Archives

 
Enertech Issue No: 003

October 2006

News Round Up

COMPANIES LINE UP FOR REFINERY MAINTENANCE

State refinery operator Kuwait National Petroleum Company (KNPC) has invited seven contractors to bid by 12 September for an estimated $150 million contract to maintain control systems at its Mina Al- Ahmadi refinery. The evaluation is expected to take three months with an award due by year end. The scope of works on the five year contract calls for the maintenance of instrumentation and control systems at the refinery, the provision of manpower, and some rehabilitation and upgrade works. The local ABJ Engg & Contg Company is the current maintenance contractor.

The following companies have been pre-qualified to bid :

-   ABJ Engg & Contg Co
-   Almeer Technical Services Co
-   Deutsche Babcock with Ali Alghanim & Sons
-   Kentz Overseas
-   Instrument Installation & Maintenance Co
-   Integral Services Co
-   National Company for Mechnical & Electrical Works

GE,HHI WIN SUBIYA

The US/Korean Consortium of General Electric (GE) and Hyundai Heavy Industries (HHI) has won the contract to build the Subiya power plant in northern Kuwait. The client, the Ministry of Energy (Electricity & Water) is expected to sign the contract soon.

The GE/HHI team was the frontrunner for the engineering, procurement and construction (EPC) contract when it submitted a low bid of KD 232 Million ($800 Million) earlier in the year. A joint venture of South Korea’s Doosan Heavy Industries & Construction, Germany’s Siemens and the local Alghanim International General Trading & Contracting was the only other bidder with an offer of KD 276 Million ($952 Million).

The scope of works on the contract calls for the construction of a gas fired power plant with total export capacity of 1350MW. GE will supply and install its gas and steam turbines. HHI will carry out the civil construction works.

Gas-oil fuel for the plant wil be sourced from the Mina Al- Ahmadi refinery via a planned 170 kilometer long pipeline. Australia’s Worley Parsons is the pipeline’s engineering, procurement and construction management (EPCM) contractor.

SK BIDS LOW FOR GC 24

South Korea’s SK Engineering & Construction is low bidder at KD 180 Million ($621 Nillion) for the contract to build gathering center GC 24, following the submission of bids on 2 September.

SK’s bid is just over 6 percent lower than the next best offer of KD 191 Million($659 Million) submitted by its compatriot Daelim Industrial Co. UAE based Petrofac International is ranked third on price at JD 199 Million ($686 Million).

The other bidders are Canada’s SNC Lavalin at KD 204 Million ($703 Million), Hyundai Engg & Const Co at KD 213 Million(&34 Million), and Spain’s Tecnicas Reunidas at KD 293 Million ($1010 Million).
The scope of works entails the construction of the new facility with capacity of 200,000 barels a day(b/d) in the Sabriya field near the Iraqi border. The scheme will also cover flow lines, feeder networks, pumping stations and compressors. The UK’s AMEC is the front end engineering and design contractor.

GC 24 is one part of KOC’s plan to increase crude production capacity ti 4 Million b/d by 2020. KOC also intends to issue a tender for the construction of gas booster station 160 to raise capacity in the south later this year.

KOC INVITES BIDS FOR PIPELINE REPLACEMENT

Kuwait Oil Company (KOC) has invited 21 pre-approved international contractors to submit bids by 19 September for a major contract to supply and replace nine oil pipelines between its north and south tank farms. Evaluation will take three – four months. An award is expected early in the new year.

The scope of works on the estimated $300 Million -400 Million engineering, procurement and construction (EPC) contract calls for the demolishing of the existing sour crude pipelines and replacing them with new polyethylene – lined steel pipes of varying diameters up to 48 inches.

The existing pipelines are more than 40 years old and suffer from internal corrosion. The new pipes will be designed to last for 35 years and be fitted with cathodic protection and corrosion monitoring systems.

AL ZOUR FINAL BIDDERS LIST OUT

State refinery operator Kuwait National Petroleum Company (KNPC) has issued the final bidders’ list for its planned 615,000 barrels per day (b/d) new refinery project (NRP) AT Al Zour. The list outlines the joint ventures (JV’s) that have been formed for each of the four main process packages on the estimated $6,300 Million scheme.

PACKAGE 1 (Estimate $2400 Million)

Crude Oil Distillation units, Sulphur Removal Units, Naphtha, Kerosene and Diesel Treatment Units
BIDDERS:

1) Technip/Foster Wheeler Joint venture
2) Snamprogetti
3) GS Engineering & Construction
4) SK Engineering & Construction

PACKAGE 2: (Estimate $ 1000 Million)

Hydrogen Production units, Sulphur Recovery & Manufacturing units, Diesel Gas Treatment units, Amine units and saturated gas units.

BIDDERS:

1) Daelim/ Hyundai Engg & Const Co Joint Venture
2) Petrofac
3) Washington Group
4) SK Engg & Const Co
5) GS Engg & Const Co

PACKAGE 3: (Estimate $ 900 Million)
OFFSITES & UTILITIES:
BIDDERS:

1) Technip/Foster Wheeler Joint Venture
2) Shaw Group/ SK Engg & Const Co
3) Snamprogetti
4) GS Engg & Const Co

PACKAGE 4: (Estimate $ 500 Million)

Tank Farms, Marine Export Facilities:
BIDDERS:

1) Saipem/ Marubeni/Hyundai Engg & Const Co Joint Venture
2) Hyundai Heavy Industries/ Petrofac Joint Venture

Bids for all four of the lumpsum turnkey (LSTK) contracts are due to be submitted on 20th October 2006 although it is rumored that the deadline is expected to be extended further. The Houston office of the US ‘ Fluor Corporation is the front-end engineering and design and project management contractor. Foster Wheeler has carried out the initial feasibility study.

 

contd. 

  Next>>

Download the .pdf format of the newsletter 

P.O.Box 9831 Ahmadi, Kuwait. Ph: +965 3986083 Fax: +965 3986522 email : enertech@arabienertech.com
© Arabi Enertech K.S.C - Kuwait 2005