A Norwegian/Chinese joint venture of AkerKvaernerand Sinopechas received a letter of intent for the contract to build two linear low-density polyethylene (LLDPE) and polypropylene (PP) units on the Yanbu National Petrochemicals Company (YanSab)petrochemicals complex at Yanbu. Tenders have also been recently issued for two other process packages - the high-density polyethylene (HDPE) plant and the benzene, xylene and toluene units. The client on the complex is Saudi Basic Industries Corporation (Sabic).
Under the terms of the estimated $400 million award, the Aker/Sinopec team will build on an engineering, procurement and construction (EPC) basis the two plants and associated product handling facilities. Both units will each have nameplate capacity of 400,000 tonnes a year (t/y). The PP plant will use Unipol PP technology licensed by the US' Dow Chemical Company. The client will use its own proprietary technology for the LLDPE plant. Construction will take about 33 months. The contract is the third main process unit package to be awarded at the grassroots YanSab complex. In mid-July, Japan's Toyo Engineering Corporation received a letter of intent from Sabic for the contract to build the 700,000-t/y ethylene glycol (EG) plant (MEED 22:7:05). Paris-based Technip in May won the EPC-cum-technology supply contract to build the project's ethane/propane cracker (MEED 13:5:05). International EPC contractors have been given until late autumn to submit bids for the 500,000-t/y HDPE package, for which Germany's Uhdecarried out front-end engineering and design (FEED) works, and the contract to build the 250,000-t/y benzene, xylene and toluene compound plant. US-based Fluor Corporationwill carry out the $650 million-700 million offsites and utilities package on the development, while US-based Foster Wheeleris the project management consultant (PMC) on the project. ABN Amrowith Saudi Hollandi Bankis the financial adviser.