SUMMER 2006

FOSTER WHEELERS E&C people, projects and successes around the world

NEWS

FOCUSED
ON

SUCCESS

Contents

28 Saudi Arabia, PETRORabigh 4

Published by Foster Wheeler Shinfield Park Reading Berkshire RG2 9FW UK www.fwc.com Managing Editors Carolyn Greenhalgh Director, Corporate Communications & Global Marketing
T +44 (0)118 913 2494 E carolyn_greenhalgh@fwuk.fwc.com

Groundbreaking ceremony for a pioneering project

ORYX GTL
Celebrations at first of a kind facility

10
UAE Success Khuff offshore gas development

Anne Chong Public Relations Manager

T +44 (0)118 913 2106 E anne_chong@fwuk.fwc.com

Dominic Hale Creative Manager

T +44 (0)118 913 2329 E dominic_hale@fwuk.fwc.com

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Realising the vision ONGC, India

16
Pharma Ideas & excellence

Foster Wheeler Produced by MMCS

FW NEWS

OTC Houston The place to be

14 Unlocking Africa value Oil Africa 2006 15 BAPCO, Bahrain Improving air quality 18 Saras, Sardinia Clean fuels win 20 Woodside LNG Batams first million 22 Brunei LNG A new relationship 24 Melaka Lubes Globe-trotting team 32 Korea Chemical win 34 Belarus An innovative revamp 40 Lomellina Waste-to-energy expansion 42 Afrox New South African client 48 Project HASSAD Construction underway 50 Enags LNG expansion 52 Thailands first phenol plant Key role for Foster Wheeler

36 Qalhat LNG - a great success

New $700 million plant inaugurated

23
Pertamina Working together again

44
SHARQ One million safe hours

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Borouge 2 Shaping UAEs future

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Shell Stanlow A long-term relationship

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On 6 June 2006, the groundbreaking ORYX GTL plant in Qatar was officially inaugurated by His Highness, Sheikh Hamad Bin Khalifa Al-Thani, Emir of the State of Qatar.

ORY
ORYX GTL is a defining moment in the growth in a whole new industry. GTL will grow here in Qatar and, as a result of this groundbreaking venture, also in many other parts of the world. Sasol is proud to have worked with Qatar Petroleum, Chevron and partners like Foster Wheeler in developing this exciting new industry. We are at the threshold of providing the world with an attractive alternative to crude-derived transportation fuels.
Pat Davies Chief Executive, Sasol HH Sheikh Hamad Bin Khalifa Al-Thani, Emir of the State of Qatar, with HE Abdullah Bin Hamad Al-Attiyah, the Second Deputy Premier, and Ms Buyelwa Patience Sonjica, Minister of Minerals and Energy of the Republic of South Africa, during the inauguration of the ORYX GTL plant at Ras Laffan.
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realising the vis

Inauguration of ground-br ORYX GTL in

X
Top: One of the two cigar-shaped LTFT reactors, each weighing 2,100 tonnes, which lie at the heart of the ORYX GTL plant.
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sion

eaking Qatar

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ORYX overview
The ORYX GTL plant is a world first: the first plant to convert natural gas to liquid fuel using low-temperature Fischer-Tropsch technology. The facility will produce 34,000 barrels per day (bbl/d) of liquids comprising 24,000 bbl/d of low emission, high performance GTL diesel, 9,000 bbl/d high-grade GTL naphtha and 1,000 bbl/d LPG from a lean natural gas feedstock.

The GTL naphtha produced is highly paraffinic (98% compared with 65-85% for naphtha typically produced from crude) with a very low sulphur, naphthenic and aromatics content and is an ideal feed for ethylene cracking. Asia is the likely market for GTL naphtha.

ORYX
The plant utilises Sasols Slurry Phase DistillateTM (Sasol SPDTM) technology to process 330 million cubic feet per day of lean natural gas. The Sasol SPDTM process comprises synthesis gas production, low-temperature Fischer-Tropsch conversion and product work-up Everyone involved at Ras Laffan now appreciates the complex nature of starting up these heavily interdependent and integrated units. We executed the feasibility and FEED for this innovative project in conjunction with Sasol and have been an integral part of the joint Project Management Team (PMT), comprising Foster Wheeler, Sasol and Qatar Petroleum personnel. The dedication and enthusiasm of the PMT and the ORYX GTL team, which also includes Foster Wheeler, in leading the EPC contractor safely through this multi-phase completion, with coincident construction, commissioning and operation, has to be appreciated and is an achievement of which all of the team members can be justifiably proud. The high-quality GTL diesel produced will have a sulphur content below 5ppm, cetane rating greater than 70 (compared with 45-55 from typical diesel produced from crude) and low aromatics content of less than 1%, allowing higher performance and reductions in exhaust emissions. It is expected that the early volumes of ORYX GTL diesel will be sold into the European market as a blend for upgrading conventional diesel. Europe has strong and growing demand for high performance diesel and stringent quality standards.

Team effort

O RY X G T L fact file
Shareholders: Qatar Petroleum (51%); Sasol (49%) Estimated project costs: $950 million 72 hectare site 1.5 million m3 earth moved during site preparation 70,000 m3 of concrete 7,000 tonnes of steel 15,000 tonnes of steel pipe 1,700 km of cable Over 800 items of equipment 15 heavy lifts over 200 tonnes including: - worlds largest cold box (2 x 550 tonnes each) - worlds largest single shaft air compressor (2 x 360 tonnes each) - worlds heaviest lift by land crane (2 x 2,100 tonne reactors) 3,000 hydrotests 8,500 instruments loops 30 million construction manhours expended Peak construction workforce of over 6,000 Over 200 commissioning systems

FW NEWS

Enhancing ONGCs presence

in the Indian oil & gas value chain

The Glasgow engineering support team.

We are the project management consultant for ONGCs unique grassroots C2/C3 facility which will use an innovative process to extract ethane, propane and butane as separate liquid streams from rich LNG provided by the Petronet LNG receiving terminal located next to the new facility. We were actively involved in the development of the LNG terminal, which is now fully operational.
This first of its kind facility, due for completion in the second quarter of 2008, will initially be constructed with a single train of five million tonnes per annum capacity but has been designed to facilitate future expansion. We undertook the FEED in Reading and have now established a project execution centre in Mumbai, India, led by Tom King, supported by staff assigned from our Chennai office, while engineering support is being provided by our Glasgow office. The EPC contractor is undertaking the detailed engineering in Mumbai and has commenced civil construction activities at site.

Strategic importance
This project is of strategic importance to ONGC, a company intent on exploiting the latest available know-how to enhance its presence in the oil and gas value chain, and to become a fully integrated international company.

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OTC
The theme of OTC06 was New Depths, New Horizons, reflecting the challenges of the oil and gas industry to produce these resources in deeper water with cutting-edge technologies. Mike Barclay (pictured), principal process engineer in our UK oil and gas team, presented a paper co-authored by CC Yang, LNG director in our Houston oil and gas team, entitled Offshore LNG: the perfect starting point for the two-phase expander.

the place to be

Houston hosts worlds largest oil & gas event

This years Offshore Technology Conference (OTC) had a 24-year high attendance record as nearly 60,000 professionals in the oil and gas industry met at the worlds largest oil and gas event to learn about the latest technologies for finding and exploiting oil and gas resources.

