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Sasol awards contracts for US ethane cracker and derivatives complex
1:54 PM MDT | July 15, 2013 | Natasha Alperowicz
Sasol today announced a series of engineering and technology provider appointments as it continues to advance front-end engineering and design (FEED) of its Lake Charles, LA ethane cracker and derivatives project. Fluor is the main FEED contractor for the ethane cracker and derivatives project. Individual engineering services agreements for the development of basic engineering packages have been concluded with Toyo Engineering for the linear low-density polyethylene (LLDPE) plant, Mitsui Engineering & Shipbuilding for the low-density polyethylene (LDPE) plant, and Samsung Engineering America for the ethylene oxide (EO) and monoethylene glycol (MEG) units.
The technologies of Technip Stone & Webster Process Technology, ExxonMobil Chemical Technology Licensing, Univation Technologies, and Scientific Design Co. have been selected for the ethane cracker, LDPE, LLDPE and EO- MEG processes, respectively. In addition, Sasol will use its own proprietary technologies for the tetramerization, Ziegler alcohol, and Guerbet alcohol units. Emerson Process management, a global business of Emerson, has been appointed as the main automation contractor for the project.
WorleyParsons has been contracted to support Sasol's own project execution team as part of an integrated project management team. WorleyParson's systems, tools, and local expertise will be used to enhance the Sasol team that is overseeing the project.
"We are delighted to be working with these world-class contractors and technology partners in executing our project," says Johan du Preez, Sasol executive v.p/US megaprojects. " The selected companies are leaders in their respective fields and have the technologies, systems, and expertise to help us deliver the project on schedule, optimizing our return on investment."
Sasol announced in December 2012 that it would begin FEED work for a world-scale ethane cracker and derivatives facility to be located at Lake Charles. The current project costs for the ethane cracker are estimated at between $5 billion and $7 billion. The final investment decision for the ethane cracker will be taken in 2014 with beneficial operation to be achieved in 2017, Sasol says.
The ethane cracker is designed to produce 1.5 million m.t./year of ethylene. "The ethylene produced in the chemical facility will be used to produce a range of high-value derivatives in world-scale plants," says Andre de Ruyter, Sasol's senior group executive/global chemicals and North American operations. "This forms part of Sasol's strategy of building globally competitive downstream facilities and adding value to the already low cost of ethylene production opportunity in North America," de Ruyter says.