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Last updateSun, 04 Feb 2024 4am

Aramco plans 1bscfd new gas plant at Fadhili

State oil giant Saudi Aramco plans to build a new gas plant at al-Fadhili oilfield, which will have a processing capacity of 1 billion standard cubic feet per day of sour gas, three industry sources said. Aramco has stepped up its search for gas to boost production that will help meet rising domestic fuel demand. It completed in 2012 the Karan gas project, the kingdom's first gas field to be developed which was not associated with an oil field.

The new plant will process gas coming from two fields; Khursaniyah and Hasbah. Aramco already has oil and gas processing facilities in Khursaniyah, while Hasbah is one of the two non-associated offshore gas fields that will feed gas to the Wasit project which is currently under development.

The Fadhili plant, which is scheduled to be operational in 2018, will be able to deliver 520 million scfd of gas to the market, the sources said.  Aramco has already invited companies to bid for design and management contracts for the Fadhili project. The due date for bids are Aug. 4.

Saudi Aramco referred Reuters to the oil ministry which was not available for comment on the gas project.  The gas in Hasbah contains high levels of hydrogen sulphide, nitrogen and CO2. Gas with high levels of sulphur - also called sour gas - is tougher to process than other natural gas reserves.

Aramco said in its recently-issued 2012 Annual Review its exploration and appraisal efforts for unconventional gas continue and cited three areas; the Northwest of the kingdom, the Southern part of Ghawar, the world's largest onshore oilfield and in the Rub al-Khali, known as the Empty Quarter.

"A new onshore sour gas processing facility in the Fadhili and Khursaniyah area has the further advantage of opening up new opportunities to tap into the large undeveloped deep but sour gas reservoirs of Khursaniyah," said Sadad al-Husseini, a former top executive at Aramco and now president of Husseini Energy, an independent consulting firm.

 

 

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Iran to build gas refinery on Qeshm Island

Iran is planning to build a gas refinery on the southern Persian Gulf island of Qeshm in the near future, an energy official announced on Sunday.

"The refinery, with a production capacity of 80 million cubic feet of gas per day, will be built in the center of the country's energy zone," Heydar Yarveisi, the head of Qeshm Operational Zone at the National Iranian Offshore Oil Company (NIOOC), also told Fars News Agency. He explained that the development of 16 new oil and gas fields and production of 12,000 megawatts of electricity have been planned for Qeshm Island.

"Due to its geographical situation and proximity to the southern Persian Gulf littoral states and the strategic Hormuz Strait, Qeshm can turn into a hub for storing and exporting oil, gas and petrochemical products," Yarveisi added.

In September, NIOOC Managing Director Mahmoud Zirakchianzadeh said Iran plans to build several gas power plants on Qeshm Island after developing Forouz B gas field in the Persian Gulf waters. Zirakchianzadeh said the project is aimed at generating 12,000 megawatts of electricity.

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Daelim Signs for the Fluid Catalytic Cracker (FCC) Remodeling Project in Kuwait

Daelim held a contracting ceremony for the project to remodel KRW 200 billion FCC and construct acid water treatment facilities at the Kuwait National Petroleum Company (KNPC) head office on June 26, 2013. Ordered by KNPC, this project will be implemented by Daelim’s Plant Business Division in EPC lump sum turnkey fashion wherein the company is responsible for engineering/design, procurement, construction, and test run.

This project is part of the Clean Fuels Project (CFP), which is expanding KNPC’s large-scale refinery, and will be carried out at the Mina Al-Ahmadi refinery, part of Kuwait’s largest oil refining industrial complex, about 35km away south of Kuwait City. Daelim will engage in construction to produce gasoline, LPG, and propylene by decomposing heavy crude oil with higher impurity content through the remodeling of FCC. The company will also build facilities to treat phenol acid water generated by the production and a cooling tower to supply cooling water. The project duration is 24 months.

 

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Daelim wins Large-Scale Petrochemical Plant Construction Project from Saudi Arabia

Daelim has announced recently that it won a USD 825 million (KRW 944.9 billion) ammonia production plant construction project ordered by Saudi Arabia’s Ma’aden together with its local subsidiary, Daelim Saudi Arabia. This project involves building a large-scale petrochemical plant that can produce 3,300 tons of ammonia a day using natural gas as raw material.

Daelim plans to implement this project in lump sum turnkey mode wherein it is responsible for engineering, materials procurement, and construction. The project site is located in Ras Al Khair, about 80km away north from Saudi’s eastern city, Jubail. The construction period is 39 months, and the project is slated to be completed in September 2016.

This project is implemented as one of the projects to build the mining and petrochemical production complex in the Ras Al Khair region and Umm Wu’al region, Saudi Arabia’s northwestern border area. Widely known as a factor essential in chemical fertilizer production, ammonia has been recently hailed as a high value-added petrochemical product since it is diversely used for the manufacture of refrigerant and medical supplies as well as for metal surface treatment.

Ammonia production is a process requiring high-quality technology and strict safety level, and only a small number of companies worldwide have experience in building such plant. Having won this project, Daelim will be implementing 13 projects worth USD 8 billion in Saudi Arabia.

According to Daelim President Lee Chul-gyun, their project performing capability has been recognized once more by winning this project, ordered by one of Saudi Arabia’s Ma’aden, a major client, following Aramco and Sabic. He expects this project to be an opportunity to solidify the company’s status in the petrochemical plant field through successful product diversification.

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Total launches EGINA development on OML 130

Total today announces that its subsidiary Total Upstream Nigeria Limited (TUPNI), operator of the OML 130 block, and co-venturers have obtained the necessary approvals from Nigerian National Petroleum Corporation to award the main EPC contracts for the development of the offshore Egina field.

The field, discovered in 2003, is located in water depths of around 1,600 meters, 200 kilometers offshore Port Harcourt and 20 kilometers southwest of the Akpo field, located on the same license.

“Egina is the second development of the OML 130 license. Following Akpo, which was brought on stream in 2009, it will add significant value to the partnership. With more than 21 million man-hours of local work, the project will make a material contribution to the development of Nigerian economy. After more than 50 years in the country, we are confident that Nigeria will continue to provide a suitable framework to promote investments” commented Yves-Louis Darricarrère, President of Upstream at Total.

The field development plan calls for 44 wells connected to a 330 meter-long floating production, storage and offloading (FPSO) vessel with a storage capacity of 2.3 million barrels. The design of the FPSO includes capacity for future developments of nearby discoveries. First oil is expected end-2017, with output reaching 200,000 barrels of oil per day at plateau.

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