There were 2,214 exhibitors, covering a total exhibit space of 475,000 square feet the equivalent of nearly 12 American football fields! We had a large stand to promote our global capabilities in oil and gas. Led by Ian Harrison, our global business line director for upstream oil and gas, our team, which included representatives from our operations in Houston, the UK, Latin America, Nigeria and Asia Pacific, welcomed a non-stop stream of international visitors to our stand.

FW infobase
Copies of Mikes paper are available on our website

www.fwc.com/publications/tech_papers/index.cfm
or, for further information, contact us at

oilandgas@fwc.com

FW NEWS

Our project management consultancy team has been working with ADMA-OPCO on this major offshore project in the UAE, firstly in the contractors design office in The Hague and then our team relocated to the fabrication facilities in the UAE.

Offshore Khuff Gas Devel

Richard Catling (3rd left) with ADMA-OPCOs representatives (left to right): Mohamed Fathi, PMT interface team leader; Nasser S Al Tamani, manager oil & gas co-ordination; Ahmed S Al Suwaidi, assistant general manager development; Ali Ghanim Bin Hamoodah, formerly manager, major projects (and now with ADNOC); Ihab Tarmoom, manager Umm Shaif asset unit.

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Celebrating

opment, UAE

success
Richard Catling (left), project manager, FW, and Bud Fackrell, general manager, ADMA-OPCO.

This multi-million-dollar development comprises two major offshore super-complexes: Abu Al-Bukhoosh (ABK) and Umm Shaif, and includes the installation of a new gas gathering network, two new gas-processing platforms and modifications to 15 existing platforms.

Float-over design
The topside and jackets for both super-complexes were designed for float-over offshore installation rather than lifting by crane barge. This required both topsides to be fabricated close to the quayside on runway beams. The load-out entailed the mooring of a pre-prepared 130metre-long and 30-metre-wide cargo barge alongside the jetty adjacent to the ABK topsides. Runway beams on the cargo barge and onshore were aligned and connected.

Success in six hours!

Final preparation work started before daybreak and the slow process of moving the ABK topsides from the quayside onto the cargo barge started at dawn. Four 300-tonne gripper jacks were used to skid the topsides along the runway beams and onto the barge. The topsides travelled along the runway beams almost silently and with little or no vibration. It took just under six hours to successfully transfer the topsides, weighing 6,000 tonnes, onto the cargo barge. Work then continued to correctly position the topsides and to secure them to the barge before nightfall. The operation was completed without incident.

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Images: Courtesy of ADMA-OPCO.

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Having successfully and safely achieved this target the next challenge was to complete the remaining onshore commissioning work and preparation work for the journey offshore. The topside cargo barge was manoeuvred into position by tugs between the jacket legs. When correctly positioned, the topsides structure was lowered onto the jacket by adjusting the ballast of the barge. The process of load-out, sail-away and float-over was then repeated for the Umm Shaif topsides. The offshore hook-up and remaining precommissioning and commissioning were finished offshore. During these offshore campaigns modification work was also completed on existing ABK and Umm Shaif facilities. This provided its own challenges, particularly the need to reduce the number and duration of production shutdowns to a minimum.

Logistics challenge
Working offshore rather than onshore presented its own set of logistical challenges. All personnel and materials had to be transported offshore, either by helicopter or by boat. Accommodation was required for construction and commissioning personnel and space for storage of equipment and materials was at a premium. The mobilisation of a suitable offshore marine fleet was a critical factor, with the necessary accommodation, heavy lift capacity, lay-down areas and meeting exacting safely requirements.

Outstanding safety performance

Weather conditions in the Arabian Gulf can require work to be stopped and vessels to return to port, particularly during the winter months. The Offshore Khuff Gas Development achieved an outstanding safety record, both onshore and during the offshore campaigns.

Celebrations
To celebrate the completion of the project, an inauguration ceremony was held on both offshore complexes attended by senior ADNOC, ADMAOPCO and contractors management teams. Both facilities are now operational and handed over to their respective operators, ADMA-OPCO and Total.

The newly installed bridge-linked platform at ABKs offshore super-complex in the Arabian Gulf.

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Oil Africa 2006

Unlocking African value
Foster Wheeler South Africa (FWSA) recently exhibited at the Oil Africa 2006 conference and exhibition held in Cape Town at the end of March.
The theme this year was unlocking African value. Oil Africa 2006 is part of an initiative aimed at establishing South Africa as a major supply hub to the South and Western African oil and gas and petrochemicals industries. As one of the leading contractors in the region, our stand was well received, with a steady stream of existing and potential clients stopping by to meet with us. We wanted to make sure that current and potential clients are aware of our full range of capabilities and our track record in the oil and gas and petrochemicals sectors. We also demonstrated that soccer is universally popular, with our soccer stress balls proving to be one of the highlights of the three-day event!
Mark Basson Business Development Manager, FWSA

Mark Basson (right) with a visitor.

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Improving air quality in Bahrain

Refinery gas desulphurisation win

BAPCOs new Bahrain refinery desulphurisation plant will have a dramatic impact on the quality of air emitted from refinery stacks when completed in 2008.

Left to right: Shaikh Ibrahim bin Khalifa Al Khalifa, Finance Ministry Under-Secretary, Kingdom of Bahrain; Shaikh Salman bin Khalifa Al Khalifa, Chairman, BAPCO; Umberto della Sala; Dr Abdul Hussain Mirza, Minister of State and Chairman of National Oil and Gas Authority.

Our Milan operation was awarded the EPC contract for this important environmental project in 2005. Umberto della Sala, CEO of our Global Engineering and Construction Group, recently attended the contract signing ceremony in Bahrain. The crude oil processed in the refinery contains sulphur, some of which is converted into hydrogen sulphide gas in the various refinery processes. Some sulphur is recovered in the sulphur recovery plant and some sulphur remains in products. The process gas that is produced and is used as fuel gas in refinery process heaters also contains hydrogen sulphide. This results in sulphur dioxide being released into the atmosphere.

A new gas treatment plant and sulphur recovery unit will be installed, together with a new tail gas treatment unit to increase sulphur recovery to 99.5% and to meet sulphur dioxide limits of 150 parts per million. Two new sour water process units will also be installed to treat all sour water streams in the refinery. This project will dramatically reduce sulphur dioxide emissions into the atmosphere and will also reduce hydrogen sulphide in fuel gas to well below the limits set by the Bahraini Government.

