SPRING 2010

NEWS

Teamwork ... delivering success around the world

Welcome to FW News
Foster Wheeler Global E&C Groups news, successes & people around the world.

Contents
14
Chevron Oronite
The right results...the right way 8 A key win Singapores first LNG terminal 10 100 million safe hours SHARQ 3rd Expansion Project, Saudi Arabia 12 New Saudi JV Foster Wheeler/SOFCON vision for the future 13 SABIC UK alliance extension A strong vote of confidence

UPSTREAM OIL & GAS LNG & MIDSTREAM REFINING CHEMICALS & PETROCHEMICALS PHARMACEUTICALS, BIOTECHNOLOGY & HEALTHCARE POWER

18

A challenging turnaround
Creativity delivers the solution

16 Leading carbon capture expertise 17 Going greener - Bioethanol blending at Shell UK 20 ADCO - another upstream success 21 Showcasing our subsea skills Foster Wheeler Upstream on the march 26 Reficar Cartagena Refinery Expansion Making great progress

Managing Editors Carolyn Greenhalgh Director, Strategic Planning & Marketing, Global E&C Group
T +44 (0)118 913 2494 E carolyn_greenhalgh@fwuk.fwc.com

32 Sword of Honour A proud safety achievement

24

The Big Pour

BP Whiting Refinery Modernisation

33 Biopharma win in Hungary Developing a partnership with our client 34 Finding the right site Helping our clients around the world 38 Strong performance earns new award Nghi Son Refinery, Vietnam 39 Ugandas first oil refinery Realising the vision 40 Thailand Focus - latest successes

Anne Chong Manager, Public Relations Foster Wheeler Energy Limited

T +44 (0)118 913 2106 E anne_chong@fwuk.fwc.com

Jackie Hogarty Senior Marketing Consultant Global E&C Group

T +44 (0)118 913 2167 E jacqueline_hogarty@fwuk.fwc.com

Dominic Hale Creative Manager Foster Wheeler Energy Limited

T +44 (0)118 913 2329 E dominic_hale@fwuk.fwc.com

36

The hydrogen challenge

Our Terrace Wall solution has the answer
TM

42 PolymerLatex, Malaysia State-of-the-art facility 44 Ground-breaking CTL in China 46 Mari El & Khabarovsk refineries Major wins in Russian Federation 48 Pluto LNG, Australia Progress & preservation 50 Worlds largest 100% biomass boiler Ground-breaking win, Poland

Published by Foster Wheeler Shinfield Park Reading Berkshire RG2 9FW UK www.fwc.com 2010 Foster Wheeler Produced by MMCS

52

ONGC C2-C3, India

Key role in innovative facility

51 Coal & biomass Planned Polish demo plant 54 ERTC Berlin

FW NEWS

Willem Louw (left), MD, Sasol Technology, and Stephen Culshaw, Chairman, FWSA, signing the Fischer-Tropsch Wax Expansion Project EPCm contract.

Major successes in South Africa

Playing a key role in Sasols plans for Sasolburg & Secunda

Image: Courtesy of Shell Eastern Petroleum (Pte) Ltd.

Image: Copyright of Canaport LNG Limited.

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A technology flagship in Singapore

Official opening of Shells MEG plant

22

Canaport LNG terminal, Canada

First LNG shipment

FW NEWS

The award of this contract builds upon the relationship Foster Wheeler has developed with Sasol on this and other projects in South Africa and internationally. In the last two years our South African operation has grown significantly through a targeted capacity-building programme. This enables us to provide local, full-service project delivery to Sasol on this major investment. With our detailed understanding of the project and our proven track record of managing and safely executing the EPC phases of complex projects, we are confident in our ability to deliver this project successfully and safely for Sasol.
Steve Scott MD, Foster Wheeler South Africa

FW NEWS

South Africa

major EPCm win

Sasol Wax Expansion Project
Our South African operation has been awarded a major EPCm contract by Sasol for its Fischer-Tropsch Wax Expansion Project at Sasolburg, South Africa. The project is expected to double Fischer-Tropsch hard wax production capacity at the site on completion in 2014. We started work on the FEED phase in mid-2008 and since October 2009 have been progressing early EPCm activities.
The project will be implemented in two phases and completed in 2014. It involves more than one million Foster Wheeler manhours, and is being managed from our Johannesburg office with engineering of elements of the scope being undertaken in our Singapore office. We are designing and erecting facilities adapted to the confined plot spaces within the Sasolburg One site. For example, modular piperack design and prefabrication offsite will reduce manhours expended within the operational area. With a mixture of process buildings, open structures, greenfield and brownfield construction areas and tieins to the existing plant, the project execution strategy requires a very broad and varied skill set. There is a high level of communication with the existing plant team to ensure ongoing operations remain unaffected during the course of construction. As well as quality, cost and schedule targets, we are working with Sasol to deliver a world-class HSE performance, and the development of employment opportunities for the local community. Completion of the first phase of the project is scheduled for 2012.

