CB&I Lummus wins Jubail cracker work

26 March 2008

The US’ CB&I Lummus Global, formerly known as ABB Lummus Global, has won a contract worth $140m to supply cracking heaters for an ethylene cracker in the Gulf.

CB&I declined to say which project the contract is for, but it is thought to be for the National ChevronPhillips (NCP) complex at Jubail, planned by Saudi Polymers Company.

Under the terms of the deal, Lummus will supply and install nine crackers for an ethylene plant with a capacity of 1.165 million tonnes a year. In addition to the award, Lummus will also provide the process technology and basic engineering under a separate contract.

When it is completed in 2011, NCP will comprise a world-class olefins cracker, and will produce ethylene, propylene, polyethylene, polypropylene, polystyrene and 1-hexene.

Japan’s JGC Corporation is the engineering, procurement and construction contractor for the cracker and downstream units. South Korea’s Daelim Industrial Company is the contractor on the polyolefins package (MEED 17:12:07).

Ownership of Saudi Polymers Company, which was set up to execute the NCP Project, will initially be evenly split between Arabian Chevron Phillips Petrochemical Company (ACP), a wholly-owned subsidiary of Chevron Phillips Chemical Company, and Saudi Industrial Investment Group.

Ultimately, Saudi Polymers Company will be 35 percent owned by ACP and 65 percent owned by National Petrochemical Company (Petrochem), a new joint stock company incorporated in the kingdom.

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