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Our pharma specialist teams around the world have a long and successful track record in the design and execution of pharmaceutical, biotechnology and healthcare projects, ranging in size from very large new facilities, revamps, upgrades and expansions, to the provision of a few hours expert consultancy.

focus
on pharma
Best practice & new ideas
Our specialists are not only committed to delivering excellence on projects, large or small, but are also playing a very active role in pharma industry initiatives focused on training and education, best practice, innovation and new thinking. Here, John Cumming, manager of our Reading-based team of pharma experts, talks about excellence and innovation in the UK and globally.
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The Britest thinkers

Here in the UK, we are at the forefront of an exciting new development in the pharma industry applying new intensified process technology and whole process design methodologies to pharmaceutical applications. We are a leading member of Britest Limited, a not-for-profit consortium of pharma and fine chemicals companies, universities and engineering contractors, which has developed design tools and methodologies aimed at analysing processes and dramatically improving their design. Operating and capital cost savings have already been demonstrated by Britest members using these tools, which are applicable to new processes and also to improve existing processes. We have combined the use of Britest tools with our unique experience of designing intensified process plants to realise the benefits of the optimised chemistry. Examples of this include the use of high-heat transfer equipment and novel reactor designs to allow highly exothermic processes to be carried out at scales that are not possible with conventional equipment. We have also been at the forefront of expanding the Britest tools to cover product and formulation design, using them to achieve an in-depth understanding of how the product performance characteristics are influenced by the raw material and process inputs.

2006 Facility of the Year Award

The Facility of the Year Award, now in its second year, showcases exceptional projects and innovation within the pharma, biotech and healthcare industries. A project in which we were involved has again been selected as one of five finalists for the 2006 award. The Janssen Pharmaceutica facility in Belgium is a small-volume powder unit, the first of its kind, with a unique combination of stateof-theart micronising equipment and high-tech separation of the working environment using isolators. We were also principal contractor for Lundbeck Pharmaceuticals new active pharmaceutical ingredients facility at Seal Sands, UK, a finalist in last years award. This facility used innovative technology, such as the worlds largest simulated moving-bed chromatography system, and an innovative project execution strategy, that led to a significantly shorter time to market than the industry norm.

Lean thinking
Lean thinking is a concept originally conceived by Japanese car manufacturers which has been very successfully employed in many other industries. At its core is the elimination of waste and inefficiency. The pharma industry is becoming increasingly interested in its potential. A recent FDA paper said that production efficiency improvement in the pharma industry could save as much as $90 billion per year! Led by our experts in the UK, we have been applying lean thinking concepts as a key element of our Continuous Improvement efforts in pharma. Taking just one example, we have used value stream mapping to identify sources of waste in manufacturing operations.

Driving ISPE Innovation

In the UK, and globally, we have been very active in the International Society of Pharmaceutical Engineers (ISPE) events and initiatives for many years and have been instrumental in the establishment of regional affiliates, such as in the UK and Singapore. Our experts have played leading roles in writing and reviewing many of ISPEs Baseline guides, which represent a collaboration between the pharmaceutical industry and the regulatory bodies, such as the US Federal Drug Administration (FDA), to provide an industry standard for the engineering of cost-effective, regulatory-compliant pharma facilities. Our teams are also involved in ISPE training courses and regularly chair and present on current best practice and stateof-the-art technology at ISPE conferences.

FW infobase
For more information please download a copy of our pharma magazine, focus, at:

www.fwc.com/publications/focus.cfm
For more information on lean thinking, you can download Huw Thomas paper presented at the 2005 IChemE World Congress:

www.fwc.com/publications/tech_papers/index.cfm

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REFINERY WIN
Saras - Sardinia
Our Milan office has been awarded an engineering and procurement contract by Saras SpA for new process units at the Sarroch refinery in Sardinia, Italy. The contract also includes an option, which Saras may elect to exercise at a later date, for the provision of construction supervision services by Foster Wheeler. Saras is one of the leading industrial companies in Italy and its Sarroch refinery is one of Europes largest and most advanced refining complexes.
Our scope includes a new hydrodesulfurisation unit with 180 cubic metres per hour throughput, designed to reduce the sulphur content of a gasoline blending component to seven parts per million weight, while minimising octane loss. In addition, two new independent tail gas treatment units will be installed, each of approximately 36 metric tonnes per hour capacity. The tail gas treatment units will be designed to achieve a minimum overall sulphur recovery of 99.9 percent from the tail gases, in line with new emissions legislation. Tail gases are leftover gases from the sulphur recovery unit. We are very pleased to be awarded this project by Saras. The importance of this award goes far beyond the contract itself and represents a significant first step in the development of a long-term alliance relationship with Saras.
Umberto della Sala CEO, Foster Wheeler Global E&C Group

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ASME-ATI
Milan

Foster Wheeler has the energy!

In May, we played a key role in the ASME-ATI conference on Energy: Production, Distribution and Conservation held at the Museum of Science and Technology Leonardo Da Vinci in Milan.
Luigi Bressan, director of process and technology, Foster Wheeler Italiana, chaired the conference, which was attended by more than 250 delegates, and 120 speakers, representing more than 30 countries. The conference, which had a strong scientific and technical content, was jointly organised by the American ASME and Italian ATI associations. This is the first joint event organised by these two bodies and is part of a wider initiative to encourage the sharing of new ideas, technical knowledge and practical experience. Our Milan power experts presented a paper entitled Electrical energy and hydrogen production from low-rank coal power plants with CO2 capture which opened the plenary session of the first day. This paper was based on a conceptual study executed by Foster Wheeler for the International Energy Agency Greenhouse Gas R&D Programme (see FW News Winter 2005/6). This inaugural event was considered a great success we hope its the first of many.

This project is very important for the future development of our refinery at Sarroch. We are confident that Foster Wheeler has the right experience, expertise and professionalism to meet our objectives for this challenging project and also to establish a successful partnership relationship with Saras.
Paolo Alfani Executive Vice President, Saras SpA

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Woodside LNG Phase V

Batams first million!
We are leading the EPCm team adding a fifth LNG liquefaction train at Woodsides existing LNG complex at Karratha, in Australia. The team in Karratha continues to prepare the site and haul roads ready to receive the pre-assemblies from the module yard at Batam, Indonesia.

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Module fabrication, Batam.

Progress ramps up
Meanwhile, in Batam, production rates continue to increase to ensure the pre-assemblies will arrive on schedule. The steelwork and pipe fabrication shops continue to increase output with approximately 200 tonnes of fabricated sub-assemblies and 300 spools being produced each week. 24 of the total of 75 pre-assemblies are in various stages of fabrication and erection. The labour force is currently over 1,500 strong, including over 250 people working on the night shift.

The big 6 modules are well advanced and lifting of the middle boxes of the piperack assemblies has started. The months of June to September 2006 should see peak progress.

One million hours & zero LTIs

As with every Foster Wheeler project, safety management is at the forefront. The Batam team recently celebrated working over one million manhours without a lost time incident. While there is still a long way to go, the project team is determined that all of the 16 separate module sailaway dates will be met.

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Establishing a new relationship

Brunei LNG
November 2004 marked the start of a relationship with a new client for Foster Wheeler, Brunei LNG Sendirian Berhad (BLNG). We were awarded the basic engineering design and EPC phases for a power plant at our clients LNG liquefaction complex at Lumut, Brunei Darussalam. Subsequently, our Singapore operation was also awarded the EPC phase for the cooling water system rejuvenation project in July 2005. Key strategic projects
These two projects are two of the key projects included in BLNGs Asset Reference Plan. This plan details BLNGs strategy to extend the life of the existing LNG facility for another 30 years, through various rejuvenation projects, with the objective of ensuring a longterm, reliable supply of LNG to its customers.

