CAP lets contract for Indonesian petrochemical complex

Jan. 24, 2019
PT Chandra Asri Petrochemical Tbk. (CAP) subsidiary PT Chandra Asri Perkasa (CAP2) has let an additional contract to McDermott International Inc. to provide process technology for CAP2’s planned petrochemical complex in Indonesia.

PT Chandra Asri Petrochemical Tbk. (CAP) subsidiary PT Chandra Asri Perkasa (CAP2) has let an additional contract to McDermott International Inc. to provide process technology for CAP2’s planned petrochemical complex in Indonesia.

As part of the contract for what will be CAP2’s second petrochemical complex in the region, McDermott will deliver detailed engineering of eight proprietary short residence time (SRT) ethylene cracking heaters for the steam cracker, which will produce 1.1 million tonnes/year of ethylene and 600,000 tpy of propylene using McDermott’s proprietary Lummus SRT pyrolysis heater technology, the service provider said.

Valued at $1-50 million and to be reflected in McDermott’s fourth-quarter 2018 backlog, this latest contract follows CAP2’s earlier award to McDermott to provide licensing and basic engineering of the proposed complex’s ethylene plant (OGJ Online, July 2, 2018).

The complex also will feature a butadiene extraction unit equipped to produce 175,000 tpy of butadiene using BASF Corp.-Lummus butadiene extraction technology.

CAP2’s complex—which will join CAP’s existing petrochemical complex at Ciwandan, Cilegon, in Indonesia’s Banten province—comes as part of the operator’s program to boost local petrochemical production to help meet rising Indonesian demand, McDermott said.

CAP, itself a subsidiary of PT Barito Pacific Tbk., Jakarta, previously let a contract to McDermott (formerly CB&I) to supply materials for the planned revamp of existing furnaces at the naphtha cracker of its 860,000-tpy Ciwandan ethylene plant to expand capacity to 900,000 tpy by first-quarter 2020 (OGJ Online, July 10, 2017).

Contact Robert Brelsford at [email protected].