Page 19 - DMEA Week 29

DMEA REFINING DMEA

UAE’s Target bags $53mn contract

at top Saudi refinery

UAE THE UAE’s Target Engineering has landed a refinery is located.
contract worth SAR200mn ($53.3mn) to replace Following the upgrades, all gasoline pro-
Target Engineering won storage tanks at Saudi Aramco’s 550,000 barrel duced at Ras Tanura will comply with the EU’s
an EPC contract from per day (bpd) Ras Tanura oil refinery, it said on Euro-5 standard, in preparation for the adoption
Aramco last yar. July 21. of higher fuel specifications across the kingdom.
Target, a subsidiary of Arabtec Holding, will It will also turn out ultra-low sulphur diesel,
replace three naphtha and two slop oil storage which complies with new International Mari-
tanks at the oil processing plant, Saudi Arabia’s time Organisation (IMO) rules on maritime fuel
largest, situated on the shore of the Persian Gulf. emissions.
Ras Tanura is undergoing a $2.4bn overhaul, The latest deal follows a $75mn engineer-
aimed at cutting the sulphur content of its motor ing, procurement and construction (EPC) con-
fuels. The project involves the addition of several tract Target received from Aramco last year to
new units, including a 90,000 bpd continuous upgrade a produced water disposal facility at
catalytic reforming unit that Aramco describes the Qatif gas oil separation plant. Its parent
as the largest of its kind. Arabtec is the UAE’s largest listed contractor,
Once the reformer is online Ras Tanura and is chaired by Waleed Al Muhairi, who is also
will no longer export naphtha, instead pro- the deputy CEO of UAE wealth fund Mubadala
ducing more gasoline and lighter fuels for Investment.
domestic consumption. It currently ships “We are delighted to be continuing to build
around 40,000 bpd of naphtha abroad, typi- our relationship with Saudi Aramco in the King-
cally to refiners in South Korea and sometimes dom of Saudi Arabia,” Farsakh said of the latest
to Japan and Taiwan. According to Refinitiv, contract. “In line with our strategy, this impor-
most of its supplies went to the South Korean tant award further builds the group’s presence in
port of Onsan last year, where a Saudi-owned the oil and gas sector.” ™
PETROCHEMICALS

Nigeria’s $2bn new urea plant

due online in 2020: Saipem

NIGERIA PRODUCTION will start at Nigerian conglom- make sure deadlines are met, the CEO said, includ-
erate Dangote’s $2bn fertiliser plant in Lagos this ing providing dedicated flights for vendors and
The plant is the largest year, Italian contractor Saipem has confirmed to suppliers.
of its kind in the world. Bloomberg. A Dangote official also confirmed in June
The facility will use gas supplies from Nigeria that the plant would be in operation by year-end,
Gas Co. and Chevron Nigeria as its feedstock to although traders have warned that commercial out-
produce 3mn tonnes per year (tpy) of urea and put might not start until as late as the second quarter.
ammonia. This makes it the largest plant of its Nigeria already has two urea plants in opera-
kind in the world. tion – the 1.4mn tpy Indorama unit at Port Har-
Test runs began at the facility in March, court and the 500,000 tpy Notore facility at the
although the coronavirus (COVID-19) pan- port of Onne. A second 1.6mn tpy train is slated
demic led to disruptions,” Saipem’s chief operat- to start production at the Indorama facility in
ing officer Maurizio Coratella said. December.
“Train two commissioning and testing will By expanding its urea production, Nigeria
start soon, as such activities will be overlapped hopes to help develop its agricultural sector and
with train one,” he said. “The project is planned feed its growing population. The sector has stag-
for completion within the end of 2020, with train nated in recent decades, overshadowed by the
one starting production within weeks and train country’s oil industry. Nigeria is also on a drive
two following soon after.” to utilise more of its gas reserves, having declared
Saipem is making special arrangements to 2020 to be the “Year of Gas.” ™

Week 29 23•July•2020 www. NEWSBASE .com P19