Key objectives
BLNG identified a number of key synergies between the two projects, and therefore decided that they would best be implemented by the same EPC contractor.

Challenges
The project has an aggressive schedule and, due to the heavy revamp nature of the projects, a sizeable Foster Wheeler team was quickly mobilised in Brunei upon contract award. Capable local personnel were recruited from within Brunei. A plant shutdown for two of the LNG trains was successfully completed in early June 2006. Both projects are targeting overall completion by end 2007. The successful and safe execution of the recent shutdown works is a culmination and demonstration of many months of planning and hard work by both FW and BLNG project teams, working as an integrated team, together with BLNG construction contractors. I am confident that we will continue with this spirit of cooperation and unblemished record in meeting our key milestones for both projects.
Pengiran Noralim bin Pengiran Ahmad Senior Project Manager BLNG Asset Reference Plan Projects

Power project
The scope of the power project encompasses a new 45 MW combinedcycle power plant to replace part of the existing steam turbine generators which are approaching the end of their respective life cycles.

Cooling water
The cooling water project includes the refurbishment of 35 existing cross-flow cooling towers and the replacement of 13 cooling water pumps and all associated civil, piping, instrumentation and electrical works. Five new counter-flow cells will also be added to allow the existing cooling towers to be rejuvenated on-line.

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EXOR-1refinery
Indonesia

Working together once again

In August 1994, our UK operation completed a residue catalytic cracker (RCC) project, known as the export-oriented refinery, EXOR-1, for the state-owned Indonesian oil company, Pertamina. The refinery is located at Balongan on the island of Java.

MALUKU

SULAWESI KALIMANTAN
SUMATRA Jakarta IRIAN JAYA

INDONESIA
NUSA TENGGARA BALONGAN JAVA BALI
Increase flexibility of operation of the RCC unit Improve performance and flexibility of the reactor catalyst cooler operations to enable a wider range of RCC operations Minimise the climatic impact on the RCC operation mode, by overcoming limitations on overhead fin fan condenser performance Improve reliability of operations Pertaminas concerns relating to the constructability of the project and a desire to clearly establish upfront the magnitude of work required, resulted in the scope of the FEED work embracing aspects of detailed engineering too. This phase of the project is fast-track and is scheduled for completion in June 2006. The Balongan refinery is considered to be a strategic refinery and we have already assisted Pertamina in optimising the duration of their proposed hook-up shutdown, thereby potentially enabling significant savings. As well as executing the FEED, we are also carryling out a constructability study and developing a +/- 15% cost estimate and an ITB for EPC bidding.

Eleven years down the road, in December 2005, Pertamina awarded our Singapore operation an extended FEED for the revamp of this RCC unit. Since June 2001, Pertamina has been using a high-activity catalyst with the objective of increasing the yield of propylene and LPG. However, bottlenecks in the light-end sections have prevented the realisation of this objective. This revamp project is being implemented to achieve the following primary objectives: Increase the ability of the process unit to recover valuable light-end product i.e. propylene, LPG and RCC naphtha

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GLOBE-trotting team

elaka

Together with our partner, OGP of Malaysia, we started work on a lube base oil plant at PETRONAS Melaka refinery in Malaysia back in 2004.
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lubes

This will be Malaysias first lube base oil plant and it will use ExxonMobil Research and Engineering process technology. On completion in 2008, it will produce 6,500 barrels per day of mostly Group III base oil, a major component for the manufacture of top tier automotive and industrial lubricants.

Fast-track front end

As PMC contractor with OGP our team, initially , Reading-based, undertook the basic engineering design, developed cost estimates and prepared the ITB for the EPCC contract. The team also spent some time in PETRONAS famous twin towers in Kuala Lumpur during the bid evaluation phase, which was carried out to a very demanding schedule.

A truly international project

Now, we are managing the winning EPCC consortium, comprising contractors based in Germany, India and Malaysia, through to start-up. Our PMC team first relocated to Frankfurt, although work also progressed in Kuala Lumpur and Delhi. Checks were undertaken against the process licensors package and data was prepared to permit the early placement of the purchase orders for the long-lead equipment by mid-February. There were challenges to overcome in establishing the project from scratch with a multi-national fivemember contractor consortium and a two-member PMC consortium.

And on to India...
By mid-April the initial engineering in Frankfurt was sufficiently advanced to allow the entire project team; EPCC contractor, owner and PMC, to move from Frankfurt to Delhi. Detailed design and procurement work had already started in India before the project moved, and it continued while the management teams and senior engineers changed venue.

We have enjoyed a long working relationship with our client at this refinery, having been the project management consultant for the major PSR-2 expansion and working with OGP on the cogeneration project.

Our PMC team also has several members on site, with the Foster Wheeler construction manager and superintendent assigned to site in mid-June.

Front (left to right): Ray Jakucionis, project engineer, FW; Juliana Zabala, process manager, FW; Dr Rheinhard Mueller, project engineering manager, Lurgi (Frankfurt); Onkar Gupta, director of operations, Lurgi (India). Back (left to right): Trevor Lynch, engineering manager, FW; Hamzah Ahmad, project director, PETRONAS Penapisan Melaka; Nick Escott, project manager, FW; Roland Hein, consortium project director; Lurgi (Frankfurt).

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Shaping

UAEs future
Borouge is building on the success of the existing plant by investing in extra Borstar polyethylene capacity and introducing Borstar polypropylene units. This major expansion is in line with the Abu Dhabi Governments vision to diversify its economy and encourage investment in the downstream petrochemical sector. The new Borouge 2 facilities at Ruwais, planned to be fully operational in 2010, will be truly world-scale. The new complex will include a new 1.4 million tpa ethane cracker, and a new 752,000 tpa olefins conversion unit, both of which will be amongst the largest in the world, as well as a new 540,000 tpa Borstar polyethylene unit, and two new 400,000 tpa Borstar polypropylene units, plus all the associated supporting facilities. Borouge and Foster Wheeler are working together as an integrated team to develop the technical definition, cost estimate and solicitation of EPC bids to allow the project to proceed into the EPC phase towards the end of 2006. We are also performing the FEED for the utilities and offsites for the massive new complex. This separate team, led by our project manager, Steve Smith, began in November 2005 and aims to be complete in mid-2006.

Borouge is an Abu Dhabi-based supplier of innovative plastics solutions, a joint venture between ADNOC and Borealis. It currently produces 600,000 tonnes per annum (tpa) of enhanced polyethylene at Ruwais in Abu Dhabi using Borealis Borstar technology.

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Borouge 2
chemicals complex

This is a complex, world-scale project that already involves many hundreds of people spread across three continents, providing process licences, FEED packages, and project management. Our challenge in the integrated project management team is to enable and encourage all these people from different companies and cultures to perform as an effective team. I am pleased to say that its so far, so good.
Jeff Pape Senior Project Manager, Foster Wheeler

Polyethylene and polypropylene are used in a wide range of applications, including food packaging, pipes, wiring and cable, textiles and automotive components.

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A pioneering

Ali I Al-Naimi (centre), Minister of Petroleum & Mineral Resources, Kingdom of Saudi Arabia; Abdallah S Jum'ah (right), President and CEO, Saudi Aramco; Hiromasa Yonekura (left), President, Sumitomo Chemical.