FW NEWS

South Africa

sasol Secunda

Growth Programme
Our South African operation has been working on Sasols Secunda Growth Programme since November 2007. The programme comprises a number of projects to enable Sasol Synfuels to grow its fuel-producing capacity by importing additional natural gas and increasing the plant's capacity to process greater quantities of feedstock for various products.

Foster Wheelers role is related to the offsites and utilities, where we have worked on pre-feasibility studies, conceptual engineering and basic engineering. Our current focus is on the EPCm phase of three projects: cooling towers, a 132kV substation for the 16th oxygen train, and 4th train landlord - polished water plant. Field work is proceeding well on all three projects, with the objective of being ready for commissioning during the third quarter of 2010. Recently, a milestone was reached when the main 132kV, 100MVA transformer for the substation was safely placed on to its foundation. The transformer, weighing some 90 tonnes, was lifted using an American 11320 Skyhorse crane rigged with a 58 metre-long boom. Due to site space restrictions the load was lifted from its heavy-duty road trailer, which was positioned 21 metres from the foundation, through the 7.5 metre-high roof of the transformer bay. In January 2010 we celebrated the significant milestone of having worked one million manhours without a lost-time injury with a braai (barbecue) attended by nearly 400 people. Sasol awarded us a Moment of Greatness for the milestone, stating that this achievement is proof of your commitment to working safely and sets a high standard for safety in the projects and construction environment. Work is proceeding apace towards the next big milestone: completion of the large concrete structure of the cooling towers in June 2010.

Left to right: Keith Brill, SGP project director; Eon Oosthuizen, safety officer; Carlos Domingues, construction manager; Tony Banks, construction & commissioning HSE operations manager, all FW.

Eons quick thinking saves a life!

Our commitment to health and safety sometimes shows up in unlikely situations. A worker on one of our Secunda sites was stung by a bee, to which he is allergic. Eon Oosthuizen, our safety officer and a trained paramedic, reacted immediately and took him to the Secunda Medical Centre. On the way the patient went into anaphylactic shock which was successfully treated by Sasols medical team. Eons rapid response in taking the patient to the centre undoubtedly saved his life.
Image: Courtesy of Sasol FW NEWS

Singapores
Foster Wheeler is a worldwide engineering company and has an excellent reputation in the energy sector. We are combining the strengths of SLNG and Foster Wheeler to take on the complex task of managing the EPC contract through to completion.
Neil McGregor (below) Executive Director, SLNG

LNG terminal

first

FW NEWS

We have been awarded a contract to provide project management consultancy services for Singapores first LNG terminal, to be located on the southwestern part of Jurong Island.
Singapore LNG Corporation Pte Ltd (SLNG), established by the Energy Market Authority of Singapore, owns and oversees the development of this important project. The terminal, which will have an initial capacity of 3.5 million tonnes per annum (mtpa), with provision for expansion to 6 mtpa, is targeted to be ready for start-up in 2013. SLNG and Foster Wheeler will jointly manage the EPC contractor through an integrated project management team approach, which will allow SLNG to be fully involved in the management of the design and construction activities.

Celebrating a key win

We are delighted to have been selected as project management consultant for this prestigious project. Singapores first LNG terminal is of major importance as it will help ensure the security of Singapores energy future. We look forward to working with SLNG, drawing upon our extensive project experience in Singapore and our considerable global technical expertise in LNG.
Franco Anselmi (left) CEO, Foster Wheeler Asia Pacific

FW NEWS

A mega-achievement on a mega-project
The SHARQ 3rd Expansion Project in Jubail, Kingdom of Saudi Arabia, has recently been completed, and achieved an impressive 100 million manhours LTI free. We were the overall PMC contractor with SHARQ, and also the EPCm contractor for the Utilities & Offsites (U&O) portion of the project.

million
safe hours
10 FW NEWS

100

Common goals
The handover to the client ended a challenging commissioning and completion phase of the project which saw co-operation between interfacing teams representing the new ethylene, ethylene glycol and polyethylene units as well as the existing SHARQ, Aramco and Royal Commission operating plant and infrastructure. Undoubtedly teamwork and a common goal focus proved to be the key to successful completion of this vast new development.

