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ENERGY NEWS

 
     
 

Linde Engineering wins billion dollar Borouge contract

Posted: 28 November 2006

Borouge has awarded the contract to build its new ethylene cracker to Linde Engineering.

The cracker will have a capacity of approximately 1.5 million tons per annum and is considered to be the largest gas cracker in the world.

The value of the contract is approximately US$ 1.3 billion and is awarded on a lump sum EPC turn key basis.

Work is expected to begin in the 1st week of December 2006, and is scheduled for completion in 41 months from the effective date.

This award is the first step in Borouge 2, the major expansion project being undertaken by Borouge, which will triple production capacity.

Borouge 2 is a key part of Borouge’s strategy for growth, tripling its production capacity and consolidating its position in markets throughout the Middle East, Asia-Pacific and Africa. It is expected to come on stream by 2010.

In addition to the ethylene cracker, the Borouge 2 project comprises the world’s biggest olefins conversion unit, producing 752 Kilotonnes per annum and two Borstar polypropylene plants with a combined annual capacity of 800 Kt along with a new Borstar Enhanced PE plant that will have an annual capacity of 540 Kt to complement the existing 600Kt unit.

The project will also include a general Utilities and Offsite package. The award of the above 3 remaining packages is expected during first and second quarter 2007.

The new expansion will be located next to Borouge’s existing petrochemical complex in Ruwais, Abu Dhabi in the United Arab Emirates.

 

 
     

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