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Yokogawa wins LNG Carrier Control System Order for Ichthys LNG Project in Australia

Yokogawa Electric Corporation announces that it has received an order from Kawasaki Heavy Industries, Ltd. to supply the control system for an LNG carrier that is being built for the Ichthys LNG project* in Australia.

The ship will be the world’s largest Moss-type LNG carrier and will be used for transporting LNG from an onshore LNG processing plant that is being constructed as part of the Ichthys LNG project. The ship is scheduled to enter service by the end of 2016, in time for the completion of the plant. The ship is also the first Moss-type LNG carrier equipped with a dual fuel diesel engine (DFDE), which burns both fuel oil and gas.

Yokogawa will deliver the CENTUM® VP integrated production control system for monitoring and controlling the LNG carrier’s LNG tanks and loading/unloading facilities as well as the supply of gas to the DFDE and the supply of power to other driving units. Yokogawa will also be responsible for the engineering and commissioning of the control system.

Yokogawa believes that the following factors were key considerations in the decision to give it this order:

The company has already delivered control systems for other DFDE ships.

The company has a global service network, ensuring that vessels can undergo maintenance at any LNG port.

Yokogawa won the control systems order for other Ichthys LNG project facilities in 2012. These include the onshore LNG processing plant, offshore production/process facilities, and the floating production, storage and offloading (FPSO) vessel. With this contract, the CENTUM VP system will cover all project facilities, from production to LNG transport.

Globally, the construction of many LNG carriers is planned for the transport of LNG from North America, Russia, Africa, and other regions. Backed by this order, Yokogawa will expand its control business for marine resource development facilities, including LNG carriers, FPSO vessels, floating LNG (FLNG) vessels, and floating storage and re-gasification units (FSRU).

* This project is being carried out by a joint venture between INPEX (operator), Total, and several other companies. Gas from the Ichthys field, which is located offshore of northwestern Australia, will undergo preliminary processing at sea to remove water and impurities, and extract condensate. The gas will then be transported by undersea pipeline to onshore processing facilities in Darwin. The project is expected to produce 8.4 million tons of LNG and 1.6 million tons of LPG per year, along with approximately 100,000 barrels of condensate per day at peak.

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SNC-LAVALIN opens regional Head Office in Abu Dhabi to support development in MENA

On the occasion of the visit to the Middle East by Robert G. Card, President and CEO of SNC-Lavalin Group Inc., the Company announced the opening of its regional head office for the Middle East and Africa located in Abu Dhabi, United Arab Emirates. Mr. Card also attended the launch celebration in Saudi Arabia for the new city of Wa’ad Al Shamal.

The opening of the office, an important milestone in SNC-Lavalin’s development, coincides with a contract the company recently signed with Ma'aden in Saudi Arabia. Estimated at USD $500 million, the contract includes the engineering, procurement, construction, commissioning and start-up of a three-line 15,150-metric-tonne-per-day sulphuric acid plant.

“With estimated GDP growth of over 5.6% per year until 2018, and with major projects in the infrastructure, oil and gas, mining and power sectors, the Middle East region offers significant development opportunities for SNC-Lavalin,” said Mr. Card during his visit to the Abu Dhabi office. “This is a target region for the Group’s activities, and the opening of this regional head office is an indication of our intention to expand our activities and make important contributions in this region.”

The Middle East and Africa region contributes significantly to the business volume of the Company’s Mining & Metallurgy and Oil & Gas business units (18 percent and 25 percent respectively as of December 2012). As of December 2013, the Company had more than 3,000 employees across the Middle East and Africa.

“The opening of this regional head office will allow us to strengthen our client relationships, expand our commercial opportunities and have the best business platform to deliver projects according to clients’ expectations,” said Christian Jacqui, Executive Vice-President, Global Operations, SNC-Lavalin Group Inc.

Under the leadership of Ziad Awad, Senior Vice-President and Regional Head for the Middle East and Africa, this office will work closely with existing offices across the region, specifically in Saudi Arabia, Qatar, South Africa, Morocco, Algeria, Tunisia and Libya.