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project

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On 19 March 2006, representatives of Saudi Aramco and project and signed the final project financing documents complex in the Red Sea town of Rabigh, on
This is one of the worlds most significant refinery/petrochemicals investments, for which we executed the feasibility study and FEED. We are also the EPC contractor for the utilities and offsites, which are critical to a development of this magnitude.
Senior management from all EPC contractors involved in the project attended the groundbreaking ceremony, which followed the CEOs steering committee meeting at site the day before. Attendees were treated to an exhibition by a local cultural dance troupe prior to the ceremony. We were represented by Mike Beaumont, director, operations, Mohamed Nanji, project executive, and Richard Rae, project manager, utilities and offsites umbrella project.

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Sumitomo Chemical broke ground on the PETRORabigh to develop a large, integrated refining and petrochemical the Kingdom of Saudi Arabias west coast.
Strategic importance
Ali I Al-Naimi, Minister of Petroleum and Mineral Resources, Kingdom of Saudi Arabia, emphasised the importance of the Rabigh development project to Saudi Arabias economic strategy. Hiromasa Yonekura, president, Sumitomo Chemical; Abdallah S Jumah, president and ceo, Saudi Aramco; and Abdulaziz S Al-Khayyal, senior vice president refining, marketing and international, Saudi Aramco, all spoke passionately about the strategic importance of the project not only to the region but also to Saudi Aramco and Sumitomo Chemical. The ceremony comes nearly two years after Sumitomo Chemical and Saudi Aramco first embarked on the joint feasibility study for the PETRORabigh project, for which a substantial element of the work was executed in our Reading, UK, offices. It also comes eight months after the two organisations concluded the official joint venture organisation, PETRORabigh.

UOU update
The utilities and offsites umbrella (UOU) project is scheduled for completion during the second quarter of 2008. Engineering and procurement is well underway in our Reading and Chennai offices. Work has also started on site at Rabigh with the establishment of the initial site project team and site offices and the selection of the majority of the construction contractors.

Images: Courtesy of PETRORabigh.

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Successful revamps
Shinfield Park hosts high-level delegation
With this BDO award, we have the opportunity to build upon our wellestablished and successful association with INVISTA. As a preferred contractor for INVISTAs purified terephthalic acid (PTA) process technology, we have already worked with INVISTA on two PTA plants in China and one in Thailand, each being built by different owners. Our Teesside operation worked closely with INVISTA on the early design phases of one of these three PTA projects and this latest award further confirms INVISTAs confidence in Foster Wheelers experience and skills. I believe our team will again deliver added value to INVISTA for this project.
Andy Allen Global Business Line Leader Chemicals, Petrochemicals & Polymers Foster Wheeler

We recently hosted a visit to Reading by top officials from the oil refining and petrochemical sectors in Russia, Ukraine and Kazakhstan.
The delegation had particularly expressed interest in meeting Foster Wheeler, in order to broaden and develop business relationships and to learn more about our innovative and successful approach to revamps. Giampiero Caronno (front row, 4th left), fired heater specialist from our Milan fired heater team, described the complex replacement of a 350-ton vacuum distillation heater module at the Mozyr refinery in Belarus (see the full story on page 34). John Payne, principal consultant static equipment engineer, (front row, 6th left), also gave a presentation on the successful but challenging revamp at a European refinery. Both presentations illustrated innovative, but practical and cost-effective solutions, and attracted a great deal of interest from the audience.

FW infobase
You can download copies of our presentations at

www.fwc.com/publications/tech_papers

32 FW NEWS

New chemicals award

Korea

Butanediol plant
We have been awarded a contract to provide basic engineering design and technical services for a 40,000 metric tonnes per annum butanediol (BDO) plant for SK Corporation at Ulsan in South Korea.
The contract was awarded to Foster Wheeler by INVISTA Textiles (UK) Limited, an affiliate of the BDO process licensor. BDO is used to produce TERATHANE which is the key intermediate for LYCRA stretch fibres and other high-value polyurethanes. We will undertake various elements of the process and basic engineering design for the new plant from our Teesside project execution centre in the UK. The basic engineering design is scheduled to be completed in the fourth quarter of 2006.

Left to right: Young Keun Lee, lead process engineer, SK Korea; Jae Woo Jung, operations engineer, SK Korea; Mike Waterfield, project manager, FWEL; Simon Naylor, lead process engineer, FWEL; Nigel Dart, project engineer, INVISTA UK; Phil Ward, lead process engineer, INVISTA UK; Marc Egbers, project manager, INVISTA USA.

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A successful tale!
New heater for Mozyr refinery, Belarus
One of our expert fired heater teams recently celebrated the successful conclusion of an unconventional but very successful project in Belarus.

During the fourth quarter of 2004, the JSC Mozyr oil refinery awarded our Milan-based fired heater specialists a services and critical equipment supply contract to replace the ageing fired heater on its vacuum distillation unit (VDU). The challenge
Our client and our Milan team faced two very tough challenges: The VDU shutdown was cast in stone for October/November 2005, just over one year after commencement of the feasibility studies. The planned VDU shutdown period, less than 30 days, was very short, in order to minimise production downtime.

This posed the additional challenge of working in close proximity to live plant. The original furnace would have to be rapidly dismantled to allow sufficient time to transfer the new heater onto the existing foundations.

Final steps to success

As with all complex heater replacements, the key to success is to work with experts, plan in meticulous detail and be ready for any eventuality. The final few weeks of this project would be critical. At the end of September 2005, construction of the new furnace was completed next to the old furnace. The existing heater was then completely demolished and removed. The existing piers were checked and prepared to receive the new heater by installing a special new counter baseplate in order to avoid possible mismatch of bolts. The new 350-ton heater module was lifted by hydraulic jacks, lowered on skidded roller devices and then moved horizontally by pulling at a velocity of about ten metres per day, and then finally pushed onto existing foundations. The job was smoothly and rapidly completed in two days to the full satisfaction of our client. On 3 November 2005, the VDU was successfully started up after a turnaround lasting less than the planned 30 days. The newly installed fired heater is performing as planned and has significantly improved the process units performance.

Optimum solution
Our experts evaluated a number of cost-effective and innovative solutions, from in situ modifications to full unit replacement, to safely undertake the replacement of the fired heater in the shortest possible time. The optimum solution was to effect a full fired heater replacement, providing increased efficiency, lower flue gas emissions and optimised performance.

The plan
In order to minimise the erection time, the new furnace was to be completely pre-assembled into one 350-ton module in the area next to the existing fired heater, which needed to be kept in production and operation until the very last day before turnaround.

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Qalhat
$700 million
On 25 March 2006, Qalhat LNG celebrated the inauguration of its $700 million LNG train at Qalhat, in Oman, under the auspices of HH Sayyid Shabib bin Taimour Al Said, HM the Sultan Qaboos bin Said Al Saids adviser on environmental affairs.

36 FW NEWS

LNG - Oman
plant inaugurated
Steve Davies (left), chairman & ceo, FWEL, meeting HH Sayyid Shabib bin Taimour Al Said.

