Engineering consortium hired for $4.3 billion South China petrochemical project

June 2, 2003
BSF has been appointed project management contractor by CNOOC Ltd. and Shell Petrochemicals Co. Ltd. (CSPC) for the implementation phase of a world-scale, $4.3 billion petrochemicals complex in China's Guangdong province.

By OGJ editors

HOUSTON, June 2 -- BSF—a consortium of Bechtel Petroleum & Chemical, Sinopec Engineering Inc. (SEI), and Foster Wheeler Energy Ltd.—has been appointed project management contractor by CNOOC Ltd. and Shell Petrochemicals Co. Ltd. (CSPC) for the implementation phase of a world-scale, $4.3 billion petrochemicals complex in China's Guangdong province.

The CSPC Nanhai petrochemicals project is one of the largest Sino-foreign investments in China made to date, BSF said.

The grassroots project will involve the construction of an 800,000 tonne/year ethylene cracker as well as other processing units, power generation, utilities, and infrastructure. The complex will produce styrene monomer, propylene oxide, ethylene glycol, polypropylene, low-density polyethylene, and linear low- and high-density polyethylene.

In total, the complex, which is slated to begin start up by yearend 2005, is being designed to produce some 2.3 million tonnes/year of products, which will be used primarily by Guangdong province and the high consumption areas of China's coastal economic zones.

BSF, as project management contractor, will oversee the management of the implementation phase of the project on CSPC's behalf. This work includes the management of the EPC and EP contracts; performing the EPC of a significant part of the general facilities, offsites, and utilities; and the management of all site integration and interfaces.