Saudi Kayan Petrochemical lets contract for Jubail complex

Saudi Basic Industries Corp. (SABIC) affiliate Saudi Kayan Petrochemical Co. (Saudi Kayan), through a contractor, has awarded a contract to Technip SA, Paris, for work related to construction of an additional cracking furnace as part of a debottlenecking project designed to expand ethylene production at Saudi Kayan’s petrochemical complex in Jubail, Saudi Arabia.

Technip will provide basic engineering and equipment for the furnace, the design of which will be based the service company’s proprietary Ultra Selective Conversion (USC) furnace technology, Technip said.

To be executed from its operating center in Milton Keyes, UK, Technip’s scope of work on the project is due to be completed in 2017.

A value of the contract was not disclosed.

Earlier in the year, Saudi Kayan let a contract to Taiwanese firm CTCI Corp. to deliver engineering, procurement, and construction services on the cracking furnace, which will require a total investment of about $94.5 million, Saudi Kayan said in a Feb. 15 news release.

The project comes as part of Saudi Kayan’s Feb. 5, 2015, agreement with Saudi Arabia’s Ministry of Petroleum and Mineral Resources to increase ethylene output in exchange for an increased allocation of ethane supplies, the company said.

The expansion, which will increase ethylene production at the site by 93,000 tonnes/year, is due to be commissioned in second-half 2017.

Contact Robert Brelsford at rbrelsford@ogjonline.com.

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