I would like to thank all the staff of Chiyoda-Foster Wheeler and its contractors for their commendable efforts. Thanks to the technical team supervising the execution, the project also sets new standards of safety.
HE Sheikh Al Fadhal bin Mohammed Al Harthy Undersecretary for Developmental Affairs, Ministry of National Economy, and Chairman, Qalhat LNG SAOC

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38 FW NEWS

Qalhat LNG
The Chiyoda-Foster Wheeler (CFW) joint venture designed and built this LNG facility ahead of the target 34-month schedule and within budget.
With the close co-operation of Omans Ministry of Manpower, the project achieved its Omanisation target of 38%, the highest recorded for any construction project in the Sultanate. It also achieved a truly world-class safety performance of 20 million manhours with no lost-time incidents. This 3.3 million tonnes per annum (mtpa) liquefaction train is built to the same specifications and uses similar technical design and construction as Oman LNGs two existing LNG liquefaction trains, also designed and built by the CFW team. These two trains were also built on a fasttrack schedule and achieved a world-class HSE performance and a fault-free start-up. They were inaugurated by HM Sultan Qaboos bin Said Al Said on 14 October 2000. The Qalhat LNG train was operational ahead of schedule by the end of 2005 and exported the first shipment of the LNG in midDecember 2005. The plants capacity is anticipated to increase to at least 3.7 mtpa after 18 months of operation.
Images: Courtesy of Qalhat LNG

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Another EPC win

Italian waste-to-energy

The existing Lomellina plant was the first installation of its kind in Europe and is an integrated facility for recyclable materials recovery and refuse-derived fuel (RDF) production, composting and electricity generation. It processes 200,000 tons per year of municipal solid waste (MSW), converting approximately 60% into RDF, which is then combusted, generating 15 MWe of electric power.
Gianfranco Brustia Director, Power Division, & VP Foster Wheeler Italiana ,

40 FW NEWS

Sharing our coking expertise

Safety Seminar - Texas

Our Milan office has been awarded an EPC contract for the addition of a second processing line at Lomellina Energias existing waste-to-energy plant at Parona, Italy. Foster Wheeler Italiana SpA owns 39% of Lomellina Energia Srl. We also designed, built, started up and operate, with partners, the original plant, which has been in commercial operation since 1 October 2000. This expansion project will allow the plant to process an additional 180,000 tons per year of RDF, producing an additional 20 MWe of power, which will be sold to the Italian national grid under a long-term power purchase agreement with the Italian national grid operator. Our Global Power Group will again design and supply the circulating fluidised-bed (CFB) boiler, based on its proprietary Compact technology. This CFB technology was selected to burn RDF and to produce steam for the generation of electricity because of its excellent environmental performance. Our overall scope also includes a steam turbine and generator, a steam condenser, flue gas treatment, upgrading of the existing waste pre-treatment system and auxiliary facilities. Early activities on the project started in February 2005. Commercial operation is scheduled for September 2007.

Coking.com, produced by Bottom of the Barrel LLC, is an industry website devoted to coking issues. Its annual safety seminar was held at the South Shores Resort in League City, Texas, in May 2006. It brought together individuals from refining operations, corporate engineering, technology suppliers and equipment vendors, all focused on coking. This years seminar had a record 270 attendees, 50% of whom were refiners.
As a market leader in delayed coking, Foster Wheeler actively participates in these safety seminars and this year, was invited to make a presentation on operator safety. Malcolm Gage (pictured), process advisor from our Houston office, our coking centre of excellence, discussed some of the issues facing refining operations: Experienced operators retiring Changes in coking operations Emphasis on the bottom line The main conclusion of Malcolms presentation is that well-trained operators lead to safe coker operation. Malcolm and the rest of our operations group practice what they preach: we have started up five new delayed cokers in the last six years without incident!

Coking.com

expansion

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Afrox

Another new client for South Africa

Our South African operation has been awarded an EPCm contract by African Oxygen Limited (Afrox) to upgrade its Wadeville facility, near Johannesburg, South Africa.
The capacity of the oxygen production facility at Wadeville is being increased, involving the purchase of new equipment and the relocation of equipment from other Afrox sites. Afrox is a supplier of gases, welding and related products and services, operating in South Africa and fifteen other African countries. Construction began in February 2006 and the project is scheduled for completion by the end of 2006. This is the first time that we have worked with Afrox and I hope that this project will form the basis of a long-term relationship with this new client. We have operated in South Africa for over 30 years and will be able to bring to the project an established full-service EPCm capability to assist Afrox in achieving its business objectives, safely and cost-effectively.
Themba Mabuza MD, Foster Wheeler South Africa

42 FW NEWS

Mohammed Sahoo, GASCOs general manager, takes a personal interest in the development of the UAE nationals and always makes time in his busy schedule to meet with the trainees during his visits to the UK to attend the monthly project progress review meetings.
Neil Nicholson Habshan Project Manager Foster Wheeler

GASCO UAE
Development of national staff
We are supporting GASCO in managing a $1billion expansion of the Habshan Gas Complex in Abu Dhabi, one of the worlds largest gas processing plants.
On all of our major projects we require the EPC contractor to provide comprehensive training for the GASCO UAE nationals assigned from the respective operating unit. We are pleased that Foster Wheeler has contributed to this important activity by providing additional training in project management and the role of the project management contractor.
Khaled Ghanem Senior Project Manager, GASCO

Jack Davies is our commissioning, operations, maintenance, and training manager for this project. One of his key responsibilities is to review and monitor the training of around 20 UAE nationals by the EPC contractor. GASCO has taken a strategic approach to training to ensure that it has the right people, with the right skills, at the right time, to accomplish all of its business objectives. It has therefore created an environment where the training, development and integration of UAE national staff at all levels within the organisation are top business priorities.

As part of their off-the-job training, Jack Davies recently arranged for eleven of the trainees to visit Shinfield Park in Reading. The group was welcomed by Alasdair Gardiner, divisional director, engineering, and attended a presentation on project management by Neil Nicholson, our project manager for the Habshan expansion project. Jack will co-ordinate further Foster Wheelers presentations over the coming weeks and will also monitor the operations and maintenance training which will take place at the Habshan gas complex prior to the start of commissioning.
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Our first milli

SHARQ utilities
44 FW NEWS

We are the EPC contractor for the utilities and offsites (U&O) for SHARQs major expansion at its existing chemicals complex at Al-Jubail, Saudi Arabia, as well as being the project management contractor for the entire expansion.
Julian O'Connell (right) presents Martin Kotchie, construction manager, FW, with the site construction management teams one million manhours achievement plaque.

U&O update
Site construction work started in November 2005 and is now well underway, with a workforce of over 1,500 already constructing the massive four-meter-diameter underground closed cooling water system, cooling tower, refrigerated product tanks and the new administration facilities, including warehouse and maintenance buildings. The first stage, essential tie-ins and distributed control system changeover, was successfully during the scheduled shutdown. With site lay-down and access space at a premium, and a challenging schedule, we are pre-assembling 10,000 tonnes of piperack in an off-site yard. May saw the award and kick-off of the module yard construction contract and the first prefabricated steelwork is already en route to Jubail.

Celebrating a safe million

Cooling water line installation underway.