SNC-Lavalin is already present in the Middle East through major projects. In Saudi Arabia, the general engineering services (GES+) contract between SNC-Lavalin and Saudi Aramco, the world’s biggest oil producer, is a recognition of the Company’s ability to create value in the Kingdom by supporting its world-class oil and gas projects and pairing its expertise with that of its Saudi partners.

Finally, SNC-Lavalin's High-Value Centres with world-class engineers in Egypt, India, UK and Canada, will continue to support its operations in the region.

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Oman, Spanish firms launch JV for $200m pipeline

Reuters: Oman Oil Refineries and Petroleum Industries Company (ORPIC) and Spanish company Compania Logistica de Hidrocarburos, have launched a joint venture to build a 280km pipeline project.

"This is a significant project on a number of levels," said Musab al- Mahrouqi, ORPIC CEO.

"As a multi-product pipeline it is a first for Oman, a complex transportation system that will have a positive impact for the business overall and specifically in environmental issues."

The Orpic Logistics Company (OLC) has been established to construct the Muscat-Sohar Product Pipeline (MSPP) which also includes a terminal and a direct pipeline link from Jifnain to Musc at International Airport. A total of $200m will be invested in the project. MSPP will be one of three major projects to be started - the others being the Sohar Refinery Improvement Project and the Liwa Plastics Project, a statement carried by Oman Press Agency said.

"The Jifnain terminal is a strategic storage facility, capable of responding to emergency situations should it be necessary. And the direct link to the new airport will mean that aircraft will be refuelled through a closed system, guaranteeing a continuous flow 24 hours a day, rather than having to use fuel tankers.

"We strongly believe that this project is strategically important for Oman."

The pipeline will transport four types of fuel, premium and regular gasoline, diesel and jet A1 for aircraft, using a computer controlled buffering system to separate product streams.

New Arrivals

Technip wins a new contract in the Middle-East

Technip has been awarded a substantial contract(1) by Dubai Petroleum Establishment (DPE). This covers the engineering, procurement, construction and installation of the Jalilah B field development project, located nearly 90 kilometers offshore Dubai (United Arab Emirates, UAE), at water depth reaching 60 meters.

Technip’s scope of work consists of the construction and installation of the Jalilah B platform, a 900-ton deck, a 500-ton jacket, as well as 13 new risers(2) on existing platforms. It also includes the installation of 110 kilometers of pipelines ranging from 6 to 24 inches in diameter. This contract will use three of Technip’s specialized vessels, including the G1201, one of the Group’s flagship S-Lay installation vessel designed for work in both deep and shallow water.

Technip’s operating center in Abu Dhabi will execute this fast-track project, scheduled for completion in the second half of 2014.

With a nearly 30-year presence in the Middle-East, Technip combines together keen understanding of business needs, differentiating technology offer and strong execution capabilities. The Group is therefore well positioned to manage increasing complex projects of the oil and gas industry in the UAE.

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Iraq awards contract for Karbala refinery

The Iraqi government has let a contract to a consortium of South Korean firms for the construction of a refinery in southern Karbala Province, Iraq, 100 km south of Baghdad.

The Iraqi council of ministers approved the contract award between the oil ministry’s state company for oil projects and a four-company consortium led by Hyundai Engineering & Construction on Jan. 7, a cabinet statement said. The 54-month engineering, procurement, and construction (EPC) contract is valued at $6.04 billion.

The planned 140,000-b/d Karbala refinery, which will produce liquefied gas, gasoline, gas oil, fuel oil, jet fuel, and asphalt meeting international standards equivalent to European production, will serve growing domestic Iraqi demand, Iraq’s Minister of Oil Abdulkareem Liaybi said on Jan 9.  Production from the Karbala refinery also will feed the Khayrat power station, which supplies Karbala Province with electricity, according to the oil ministry.

The Karbala project is part of Iraq’s longer-term plan to construct four refineries in an effort to add 750,000 b/d of refining capacity. The additional planned projects include a 300,000-b/d Nassiriya refinery as well as two additional refineries in Maysan and Kirkuk, each with a capacity of 150,000 b/d.

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