV, a Chilean company which has been active in mining and
infrastructure developments in Chile for more than 50 years.
Punta Arenas

Left to right: Alex Andersen, Coal Gasification Development Director, Methanex; Enzo Gioviale, Director
of Commercial Operations, Foster Wheeler Italiana (FWI); Pablo Benario, CEO & Director of Pecket Energy;
Silvio Arienti, Director of Process, Power Division, FWI; Alvaro Mendoza Negri, Executive Vice President
of Ingeniería Civil Vicente (ICV); Jose Luis Fernandez Bris, Managing Director, Foster Wheeler Iberia;
Maurizio Furia, Senior Proposal Manager, FWI

64 FW NEWS
Vote of confidence
IRPC at Rayong
In 2010, Integrated Refinery Following successful completion The DCC will produce
of the Phase 1 workscope up to petrochemical feedstock, including
Petrochemical Complex Public EPC contractor selection, we are ethylene, propylene and aromatic
Company Limited (IRPC) delighted to continue our key role in naphtha. The project is scheduled
awarded us a phased release this project, having been released for completion in 2015.
to continue into the PMC phase.
contract for licensor selection
FEED, EPC construction IRPC is part-owned by PTT and “We are delighted to continue
contractor selection and PMC for operates a fully integrated complex our successful working
at Rayong, which comprises a relationship with IRPC, with
the Upstream Project for Hygiene 215, 000 barrels per day oil refinery whom we have worked on
and Value Added Products (UHV) and downstream petrochemical
key investments, including
at its integrated complex at production facilities.
a combined heat and power
Rayong, in Thailand. The objective of the UHV project is plant and a propylene plant,
to upgrade, with the installation of as well of the first phase of
a new deep catalytic cracking unit this project. This is a strong
(DCC), high-sulphur atmospheric vote of confidence in the
tower bottoms and mixed quality of our team and our
butane/butenes from IRPC’s new project execution.”
propylene plant.
Graham Pope
GM, Foster Wheeler Thailand

Left to right: Lersak Thongruang, Project Manager UHV Project, IRPC; Derek Ford, Construction Manager, FW Thailand; Peerapong Achariyacheevin, Project Sponsor UHV
Project & Senior Executive VP, IRPC; Clive Welland, Project Director, FW Thailand; Sahaschai Panichapong, Senior Executive VP, IRPC; Graham Pope, GM, FW Thailand;
Vasan Sereesongsaeng, Project Director UHV Project, IRPC; Songdej Manojinda, Project Manager, FW Thailand

FW NEWS 65
Supporting

Engen’s strategic
Transnet’s new multi-product
pipeline (NMPP) is currently being development
constructed between South Africa’s
east coast at Durban and
Johannesburg. It is expected to be
completed at the end of 2013 and
has a planned 70-year design life.
The current pipeline is 45 years old,
nearing the end of its design life,
and is running at full capacity, and
new capacity is required to supply
growing inland markets.

66 FW NEWS
Engen is a refiner-marketer of petroleum and related
products, and operates the Engen Refinery in Durban,
South Africa’s second largest refinery. For Engen to
maintain its market share post-2013, it needs to use
the NMPP.

This, in turn, means that new Engen infrastructure will


be required in the form of tank modifications, pumping
systems and pipelines from Engen’s tank farms to the
Transnet Durban terminal (TM1).

Engen’s investment to meet these new requirements is


a phased programme called the NMPP and Associated
Infrastructure Programme. It comprises three projects:

1. Engen terminals IVB and IVC and feeder-lines to


TM1 – our South African operation is the EPCm
contractor
2. Back of berth piping – our team completed the
FEED and is now working on the detailed
engineering
3. Installation of additional infrastructure at Engen
terminal IVD – scheduled for 2015

The first project is intended to link Engen’s IVB and IVC


product terminals to the NMPP coastal terminal. All fuel
products (diesel, gasoline and jet fuel) will be stored at
IVB while only diesel and gasoline will be stored at IVC.
The tanks at IVC will be made interchangeable for diesel
and gasoline fuel products

Five new pumps are being installed at IVB and IVC to


pump fuel products to the Transnet NMPP facility, as is
suction and discharge piping, including manifolds, to
support the pumping systems. The flowrate to NMPP
is expected to be 1,200 m3/h.

