Foster Wheeler celebrates successful start-up of petrochemicals complex in China
Posted: 27 April 2006
CSPC's $4.2 billion Nanhai petrochemicals complex in Guangdong Province in the People's Republic of China, has successfully started operations.
Foster Wheeler's UK subsidiary, Foster Wheeler Energy Limited, part of its Global Engineering and Construction Group, was part of a joint venture which acted as the project management contractor for the entire complex and performed engineering, procurement and construction activities for portions of the project.
A special start-up ceremony was held at the complex at the end of March 2006.
CSPC is a joint investment by China National Offshore Oil Corporation, Royal Dutch Shell and Guangdong Guangye Investment Group Company Limited and the project represents the largest Sino-foreign investment in China to date.
Foster Wheeler and its partners also completed the project's 18-month definition, or front-end design, phase.
As the project management contractor, the joint venture managed the EPC and EP contracts, performed the EPC of a significant part of the general facilities, offsites and utilities and managed all site integration and interfaces.
"This project, truly a world-scale undertaking, is a tremendous success for Foster Wheeler," said Steve Davies, chairman and chief executive officer of Foster Wheeler Energy Limited.
"We are delighted to have brought our extensive experience and project execution skills to this challenging project and to contribute to its successful conclusion, within our client's safety, cost, schedule and quality objectives."
"The completion of this massive complex petrochemical project to expected time and budget is a considerable achievement," said Rob Routs, downstream executive director, Shell.
"This is the beginning of decades of productive life for the plant serving the Chinese people by helping to meet their rapidly growing demand for high-quality petrochemicals."
The greenfield project involved the construction of a world-scale cracker (lower olefins plant) together with other process units, power generation, utilities and infrastructure.
The cracker is the heart of the complex, producing 800,000 tonnes per annum (tpa) of ethylene and 430,000 tpa of propylene. It is designed to take a variety of liquid feedstocks, the first facility of this kind in China.
Construction of the complex was completed at the end of December 2005 with successful production of on-specification ethylene and propylene being achieved on January 29, 2006.
All production units are now fully operational. In total, the world-scale petrochemicals complex will produce some 2.3 million tpa of products to primarily supply Guangdong and the high consumption areas of China's southeast coastal economic zones.
Posted by Richard Price, Editor, EnergyME.com
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