Abu Dhabi LPG scheme takes shape

06 September 2002

Up to seven international companies are expected to prequalify for an engineering, procurement and construction (EPC) contract to build a new liquefied petroleum gas (LPG) train for Abu Dhabi Gas Liquefaction Company (Adgas) on Das island(MEED 25:1:02; 7:12:00).

'The shareholders [of Adgas] are due to finalise the list by mid September,' says a project source. The list is expected to include Chiyoda Corporation and JGC Corporation, both of Japan, Hyundai Engineering & Construction Companyand DaelimEngineers & Construction Company, both of South Korea, Paris-based Technip-Coflexip, UK-based Kvaerner E&C and Chicago Bridge & Iron Company of the US, with its affiliate, Howe-Baker Engineers.

Chiyoda is carrying out the front-end engineering and design (FEED) package, which is due to be completed by late September. The Japanese firm also carried out the conceptual study for the proposed expansion. Stone & Webster, part of the US' Shaw Group, is the project management consultant (PMC).

Adgas is expected to issue the EPC bid package in early October, with technical prices due to be returned within 60 days. The project is to be carried out on a fast-track basis.

Estimated to cost at least $250 million, the expansion involves the addition of a new LPG train of about 1 million tonnes a year (t/y). Designs will allow for liquefied natural gas (LNG) capacity to be added at a later date.

Adgas already operates three LNG trains on Das, with combined production of about 5.4 million t/y. It also produces 1.7 million t/y of LPG, 535,000 t/y of pentane and 338,000 t/y of sulphur.

Adgas plans further work on Das. Technical and commercial bids were due to be submitted by 7 September, following an extension of the deadline, for the post of PMC on the proposed upgrade of control systems. Six international companies were due to price the contract. The project will cover the supply and installation of distributed control, emergency shutdown and machinery control systems for LNG trains 1 and 2 and related facilities (MEED 16:8:02).

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