duction, storage, and offloading vessel. Oceaneering plans to
manufacture the umbilicals in Rosyth, Scotland, with delivery
scheduled for early 2021.
PROCESSING QUICK TAKES
Tosoh lets contract to expand ethylene capacity
Tosoh Corp., Tokyo, has let a contract to Toyo Engineering
Corp. (TEC) to build a naphtha-cracking furnace for an expansion of ethylene production at its Yokkaichi complex in Mie
As part of the lump-sum turnkey contract, TEC and fellow
domestic subsidiary TEC Project Services Corp. will provide
engineering, procurement, and construction for a single cracking, which will be equipped with proprietary technology from
CB&I-Chevron Corp. joint-venture Chevron Lummus Global,
the service provider said.
While it did not disclose details regarding a value of the EPC
contract or capacity of the proposed expansion, TEC did confirm the project is scheduled to be completed in August 2019.
Tosoh in May said it would invest nearly $90 million by
2020 to expand ethylene production at Yokkaichi’s existing
527,000-tonne/year naphtha cracker, according to local Japanese media reports.
In its latest annual report to investors, Tosoh said it continues to operate the Yokkaichi naphtha cracker at full rates amid
rising olefins demand, which prompted a decision to increase
the cracker’s efficiency.
The project was to involve installation of a gas turbine to be
completed by spring 2020, the operator said.
Sasref lets contract for Jubail refinery revamp
Saudi Aramco Shell Refinery Co. (Sasref), a 50-50 joint venture
of Saudi Aramco and Royal Dutch Shell PLC, has let a contract
to CB&I, Houston, to provide engineering, procurement, and
construction management for the modernization and expansion of its 305,000-b/d refinery at Jubail, Saudi Arabia.
Valued at more than $95 million, this latest EPCM contract
follows Sasref’s previous contract awards to CB&I for conceptual design and front-end engineering and design phases of the
project, the service provider said.
CB&I said it also worked with Sasref to optimize its investment on the proposed project.
The modernization and expansion will entail reconfiguring
the refinery to achieve the operating flexibility required for producing Euro 5-quality fuels and reducing emissions at the site,
Further details regarding the refinery’s planned overhaul
have yet to be reported.
EPP to expand Mont Belvieu butane isom capacity
Enterprise Products Partners LP (EPP), Houston, will expand
capacity of a 116,000-b/d butane isomerization plant at its NGL
fractionation and storage complex in Mont Belvieu, Tex.
The partnership is currently evaluating two expansion options that would add up to 30,000 b/d of incremental butane
isomerization capacity at the site, EPP said.
Both options are supported by new long-term agreements
to provide butane isomerization, storage, and pipeline services,
including a 20-year, 35,000-b/d fee-based tolling agreement,
the operator said.
The proposed expansion comes amid solid demand growth
for high-purity isobutane by the petrochemical and refining industries, said A.J. Teague, chief executive officer of EPP’s general partner.
The company disclosed no further details regarding a time-line or cost of the planned expansion.
TRANSPORTATION QUICK TAKES
House bills introduced aimed at easing LNG exports
US Rep. Bill Johnson (R-Ohio) has introduced a pair of bills
designed to facilitate US exports of LNG. H.R. 4605 would let
exporters begin shipments after completing the US Federal
Energy Regulatory Commission’s review process instead of requiring them to wait for US Department of Energy approval,
H.R. 4606 would codify DOE’s efforts to begin exports of
small volumes of LNG to Caribbean and Central and South
“The US is currently the world’s largest producer of natural
gas, with trillions of cubic feet of recoverable gas beneath our
feet,” Johnson said. “We should be doing all we can to take ad-
vantage of this abundant resource, and it is my hope that these
bills will help further that goal.”
Fred H. Hutchison, executive director of LNG Allies & Our
Energy Moment, welcomed the measures. “While the US has a
strong and transparent regulatory process for the approval of
LNG export terminals, there is no question that this process is
expensive and time-consuming,” Hutchison said.
H.R. 4605 is particularly important since Congress lifted
the ban on US crude oil exports on Dec. 18, 2015, and LNG
Allies considers limits on LNG exports similarly anachronistic,
“After all, the US government imposes no export restrictions
on coal, oil, petroleum coke, wood pellets, refined petroleum
products, natural gas liquids, solar panels, or wind turbines,”
QP completes Qatargas, RasGas merger
Qatar Petroleum has completed the merger of Qatargas and
RasGas Co. Ltd., its LNG subsidiaries (OGJ Online, Dec. 12,
The merged company, Qatargas, operates 77 million tonnes/
year of liquefaction capacity in 14 trains at Ras Laffan Industrial
City and a chartered fleet of 70 LNG carriers.