JGC Corporation has announced today that its wholly-owned Saudi Arabian subsidiary, JGC Gulf International Co., Ltd. (JGC Gulf), has been awarded a contract for expansion of ethylene manufacturing facilities for the Rabigh Phase II Project. The contract was awarded by client Saudi Aramco and Sumitomo Chemical Company.

The lump-sum turnkey contract calls for the engineering, procurement, and construction (EPC) services associated with an expansion of the ethylene manufacturing facilities in Rabigh, Saudi Arabia. The expanded facilities will have a capacity of 300 thousand tons per year of ethylene, and are scheduled to be completed in 2015.

Rabigh Refining and Petrochemical Company, a joint venture between Saudi Aramco and Sumitomo Chemical, has been operating an integrated refining and petrochemicals complex (the Rabigh I Project) in Rabigh, Saudi Arabia. In parallel, Saudi Aramco and Sumitomo Chemical have been conducting a feasibility study for the Rabigh Phase II Project, to expand the original complex. The ethylene manufacturing facility that JGC Gulf will be expanding has a capacity of 1.3 million tons per year, and was constructed by JGC Yokohama and completed in 2008 as a part of the Rabigh I project. The ethylene facility makes up one of the core facilities of the complex, with a vital function as the upstream producer of base chemicals used for synthesis of many other chemical products downstream.

The Rabigh Phase II project is of vital importance to Sumitomo Chemical and Saudi Aramco, and JGC is providing project management services for the feasibility study phase of the project. Therefore, JGC is delighted to have its wholly-owned subsidiary participate in the EPC phase of the project.

Foster Wheeler AG (Nasdaq: FWLT) announced today that subsidiaries of its Global Engineering and Construction Group have been awarded an engineering and procurement contract by Sadara Chemical Company (Sadara) for a packaging center at Jubail Industrial City in the Eastern Province of the Kingdom of Saudi Arabia.

The packaging center will be part of a world-scale, fully integrated chemicals complex that is being built by Sadara, a joint venture between Saudi Arabian Oil Company (Saudi Aramco) and The Dow Chemical Company (Dow). When complete, the complex – the largest ever built in a single phase – will be owned and operated by Sadara. The packaging center contract has been awarded as an extension to the front-end engineering design (FEED) contract awarded to Foster Wheeler in 2008.

The Foster Wheeler contract value for the project was not disclosed and will be included in the company’s third-quarter 2012 bookings.

The packaging center, expected to be completed in the second half of 2014, will serve as a logistics handling hub for Sadara’s chemical complex. The facility will handle packaging, storage and loading of high value-added chemical products and performance plastics for road and rail transport within the Kingdom of Saudi Arabia and for export to overseas markets.

“Foster Wheeler is honored to be awarded a contract by Sadara for the packaging center,” said Umberto della Sala, Chief Operating Officer of Foster Wheeler AG. “This award follows our successful completion of the FEED stage for the packaging center and reflects our client’s continued confidence in Foster Wheeler’s ability to execute large and technically complex projects. It further continues Foster Wheeler’s long-standing association with Saudi Aramco and Dow. This is the second major unit awarded to Foster Wheeler under its FEED contract with Sadara, the first being the propylene oxide unit which was awarded in December 2011 and is currently being executed by our Thailand office. Underpinned by our proven track record in providing world-class project execution and project management skills, Foster Wheeler is committed to bringing our global in-depth technical experience and expertise to assist Sadara in realizing its project and investment goals safely and with no compromise on quality.”

Yokogawa Electric Corporation announced recently that Yokogawa Saudi Arabia has been selected as the process control system supplier for the Rabigh II project, in which Saudi Aramco and Sumitomo Chemical have decided to invest. Yokogawa will supply its flagship products, the CENTUM VP production control system and the ProSafe-RS safety instrumented system for the petrochemical complex. The move is an indication that Yokogawa's business partners acknowledge its success in the Rabigh I project and has full confidence in Yokogawa's capabilities.

Since the foundation of Yokogawa Saudi Arabia in 2006, Yokogawa has strengthened its engineering capabilities in the Kingdom through the course of several mega projects. Yokogawa's success in these projects has earned the customer's confidence in its local project execution capabilities, leading to the decision for the Rabigh II project to be fully executed in Saudi Arabia at the company facilities in Dhahran Techno-Valley. The execution of this project in the Kingdom follows Saudi Aramco and Sumitomo Chemical's guidance on the maximization of Saudi Arabian content.

Daelim has won the USD 185 million Sadara CHEM II ISS Project of Saudi’s Sadara Chemical Company. As Saudi’s state oil company, Sadara Chemical Company is a joint venture invested in by Saudi Arabia’s state oil company Aramco and the US’s Dow Chemical Company at 50/50 shareholding.

This project is a U&O (Utilities & Offsite) project involving the construction of various auxiliary facilities for the Sadara MFC Project bagged by Daelim in July 2011 and currently implemented in Saudi’s Jubail II Industrial Complex.

Daelim will implement this project in LSPB (Lump Sum Procurement & Building) mode as the company responsible for procurement and construction. The project is expected to run for 28.5 months and is scheduled to be completed in January 2015.