The first million manhours worked on site on the U&O project were achieved in March, without any lost-time incidents. The sub-contractors site management were invited to a celebration of this achievement and were presented with plaques by Julian OConnell, our project manager, on behalf of SHARQ and Foster Wheeler. Julian commended the achievement of all in reaching this important first safety milestone, especially given the difficult and extensive building demolition and site clearance programme that has been successfully completed within the one million manhours.

on
& offsites

Main picture: Audah Al-Shammari (left), project manager, utilities & offsites, SHARQ, and Julian OConnell, project manager, FW.

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Shell

The million milestone Stanlow Alliance

Shell recently congratulated Foster Wheeler on the expenditure of its one millionth hour working on the Shell UK Alliance.

This is a significant achievement for the Alliance which has delivered a large number of high quality projects for the Shell business since its inception.
Helen Forde Manager, Projects and Construction Shell UK Oil Products Limited

For nearly ten years we have been Shells Alliance partner at its Stanlow Manufacturing Complex in the UK. We provide basic design and engineering, procurement, construction and project management services and have held this contract since March 1997. We secured a renewal in April 2004 for three years, with options to extend for up to a further four years.

Our site team has varied in size from less than 10 up to 150 people and currently numbers 70.

New faces
Recently, Paul Squirrell (front, 3rd left), who has been our Stanlow Alliance manager for five years, a period which is indicative of our long-term commitment to Shell, has handed over the reins to Huw Jones (front, 3rd right). Changes are afoot on the Shell side too, with Helen Forde (front, right) taking over from Mark Ravenscroft as manager, projects and construction, and Dan Young (front, left), a new Shell project leader, who also works with Helen as part of the Alliance Operations management team. We look forward to continued success under the Alliances new leadership team.

A flexible team
During the past nine years, the Alliance has undertaken over 500 separate pieces of work, ranging from a few hundred pounds of engineering support to a 30 million EPCm project. We have executed and managed over 200 million of project investment in this period. We have executed a wide range of projects, including those for clean fuels, during a period of important investments in the site.

Pictured: The Alliance Lead Team.

46 FW NEWS

We are delighted to be awarded this project and for the trust which Sahara Petrochemical Company and Basell Polyolefins have placed in us. This award further strengthens Foster Wheelers position in Saudi Arabia, where we are already working on a number of petrochemicals facilities. We will make every endeavour to make this a successful project and fully satisfy our clients objectives.
Marco Moresco Commercial Director, Foster Wheeler Italiana

Our Milan operation has been awarded a project management consultancy contract, for new chemical facilities to be built at Al-Jubail, Saudi Arabia, by Sahara Petrochemical Company and Basell Polyolefins, who intend to form a joint venture.
The new facilities comprise a 460,000 tonnes per annum (tpa) propane dehydrogenation unit based on UOPs OleflexTM technology, which will convert propane to propylene, a 450,000 tpa polypropylene production unit using Basells SpherizoneTM technology, and all associated utilities and offsite facilities. We have participated in the selection of the EPC contractor and are now working in the selected contractors offices in Milan in an integrated project management team with the owners technical staff. Our team is managing the detailed engineering and procurement activities on our clients behalf and will relocate to the Al-Jubail site for the construction phase. The project is expected to reach mechanical completion during the second quarter of 2008 and to be ready for commissioning and start-up in the third quarter of 2008.

Sahara/Basell
Another chemicals win
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Project HASSAD
Construction gets underway
We are currently working as project engineering services (PES) contractor for Jubail Chemical Industries Company (JANA) for its epichlorohydrin and chlor-alkali project, known as Project HASSAD, at Al-Jubail Industrial City, Kingdom of Saudi Arabia.

Our role as PES contractor covers the coordination of the EPC phase of the project. The new facilities, scheduled for completion in 2007, will produce 30,000 tonnes per year (tpa) of epichlorohydrin, 50,000 tpa of caustic soda and 45,000 tpa of calcium chloride. The construction phase is now well underway and the main civil contractor is installing underground piping, equipment and piperack foundations ready for the start of mechanical construction activities. In addition, the contract for the mechanical, electrical and instrumentation packages has also been awarded. Work has also started on the control room, substation buildings and the modifications to the existing maintenance building which is located in the JANA-owned epoxy resin plant adjacent to the HASSAD plant.

The steelwork contract was awarded to a Jordanian contractor who could satisfy the scheduling needs of the project. Design work is nearing completion with the delivery of equipment to site being carefully controlled to suit the construction schedule. Mechanical completion is planned for the different plants between March and May 2007. Project HASSAD will be executed by several contractors located in different parts of the world, and we require a project engineering services contractor that is a global organisation with a proven track record and the ability to integrate with our own team. Foster Wheeler meets these requirements.
Alexander Denzler General Manager, JANA

48 FW NEWS

Another safety accolade

RoSPA
Presidents Award
For the fourth consecutive year, our UK operation has won a prestigious Royal Society for the Prevention of Accidents (RoSPA) Presidents Award for Occupational Health and Safety. The Presidents Award is only presented to those companies which have achieved a minimum of one RoSPA Gold Award every year for the last ten years.
We are committed to continuous improvement in all areas, and health and safety is no exception. The most recent example of this is the successful implementation of our behavioural-based HSE process, CORE, or Continuous Observation and Risk Evaluation. This has already delivered tangible benefits, producing further improvements in our already excellent HSE performance on sites all around the world.

The receipt of this award which relates to our performance in the UK and internationally is particularly pleasing for me as it is a clear and visible demonstration of our continuing company-wide commitment to maintaining the highest level of excellence in health and safety.
Stephen King Divisional Director, Construction, FWEL

Foster Wheeler has demonstrated how seriously it takes health and safety management and is a fine example to many other companies. We would like to see more organisations following its lead by providing a positive example.
David Rawlins Awards Manager, RoSPA

The RoSPA Awards aim to promote reductions in accidents and cases of ill-health at work and to encourage organisations to have good health and safety management systems in place. Since our first year of participation in the awards programme, we have won 25 RoSPA awards across a number of different categories.

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enagas
Successful Spanish

LNG TERMINAL E X PA N S I O N
The expansion of the Barcelona LNG receiving and regasification terminal has been successfully completed. Located in the south sector of Barcelona port, Spain, the terminal is owned by Enags SA, the leading Spanish natural gas supplier.

50 FW NEWS

Foster Wheeler Iberia, headquartered in Madrid, was responsible for the basic engineering design, detailed engineering, management of purchasing activities and construction supervision for the terminal expansion. Surging demand
In Spain, LNG consumption has grown rapidly and it is now the worlds third largest LNG importer after Japan and Korea. Spain is also Europes fastest growing market for natural gas, virtually all of it imported.

Major expansion
The plant originally began operations in 1969, supplying 125,000 Nm3/h of natural gas to Barcelona city consumers. Its regasification capacity has now been expanded to 1,650,000 Nm3/h, after expansions in 1974, 1980, 1993, 2001, 2002, and of course, the latest expansion. This latest expansion was the largest expansion ever undertaken at the terminal, increasing capacity from 1,200,000 to 1,650,000 Nm3/h with the installation of three new open rack vaporisers, each of 150,000 Nm3/h capacity. In addition, two submerged combustion vaporisers have been installed as spares, each of 150,000 Nm3/h capacity.

