Contract awarded for Tatarstan refinery

Sept. 19, 2006
CJSC Nizhnekamsk Refinery has let a contract to Foster Wheeler Ltd.'s Paris-based subsidiary Foster Wheeler France SA for front-end engineering and design (FEED) for a refining and petrochemical complex to be built in Nizhnekamsk in Tatarstan, Russia.

By OGJ editors
HOUSTON, Sept. 19 -- CJSC Nizhnekamsk Refinery has let a contract to Foster Wheeler Ltd.'s Paris-based subsidiary Foster Wheeler France SA for front-end engineering and design (FEED) for a refining and petrochemical complex to be built in Nizhnekamsk in Tatarstan, Russia.

The contract, terms for which were not disclosed, is an addition to an existing project management consultancy contract awarded in 2005.

The planned complex, expected to cost more than $3 billion, will consist of a deep-conversion refinery with 140,000 b/d of distillation capacity and a petrochemical plant. Construction of the complex will occur in three separate phases during 2008-10.

The oil processing section of the complex will include aromatic units and a deep conversion section with a fluidized catalytic cracker, a distillate hydrocracker, a delayed coker, and a gasification plant. The petrochemical section of the complex will include purified terephthalic acid, polyethylene terephthalate, linear alkylbenzene and polypropylene units, plus the associated power generation facilities.

Foster Wheeler will develop a complete FEED package, including definition of scope and configuration for all the processing units. The company's Moscow office intends to supervise and coordinate the FEED activities, which will be carried out by the Russian Design Institute JSC VNIPIneft (Moscow), for the nonlicensed refinery units, including the atmospheric crude distillation and the vacuum distillation units, as well as utilities and offsites.

The selection of licensors for the oil processing and petrochemical plants has been completed by CJSC, with the support of Foster Wheeler.