Borouge sets Ruwais ahead

16 December 2005
Abu Dhabi Polymers Company (Borouge)has kicked off tendering on the estimated $2,500 million phase 3 expansion of its Ruwais petrochemical complex by issuing the first part of the invitation to bid (ITB) package for its new ethane cracker.
Abu Dhabi Polymers Company (Borouge)has kicked off tendering on the estimated $2,500 million phase 3 expansion of its Ruwais petrochemical complex by issuing the first part of the invitation to bid (ITB) package for its new ethane cracker.

All five members of the ethylene club - ABBLummusGlobal, Kellogg Brown & Root (KBR)and the ShawGroup, all US-based, Germany's Linde, and Paris-based Technip- have been invited to bid for the estimated $900 million-1,100 million technology-cum-engineering, procurement and construction (EPC) contract. A bid deadline will be set once the rest of the ITB is released, scheduled for the second week of December (MEED 25:11:05).

Ethane feedstock for the 1.4 million-tonne-a-year cracker will be sourced from the third phase of the onshore gas development (OGD-3) and phase 2 of the Asab gas development (AGD-2) project in Abu Dhabi, due to come on stream in 2008.

The cracker project is the central element of the expansion, which will also see the construction of one 540,000-t/y polyethylene (PE) unit and two 400,000-t/y polypropylene (PP) units, the tenders for which are expected next year.

On completion in 2009, the expansion will triple Borouge's capacity to 2 million t/y. The US' FosterWheeleris the scheme's project manager. HSBCis financial adviser. Financial close is expected in early 2007.

Borouge is a 70:30 joint venture of Abu Dhabi National Oil Company (ADNOC)and Copenhagen-based Borealis(MEED 28:10:05).

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