Another LNG terminal project can now be added to our Madrid teams long list of successful LNG terminal projects, which includes expansions at each of Enags three Spanish terminals, and LNG terminal projects for other clients.
Eduardo Lpez Lobo Project Manager, FW Iberia

The expansion also included two new cryogenic export pumps, three primary in-tank pumps, four secondary pumps, two boil-off compressors, a recondenser system, a measure and regulation unit, new seawater filters, a new seawater storage pond, a cryogenic flare and a new electrical substation. Some civil and structural work and prepurchasing of equipment has also been carried out in preparation for a future expansion to 1,950,000 Nm3/h scheduled for 2010.

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A key role for Foster Wheeler

Thailands first phenol

Left to right: Jonathan Spanswick, project manager, FW; Graham Pope, general manager, FW Thailand Operation; Prasert Bunsumpun, president, PTT Public Company Limited; Dr Vites Visanuvimol, president, PTT Phenol Company Limited; Piyasak Sarntigasem, project director, PTT Phenol Company Limited.

We have built an excellent, long-standing relationship with PTT, Thailands largest publiclytraded energy and petrochemical company. Recently, that relationship has extended to include PTT Phenol Company Limited (PPCL), a new PTT Group company.

The new company

PPCL was established to make commercial use of the benzene and propylene produced by the PTT Group, to manufacture phenol and acetone for the local and international markets. PPCL is now in the process of building Thailands first phenol production plant, a 200,000 tons per year plant, at Map Ta Phut. Phenol is a raw material used by polycarbonate production plants. Currently, Thailand imports more than 170,000 tons per year of phenol. Polycarbonate is an engineering plastic with widespread applications, such as for CDs, auto parts and computers. Our Thailand operation at Sriracha was selected to provide process and engineering design and project management services to PPCL for this strategically important new venture.

52 FW NEWS

plant
FEED phase
Our team successfully completed the FEED package, being responsible for the overall project management and engineering design of the offsite and utility areas whilst undertaking a review of the UOP design for the process units. One major challenge of this phase was to proceed with the outside battery limits design ahead of obtaining rely upon inside battery limits data. This approach was necessary to allow the client to achieve the aggressive schedule set for this phase of the project. In parallel with the FEED development, we applied our in-depth knowledge of the local contracting environment in Thailand to produce a full invitation to bid package that recognised the particular requirements of the client. Our technical and commercial teams led the effort to pre-qualify bidders, support bidders and client throughout the bidding period, fully process the bids, make the EPC contract award recommendation and place the EPC contract.

Mike brings energy

to Tees Valley engineering

The right technology

After a thorough review of the available phenol production technologies, a combination of UOPs Q-MaxTM process and the Sunoco/UOP Phenol process was selected, which the team concluded would offer a high degree of confidence in being able to achieve a seamless start-up and early beneficial production of high-quality products. The Q-Max process converts benzene and propylene to produce cumene. The cumene is processed via the Sunoco/UOP Phenol process to produce a chemical intermediate cumene hydroperoxide that is then decomposed within the process to produce phenol and acetone.

The Tees Valley Engineering Partnership (TVEP) has appointed Mike Ainsworth as Chairman of its Energy Group.
Mike is general manager of our Teesside Operation in northeast UK and has more than 30 years experience in the engineering sector. He will be able to use this wealth of experience and expertise gained in his full-time position to guide his voluntary role as Energy Group Chairman and help the TVEP in promoting the Tees Valleys engineering industry. The role of the TVEP Energy Group is to recognise the opportunities that exist within the energy sector. Our main focus will be to create a forum for promoting those opportunities to Teesside-based companies, whilst also encouraging local people to be part of the exciting and fulfilling engineering profession. I am very enthusiastic in supporting the northeast and particularly pleased to assist in developing resources for the region.
Mike Ainsworth

Next steps
We are now working closely with PPCL to help guide the project through to a successful conclusion, with production expected to commence mid 2008.

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The

E&C
Market
Presentation at annual conference in Italy
Each year ANIMP OICE and UAMI, three Italian , organisations representing companies involved in engineering contracting, civil construction and consultancy, meet to discuss issues relating to their business.
This years conference was held in the coastal town of Tirrenia, close to Livorno and Pisa. The event included a presentation by Giuseppe Bonadies, managing director, Foster Wheeler Global E&C Sales & Marketing, entitled The market for engineering contractors: present and future. Giuseppes presentation was made as part of a round table panel attended by the CEOs of major contractors. Giuseppe presented an overview of global trends in investment in upstream oil and gas production, LNG, refining and petrochemicals. His paper also addressed the challenges facing both contractors and owners in the current very active engineering and construction market.
ANIMP is the Italian National Association of Engineering and Construction Contractors, and its members include leading contractors, major equipment manufacturers and Italian universities specialising in engineering, such as the famous Milan Politecnico. OICE is the Association of Engineering Consultants, and UAMI is the Association of Construction Contractors.

A 20-year with the

Left: Giuseppe Bonadies; Sadek Ishuayed, managing director, Tamoil Suisse SA; Hammouda El Aswad, ceo of Oilinvest (Holdings) NV and chairman, Tamoil Italia SpA.

54 FW NEWS

Sharing our experience

Tatarstan delegation

relationship Tamoil Group

Foster Wheeler representatives attended International Petroleum Week in February 2006, in London. One of our long-standing clients, Oilinvest, which owns the Tamoil Group, hosted a cocktail party during the week-long event. Giuseppe Bonadies, managing director, Foster Wheeler Global E&C Sales and Marketing, was a guest.
Our Continental Europe organisation has executed major projects at Tamoils refineries at Cremona in Italy and Collombey in Switzerland over the last twenty years, including a state-of-the-art conversion upgrading unit at Collombey. Over that period, we have established a strong working relationship with the Oilinvest group of companies.

Stephen Culshaw (front, 2nd right), director, commercial operations, FWEL, welcoming our visitors.

Foster Wheeler was delighted to welcome a delegation from Tatarstan to Shinfield Park on 26 April 2006.
The visitors from NHR, which operates the Nizhnekamsk refinery and petrochemical complex in the Republic of Tatarstan, have an ambitious new project for a new $3.5bn grassroots complex adjacent to their existing site. Our Paris office has been spearheading the initial study work on the project which has now arrived at the FEED stage. The main purpose of NHR's visit was to hear about our significant refining and petrochemicals experience and particularly our experience in integration projects such as the very successful PETRORabigh project in Saudi Arabia, which is currently in the EPC phase. The visitors, including the refinerys general director, Khamza Bagmanov, the management of JSC Tatneft, which is one of the investors in the project, and the minister of construction of the Republic of Tatarstan, Marat S Khusnullin, were extremely pleased with the in-depth presentation.

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e xperience p rofessionalism c ommitment

All the right ingredients for EPC success

UPSTREAM OIL & GAS LNG & GAS-TO-LIQUIDS REFINING CHEMICALS & PETROCHEMICALS PHARMACEUTICALS, BIOTECHNOLOGY & HEALTHCARE POWER www.fwc.com