Other new equipment includes two new substations,


a new distributed control system, civil and structural
infrastructure, three new dedicated 16” lines from IVB,
past IVC, through to NMPP, a jet line tie-in at IVB from
the SAPREF (Shell/BP JV) Durban refinery, and various
jump-over piping to provide future flexibility.

As this is a brownfield project, numerous challenges


have had to be overcome, including unexpected
existing underground services. This has resulted in
extensive underground probing needing to be carried
out prior to the piling operations. The first project is
expected be completed in two phases, in the first and
Image: Courtesy of Transnet second quarters of 2014.

FW NEWS 67
U P S T R E A M A W A R D I N R U S S I A

Supporting
Repsolin its strategic plan
“This project award success has been
a good example of joint collaboration
among the ‘Foster Wheeler family’
to combine our long-standing client
relationship, our upstream technical
expertise and our ability to work with
Russian norms to meet all aspects
of our client’s expectations.”
Sergio Gonzalez
Senior Proposal Engineer, Foster Wheeler Spain

68 FW NEWS
We have been awarded an upstream project in West Siberia by Russian exploration
and production company Eurotek. This company is incorporated in a joint venture
formed by Repsol and its partner Alliance Oil for the execution of this and further
similar projects in Russia.

Repsol, the Spanish oil and gas company with an international presence, is a long-
standing client of Foster Wheeler. As part of Repsol’s 2012-2016 Strategic Plan, it
plans to invest around €20 billion, with more than three-quarters of that total
earmarked for the upstream sector.

This project involves the facilities to enable gas injection to


integration of a new booster help maintain gas production and
compression system with existing compensate for the predicted
‘One Foster Wheeler’
onshore gas facilities in the wellhead pressure reduction that For us, this project illustrates our ‘One
Syskonsynyinsky field in the Repsol forecasts for 2015. This is
Khanty-Mansiysky region of a key project for Repsol, the first
Foster Wheeler’ philosophy in action.
West Siberia, part of the Russian of its kind since Eurotek became The proposal phase has been led by
Federation. We will deliver the part of this joint venture. our Madrid operation and the project
pre-FEED and FEED and are
working with a Russian design The Syskonsynyinsky field execution will be co-ordinated in close
institute to provide the facilities comprise a gathering collaboration with our Moscow office, in
documentation to Russian norms system, a gas processing plant
line with Repsol’s requirements. Moscow
that is required for our client to and an export system with
seek Russian Authority approval production from eight wells. The will also co-ordinate with the Russian
for the project. gas produced will be injected into design institute that is preparing the
the main Gazprom gas pipeline
The objective is to install the system located approximately documentation to Russian norms. Our
booster compressor system in 5km to the south of the central operation in Paris is also involved,
the existing field development part of the field. bringing its extensive experience in
onshore upstream gas projects.

FW NEWS 69
idea zone
We continue to showcase our ME-Tech Russia Executive Summit
upstream and downstream Dubai Dubai
We again had a high profile at Held straight after ME-Tech, also
expertise and innovative this event, which covers gas in Dubai, this event attracted
solutions around the world at processing, refining, residue senior decision-makers from
upgrading and petrochemicals. Russia/CIS. Dr Damon J Hill, SVP,
a variety of leading events. Our international team included business development, EMEA,
experts from Abu Dhabi, Dubai, gave a plenary session on 21st
Italy, Russia, Saudi Arabia, UK century market drivers: the journey
and USA. to zero residue refining, and Luigi
Bressan, director of process and
We kicked off with a pre- technologies in our Milan office,
conference seminar. Well-attended discussed Hydrogen production
and interactive, this half-day cost reduction: Foster Wheeler’s
Foster Wheeler Idea Zone session unique Terrace WallTM steam
run by our subject matter experts, reforming technology.
discussed solutions to address
today’s refining challenges in the Russia BBTC
region through the clever
application of world-leading Moscow
technology, combined with best The Russia & CIS Bottom-Of-The-
practice in design and operation. Barrel Technology conference once
again gave us the opportunity to
As well as an exhibition stand to showcase our Russian presence,
help delegates locate our experts, track record and experience, and
we also presented three papers: our world-leading technologies.