The U&O Project

Our work on the U&O facilities used some 100,000 cubic metres of concrete (including the cooling tower and buildings), 18,000 tons of structural steelwork, 338km of pipework, and 1,200km of cabling. The final activity undertaken on the U&O project was the disinvestment of the 120m high flare stack. This demanded

critical hazardous construction reviews including detailed access and lifting studies as well as specific HSE training. The work was undertaken by an experienced and dedicated Foster Wheeler/SHARQ management and supervisory team using a local civil and steelwork contractor with good experience and knowledge of the SHARQ facility. This demonstrated the strong HSE culture on the project, which led to a Foster Wheeler record-breaking 42.2 million manhours for the U&O project without a single lost-time incident (LTI) since the very first day of the on-site phase, contributing to the truly remarkable 100 million LTI-free manhours achieved for the 3rd Expansion Project overall. The U&O project earlier received the SABIC MEGA Project HSE Award for its safety performance during 2008. This was the first time SABIC had made such an award and we were extremely honoured to have been selected as the winner.

Once again we demonstrated that a safe site and safe working is fundamental to overall project success.
Ian Guy Senior Resident Site Manager, Foster Wheeler

Main image: Ian Guy (9th left), along with FW commissioning managers Brian Knutsen (8th left) and David Stitt (11th left) and members of the FW commissioning team at the boiler feedwater pump area. Ian Guy (centre), presenting a 'Best Contractor' HSE Award to Qazi Murtaza, SBG project manager for the flare disinvestment.

FW NEWS

11

Foster Wheeler forms

Saudi JV
High-quality services from a regional base
We have formed a jointly-owned Saudi Arabian company, Foster Wheeler SOFCON Consulting Engineering Company. A joint venture with SOFCON, the new entity is planned as a regional engineering hub and will be based in the city of Al-Khobar in the Kingdom of Saudi Arabia. Foster Wheeler SOFCON will focus on providing full-service engineering and project management services for onshore/offshore oil and gas, refining, petrochemicals and associated infrastructure projects in Saudi Arabia.
Foster Wheeler and SOFCON have a long and outstanding record of successful co-operation in project execution in Saudi Arabia. The formation of this new company demonstrates the ongoing commitment of our two companies to work together to deliver successful projects in Saudi Arabia and to provide high-quality services and expertise from a local base.
Stephen Culshaw (pictured left)
Managing Director, Commercial Operations, Foster Wheeler Energy Limited

It is our goal to make Foster Wheeler SOFCON the leading full-service engineering and project management provider in Saudi Arabia, delivering professional and competitive services in front-end engineering, detailed engineering, procurement, construction and project management. The new entity will bring an enhanced value proposition in the development of the local economy and capabilities.
Alaa Fattani (pictured right) President & CEO, SOFCON

12 FW NEWS

Alliance extension
The long-term relationship with Foster Wheeler has delivered some of the most complex and challenging capital projects seen on the site in recent times. The schemes have been delivered to the highest standards of safety and quality which has been recognised by site operations and celebrated by our integrated team. As our business environment changes, the Alliance has been shaped into answering both our needs.
Colin Stewart Engineering Services Director, SABIC

SABIC UK Petrochemicals Limited

We have an alliance contract with Saudi Basic Industries Corporation (SABIC) to provide design and technical services for its petrochemical sites at North Tees and Wilton, both in Teesside, UK. Weve been working at these sites under an alliance relationship for six years which has now been extended a further two years.
Our site-based team is supported by our local office in Middlesbrough, and can also access specialist technical experts from our other operations whenever necessary.

We support SABIC by delivering:

consultancy concept studies process feasibility studies detailed design design safety engineering support to construction & commissioning modification & maintenance design
Seated (left to right): Steve Heath, UK purchasing manager, SABIC; Jon Nield, director, project executive, FW; Colin Stewart, engineering services director, SABIC; Frazer Mackay, divisional director, UK operations, FW. Standing (left to right): Graham Duce, general manager, Teesside operations, FW; Adrian Collins, project manager, SABIC; Huw Jones, manager of projects, Teesside operations, FW.

Singapore success

The right results ...the right way

Chevron Oronite, a subsidiary of Chevron, develops and markets additives that improve the performance of fuel and lubricants. The Jurong Island additives facility in Singapore has been in production since 1998 and is Chevron Oronites main manufacturing site in the region. According to Chevron, it is also the largest plant of its kind in Asia.
After our successful completion of the FEED and cost estimate in 2007 for the planned expansion of the facility, adding a detergent unit and associated utilities, we were awarded the EPCm contract for the expansion in 2008. In November 2009, we successfully handed over the project to Chevron Oronite. Since then, the plant has been operating to the full design capacity. Our Singapore team worked very closely with our clients team and the results speak for themselves: completion on time, on budget and most importantly, safely. We are extremely proud of the very strong incident- and injury-free culture that was embedded in the entire work force, delivering a world-class safety performance, with no lost-time injuries. The integrated team approach also delivered an impressive record of commissioning-to-rated throughput in four days.

