Fluor awarded contract for integrated chemicals complex in China

By OGJ editors

HOUSTON, Nov. 21 -- A group of engineers led by Fluor Corp. has been awarded a $700 million contract to develop a chemicals complex for a multi-company consortium at the Shanghai Chemicals Investment Park near Shanghai, China. The complex will produce materials for use in foam insulation and cushioning.

Work on the 15-month engineering phase is under way, and construction will commence in 2004, with operations scheduled to begin July 2006.

The complex owners consist of three joint ventures—Shanghai Lianheng Isocyanate Co. Ltd., Shanghai BASF Polyurethane Co. Ltd., and Huntsman Polyurethanes Shanghai Ltd.—which are comprised of BASF Corp.; Salt Lake City-based Huntsman Corp.; Shanghai Chlor Alkali Chemical Co. Ltd.; Sinopec Shanghai Gao Qiao Petrochemical Corp.; and Shanghai Hua Yi (Group) Co.

Fluor will serve as managing partner of the consortium, providing engineering, procurement, and construction management services and receiving 50% of the contract award. Fluor is teamed with Daelim Industrial Co. Ltd. of Seoul, South Korea, and CTCI Corp. of Taiwan to execute the project, and three Chinese firms—Sinopec Shanghai Engineering Co., Chengda Engineering Corp., and Jingding Engineering Co. Ltd.—will provide most engineering services.

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