• Andy Allen, our global Luca Mancuso, power process


chemicals business line leader, manager in our Italian operation,
discussed Syngas - the future's presented PetroPowerTM and
ethane? Petro-XX-Power: strategic options
• Dan Carter, global consultancy for power, hydrogen and chemicals
leader, presented Towards a production in Russia, and Steve
zero (net) carbon refinery Sock, commercial director of
• Mike Phillipson, study manager our US operation, discussed
in Dan’s team, talked about one of our leading technologies,
Gas-to-liquids, an attractive Solvent deasphalting – the key
option for unconventional gas? to unlocking additional profits
when processing residues.

Both papers were so successful,


we were asked to present them to
a new audience at the International
Bottom-of-the-Barrel Technology
Our papers and presentations are available on our
Conference in Dubrovnik later in
website at www.fwc.com/publications/tech_papers the year.

You can also contact us at solutions@fwc.com if you


are interested in discussing any of these topics

70 FW NEWS
LARTC LNG17
Rio de Janeiro Houston
Latin America is a very successful Held every three years, this huge
market for us. At this year’s Latin LNG event was again very busy
America Refining Technology and our large stand, staffed by an
Forum, we presented a paper on international team of our experts,
Opportunities to maximise high attracted a non-stop stream of
value products and profitability visitors. Augusto Bulte, one of our
through zero residue refining regas experts, now based in our
and our presenter Scott Shorey, Houston operation, presented
US business development An innovative solution for fixed
director, answered many offshore LNG regasification
questions on this key topic from terminals in the main conference
the very interested audience. (see page 26).

For the first time in the region, Global Refining Summit


our team of experts delivered our
highly successful ‘Idea Zone’ pre-
Barcelona
conference seminar, attracting Our workshop at this event
focussed on Innovative thinking
Oil & Gas Asia
great feedback and excellent
discussions with clients. in FCC upgrades. This is a Kuala Lumpur
particular area of expertise here Our operation in Malaysia, which
at Foster Wheeler. serves both the upstream and
OTC downstream sectors, is growing
Houston John Payne, chief engineer of quickly and our exhibition stand
The colossal Offshore Technology technology and static equipment, was the perfect platform to ensure
Conference yet again broke and Mark Hudson, group that current and prospective
records with a truly amazing manager of process engineering, clients are aware of our growing
attendance of 105,000!! both based in the UK, gave an capabilities and skills base in
insightful presentation on the the country.
Absolutely the place to be if you importance of starting to plan for
are in the upstream industry, our the next FCC turnaround really Underlining our partnership with
stand was so busy we often had early, looking at a wide range of OPE Malaysia, our large stand at
to use the adjoining corridor as an options to get the best return on this important event was very busy.
impromptu meeting space. As we investment, and the meticulous Foster Wheeler OPE is an exclusive
continue to develop and expand planning which goes into technical partnership delivering
our upstream expertise, we had delivering a safe turnaround in the innovative offshore and onshore
plenty to say at OTC. shortest possible time. Complete upstream solutions to the Malaysian
with great action shots and and wider Asian oil and gas
animated video of recent and markets. OPE Malaysia Sdn Bhd is
current FCC projects, their a 100% wholly owned and operated
presentation attracted a great bumiputera company and holder of
deal of attention and very a PETRONAS licence.
positive feedback.
ARTC
From our Madrid operation,
director of commercial operations,
Kuala Lumpur
Arturo Martinez chaired the whole Supporting our expertise in the
day with great humour, poise and downstream sector in Malaysia,
energy, and Jose Luis Sanchez, Dan Gillis, director of refining in
manager of process engineering, our US operation, presented
also in Madrid, took part in the Opportunities to maximise high
panel discussion on Optimising value products and profitability
production and minimising through zero residue refining
energy – the way forward to at this annual Asia Refining
increasing profitability. Technology Conference.

FW NEWS 71
VALUE
RELIABILITY
TRUST

UPSTREAM OIL & GAS • LNG/GAS MONETIZATION • REFINING • CHEMICALS • PHARMACEUTICALS • MINERALS & METALS • POWER • ENVIRONMENTAL

www.fwc.com
solutions@fwc.com

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