AMEC Wins Design Contract on Coal-To-Chemicals Development

AMEC has been appointed by the Shenhua Ningxia Coal Group (SNCG) to carry out the initial engineering design for the offsite and utility facilities on a US$1.5 billion coal-to-chemical production complex in the Ningxia Hui Autonomous Region in north west China.

AMEC has been working as SNCG's project management contractor for the overall facility since early 2006 and this latest award builds on the close and successful relationship developed with SNCG during that time.

Working from the company's Shanghai offices, AMEC's engineers will provide the basic engineering and design needed to define and integrate all the common, site-wide systems required to service the six individual process units within the facility. These systems include power and steam distribution, water systems, flare and fire fighting, interconnecting pipework, air and gas, site-wide instrumentation, control, electrical systems, loading/unloading facilities and storage.

The new facility, which is designed to produce 540,000 tonnes of polypropylene per year and which will include a coal gasifier plant, a methanol and methanol-to-propylene unit and a polypropylene unit, is scheduled to be completed in early 2009. Polypropylene is a chemical product usually derived from oil refining and ethylene processing but the project will use coal as the feedstock, which will come from large reserves in the Ningxia area.

"The award and successful execution of this contract will further strengthen AMEC' s expertise as the leading contractor in coal based petrochemical facilities," said Ross Gibson, president of AMEC's China operations, Natural Resources. "We have the skills and resources to respond to the challenge and look forward to contributing to the success of this important and prestigious project."

AMEC Engineering and Consulting (Shanghai) Co. Ltd is AMEC Natural Resources' business in China. It provides a broad range of services across the entire supply chain, from project management and consultancy, engineering, procurement, and construction management, turnaround and maintenance in the oil, gas, petrochemical, chemical and process industries.

AMEC has worked in China for more than 70 years. The country's rapid industrial growth is driving unprecedented demand for oil and gas and petrochemicals and AMEC is developing opportunities for growth not only in project management and engineering services in the oil and gas industry but also in other sectors where there is a need for design and management of complex facilities, such as manufacturing and research and development. Recent oil and gas projects include the SECCO Ethylene plant, a technical services contract for Petrochina's Dushanzi project and the provision of project management services for the development of a US$1.6bn grassroots refinery in Qinzhou in the Guangxi Zhuang Autonomous Region, south-western China.

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Posted 22/02/07

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