Petronas details RAPID project contract awards

Malaysia’s state-owned Petronas has confirmed the award of 11 major contracts related to critical milestones in the development of its refinery and petrochemical integrated development (RAPID) complex at Pengerang in southeastern Johor, Malaysia (OGJ Online, May 13, 2011).

Five of the contracts are for engineering, procurement, construction, and commissioning (EPCC) for RAPID’s refinery and steam cracker component, Petronas said.

The EPCC contracts were awarded to:

• A consortium of CTCI Corp., Chiyoda Corp., Synerlitz (Malaysia) Sdn. Bhd., and MIE Industrial Sdn. Bhd. for the residue fluid catalytic cracking units, LPG treating unit, propylene recovery unit, and caustic neutralization units.

• Sinopec Engineering (Group) Co. Ltd. and Sinopec Engineering Group (Malaysia) Sdn. Bhd. for the crude distillation unit, atmospheric residue desulfurization units, and hydrogen collection and distribution units (OGJ Online, Aug. 7, 2014).

• Tecnicas Reunidas SA and Tecnicas Reunidas Malaysia Sdn. Bhd. for the kerosene hydrotreating unit, diesel hydrotreating unit, naphtha hydrotreating unit, cracked-naphtha hydrotreating unit, and continuous catalytic reformer units.

• Petrofac International (UAE) LLC and Petrofac E&C Sdn. Bhd. for the amine recovery units, sulfur recovery units, sour water stripping units, liquid sulfur storage unit, and sulfur solidification units.

• Toyo Engineering Corp. and Toyo Engineering & Construction Sdn. Bhd. for the steam cracker complex.

The remaining six contracts, which involve construction of the project’s related infrastructure, were awarded to:

• A consortium of UEM Builders Bhd. and Projek Penyelenggaraan Lebuhraya Bhd. for EPCC of temporary common-camp installations and infrastructure.

• Zelan Construction Sdn. Bhd. for the basic design and EPCC of the material offloading facilities jetty at Tanjung Setapa (OGJ Online, July 25, 2014).

• WCT Bhd. for common construction access and permanent roads within the project site.

• Syarikat Ismail Ibrahim Sdn. Bhd. for the temporary access road within the project site.

• Bumi Dagang Sdn. Bhd. for construction of the main haulage road as well as an access road outside the project site.

• Gadang Engineering (M) Sdn. Bhd. and Menta Construction Sdn. Bhd. for the Phase 2 site preparation works.

The company previously let a program management consultancy (PMC) contract, which includes overall project and site management, to a Technip SA-led joint venture with Fluor Corp. for specific EPCC packages within RAPID (OGJ Online, June 27, 2014).

Additionally, Petronas let an EPCC contract and long-term service agreement in June to a consortium of Siemens AG, Siemens Malaysia Sdn. Bhd., and MMC Engineering Services Sdn. Bhd. for the Pengerang cogeneration plant, one of RAPID’s associated installations, the company said.

Petronas also let two procurement, construction, and commissioning (PCC) contracts in April for other RAPID-related associated installations.

The first PCC contract was awarded to a consortium of Asia Baru Construction Sdn. Bhd. and Putra Perdana Construction Sdn. Bhd. for the Raw Water Supply Project, which will support RAPID’s raw water needs, while a second PCC contract went to a consortium of PBJV Group Sdn. Bhd. and CPM Construction Sdn. Bhd. for the Pengerang Gas Pipeline Project (PGPP), Petronas said.

PGPP is part of the expansion of Malaysia’s Peninsular Gas Utilization pipeline network (OGJ Online, Sept. 18, 2000) to the RAPID complex, subsidiary Petronas Gas Bhd. said in an Apr. 23 filing with Bursa Malaysia.

Other associated installations to be included in RAPID will be Regasification Terminal 2 (RGT2), an air-separation unit, as well as crude and product tanks, the company said.

Petronas said it currently estimates RAPID will cost $16 billion, while associated installations for the project will involve an additional investment of about $11 billion (OGJ Online, July 25, 2014).

RAPID’s refinery start-up is scheduled to take place by early 2019, the company said.

Contact Robert Brelsford at rbrelsford@ogjonline.com.

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