JGC Corporation recently announced that in partnership with KBR (USA), it has received a contract calling for FEED (Front End Engineering and Design) and early detailed engineering work for a large-scale LNG plant to be built in the Canadian province of British Columbia. The contract was awarded by Pacific Northwest LNG Ltd., a joint venture consisting of Malaysia's state-owned oil company Petronas (90%), and Japan Petroleum Exploration Co., Ltd. (JAPEX) (10%).
The lump-sum contract calls for FEED and early detailed engineering work for a two-train LNG plant with a yearly capacity of 12 million tons (6 million tons per train), and associated shipping facilities. The plant will be constructed on Lelu Island, Prince Rupert, British Columbia, and the FEED work is scheduled for completion by the end of 2014.
The purpose of this project is to process shale gas produced from British Columbia's North Montney region into LNG suitable for export. In addition to the two 6-million ton trains, the plant is scheduled to include associated utilities, storage, loading, ship berthing and personnel accommodation facilities. JGC will be undertaking the project as part of a joint venture led by American engineering company KBR.
Client Pacific Northwest LNG has awarded FEED contracts to several other groups besides the JGC/KBR join venture. When FEED work is complete at the end of 2014, the client will select the contractor of its preferred FEED package for receipt of the EPC (engineering, procurement, and construction) portion of the project. The start of LNG production is schedule for the end of 2018.
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