14 FW NEWS

We were committed to get the right results, the right way, guided by our values. We completed incident-free, on time, within budget."
Ramamoor Raghunathan Project Manager, Chevron Oronite Pte Ltd

Left to right: Douglas Motion, director of project execution, FW APAC; Ramamoor Raghunathan, project manager, Chevron Oronite Pte Ltd; Vasant Malhotra, project manager, FW APAC; Goh Koon Eng, general manager, manufacturing & supply, Chevron Oronite Pte Ltd.

FW NEWS

15

Providing carbon capture

expertise

Our Business Solutions Group has been undertaking a study for the Energy Technologies Institute (ETI) for its Carbon Capture and Storage Programme. ETI is a UK-based partnership between BP Caterpillar, EDF Energy, E.ON, Rolls Royce, , Shell, and the UK Government.
ETIs mission is to accelerate the development, demonstration and eventual commercial deployment of energy technologies within the heat, power and transport sectors which will increase energy efficiency, reduce greenhouse gas emissions and contribute towards meeting the UKs energy target to reduce greenhouse gas emissions by 80% by 2050. One of ETIs focus areas is the application of CO2 capture technologies within the power sector, and this has been the subject of our study. We started work in April 2009, developing performance and economic benchmarks for a series of state-of-the-art power generation schemes comprising natural gas and coal feedstocks combined with precombustion, post-combustion and oxy-fuel CO2 capture technologies. During the second phase of the study we evaluated the performance and economics of a range of novel CO2 capture technologies, each targeted to improve the efficiency and economics of power generation with CO2 capture when compared with the benchmark schemes. The results of our study will play a major part in helping ETI to determine which of the novel technologies it will support into further development, demonstration and eventual deployment phases.

16 FW NEWS

Shell Bioethanol Blending Project, UK

Going GREENER

quickly and safely

Since March 1997 we have been Shells alliance partner at its Stanlow Manufacturing Complex in the UK. We provide basic design, EPC and project management services. Under our alliance, we have successfully completed the fast-track design, installation and commissioning of bioethanol blending facilities at Stanlow, on time and under budget.
The new facilities supply ethanol for blending into motor gasoline in order to meet the UK Renewable Transport Fuels Obligation target, intended to help meet the UK Governments climate change This was an extremely objectives as well as ensuring security of energy supply, challenging project with tight by placing an obligation on fuel suppliers to ensure that a percentage of their road transport fuels is deadlines for operational start-up, made up of biofuels.

requiring a new execution approach and very close co-operation between Shell, Foster Wheeler and the construction

Highlights include:
Maximising the use of existing infrastructure and facilities in delivering this project Over 3km of interconnecting pipeline installed within existing congested refinery pipe tracks to connect the four project equipment areas

contractors. This level of co-operation and performance could not have been achieved without the established alliance relationships and the commitment and drive of the Foster Wheeler team.
Nigel Keech Manager, Projects & Construction Shell Stanlow

Installation of new electrical and instrument infrastructure, including a new fibre-optic link to the north side of the refinery

A new marine loading arm installed on a heavily occupied existing jetty A new ethanol denaturing facility and fiscal metering station, including storage tanks, dosing package and road car unloading facilities Refurbishment and upgrade of the main storage tank and bund for ethanol storage Break tanks and terminal feed pumps just prior to the refinery battery limit to supply the road distribution terminal

Safe & successful

Our usual uncompromising approach to safety ensured that over 250,000 construction manhours, with a peak labour force of 150, were worked by the alliance and the subcontractors without a single lost-time or recordable injury.

FW NEWS

17

lever tu C rn

nd solu u tio ro a ns

Our UK operation was recently involved in the turnaround at Petroplus Coryton refinery in the UK, delivering several engineering projects safely and on schedule.

