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Contract For A Gas Processing Plant in Qatar

Source: 7/11/2006, Location: Middle East

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Technip has signed a contract for engineering, procurement and construction (EPC) of Al Khaleej Gas Phase 2 Project (AKG-2) with RasGas Company Limited, acting on behalf of ExxonMobil Middle East Gas Marketing Limited.

This contract for a gas processing train, with a capacity to support gas sales of 1,250 million standard cubic feet per day (MSCFD) of natural gas, will be executed by the Technip/Chiyoda Joint Venture (CTJV). The value of the contract exceeds US$ 1.6 billion.

After its completion in 2009, AKG-2 Project will produce sales gas to satisfy the increasing domestic gas demand in Qatar and eventually contribute to further development of the Qatari industrial infrastructure. The AKG-2 train will also have the capacity for ethane recovery.

Both Technip and Chiyoda have vast experience in Qatar and in gas projects in particular. Technip recently completed the first gas-to-liquid (GTL) plant in Qatar. This unit is fed by the Al Khaleej Gas Phase 1 (AKG-1) plant, which has a gas sales capacity of 750 million cubic feet per day and was completed in 2005 by Chiyoda. CTJV is currently executing the worlds 6 largest liquefied natural gas (LNG) trains, each with a capacity of 7.8 million tons per annum, in Ras Laffan, Qatar.

The lessons learned from the AKG-1 Project and the ongoing LNG projects in the region will contribute to the success of AKG-2 Project, allowing for rapid monetization of the gas reserve due to fast-track project execution and synergies from the simultaneous execution of other projects, in particular the RasGas (3) LNG Trains 6 and 7. In addition, AKG-2 Project will benefit fully from CTJVs innovative new execution approach using the Reliability Enhancement Program, a continuous improvement program based on the analysis of completed projects.

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