Saudi Kayan lets petrochemical complex contract

By OGJ editors
HOUSTON, Nov. 30 -- Saudi Kayan, a joint venture of Saudi Basic Industries Corp. and Al-Kayan, has awarded Flour Corp. an engineering, procurement, and construction management services contract for the utilities and offsite (U&O) facilities of the joint venture's 4 million tonne/year petrochemical complex to be built in Al-Jubail, Saudi Arabia.

"This project will utilize 17 licensed technologies and will produce both specialty amine derivatives and polycarbonates for the first time in Saudi Arabia," said Jeff Faulk, Fluor's group president for energy and chemicals.

Once completed, the $2.2 billion complex will include a 2 million tonne/year ethane-butane cracker, including benzene extraction facilities; a 700,000- tonne/year polyethylene plant; a 350,000 tonne/year polypropylene plant; and a 530,000-tonne/year ethylene glycol unit.

Also, an integrated phenolics plant, including cumene, phenol, and Bisphenol-A units, will produce feedstock for a 260,000-tonne/year, high-value polycarbonates plant. Additional amine derivative facilities will be installed for the production of methylamines, ethanolamines, ethoxylates, and choline chloride.

Saudi Kayan said agreements with Saudi Aramco are complete for the supply of ethane and butane feedstock, and permits have been received from the Royal Commission for the commercial use of land and water.

Engineering on the U&O facilities, which Faulk said were the "heart of the complex," began in July and will continue through 2008. Construction is slated to begin in February 2007, and completion is targeted for December 2009.

Fluor also provided front-end engineering and design and project management consultancy services for the complex.

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