The unusual approach taken with the main fractionator proved to be a well-engineered and viable method of shell band replacement, offering substantial cost savings when compared to a traditional heavy lift/revamp method.
John Payne Principal Consultant, Static Equipment Foster Wheeler

18 FW NEWS

de

liv e

The challenges

The turnaround involved two key challenges; the replacement of two corroded sections of shell, one a 2m-high band midway up the 5.2m-diameter, 40m-tall main fractionator column, and the other, a 10m-high cone section 20m up from grade on the 50m-tall depropaniser column.

r res ults...
In suspense!
For the depropaniser tower in the alkylation unit, the complete 10m-high cone section was replaced in one piece. The 90-tonne upper tower section was first lowered using lifting lugs that we specially designed. Due to the restricted plant space available, the upper tower section was temporarily supported in the vertical in a bespoke frame which used guy ropes from the towers top nozzle to a structural steel frame, weighted down in each corner by crane weights. This frame was engineered to allow access to replace all of the internal trays and to fully reinstate the bottom weld preparation. The 10m-high cone section was then removed and scrapped before the fully-dressed new cone section was lifted and installed. The modified upper tower section was then reinstated.

A cunning plan!
For the main fractionator modifications it was not feasible or economically viable to remove the top half of the column. The required lift capacity for this activity made crane availability at short notice a significant risk. The necessary disinvestment and additional support of a substantial amount of large-bore piping would also have added to the shutdown duration. To mitigate these risks our team devised a method of replacing a band of the columns shell without removing the vessels top section. To our knowledge, this had never been done before on this scale. Several options were considered before we decided to replace the shell in manageable-sized petal pieces, which allowed the band to be replaced incrementally in eight 45-degree sections. The petal pieces were supplied complete with internal tray supports and downcomers to minimise site work. A skid track was designed and used to move the pieces around the column. This allowed controlled installation into the required position where each petal was welded into place before the removal of the adjacent petal piece.

Safe and successful

Work on both items was completed safely and ahead of schedule. Our meticulous planning, creativity in developing new solutions, and years of experience in engineering and executing complex turnarounds delivered a winning combination once again.

Above right: Main fractionator with one petal removed. Above left: Solid Edge model of fractionator showing barrel of shell to be removed. Left: John Payne (front) with Thomas Grant (left), static equipment engineer, and Daniel Darby, technology engineer, all from FW.

FW NEWS

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A nother D C O
Umberto della Sala President & COO, Foster Wheeler AG
20 FW NEWS

upstream success
Our UK-headquartered operation has been awarded a project management consultancy contract by the Abu Dhabi Company for Onshore Oil Operations (ADCO) for the Bab Field expansion and the development of the Qusahwira Field in Abu Dhabi, UAE.
Our primary role as PMC will be to manage the EPC tendering and award process and the EPC execution phase on behalf of ADCO. We look forward to further developing our long-standing relationship with ADCO. We fully appreciate the importance of this multi-field infrastructure project and will bring our in-depth upstream project expertise to help to ensure the successful delivery of this key investment with minimum disruption to the overall production from the Bab and SAS (Sahil, Asab and Shah) hubs.

2010 Subsea Tieback Forum & Exhibition

Subsea skills
This years conference, themed 10 Years and Coming On Strong, addressed new operational issues that are associated with deepwater subsea operations. The five plenary sessions covered charting a course through a troubled economy, innovative technologies, reliability, flowlines and risers, and hydrate remediation and installation of a fifth well in a field designed for four wells. With the upstream market reported to be a very busy market in the near future, the general mood of the conference was upbeat. For the first time, we had the opportunity to exhibit at this show. Houston-based subsea specialists OPE Engineering, acquired by Foster Wheeler USA in April 2009, has participated for several years. The conference was successful in generating name recognition for the new Foster Wheeler Upstream group, led by CEO Clive Vaughan, and in highlighting the specific capabilities of Atlas and OPE, key elements of Foster Wheelers fast-expanding global offshore and onshore upstream service offering.

Showcasing our

In March 2010, around 2,800 people participated in the 10th Annual Subsea Tieback Forum and Exhibition in Galveston, Texas. Overall, 175 companies exhibited in the three-day event.

The conference turnout was outstanding. We were very pleased with the number of interested clients that we met. The Foster Wheeler name generated a significant buzz around the conference hall and we were thrilled at the positive reaction to our rapidly increasing upstream capability. The subsea tieback industry is a key target for our upstream team.
Clive Vaughan CEO, Foster Wheeler Upstream

FW NEWS

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Celebrating operation of a new

LNGterminal
We have been providing project management consultancy services for Canaport LNG Limited, a partnership of Repsol YPF, S.A. and Irving Oil Limited, for the new LNG receiving terminal in Saint John, New Brunswick, Canada.
22 FW NEWS

This terminal, for which the investment cost exceeds US$1 billion, is the first LNG terminal built on the east coast of North America in 30 years, as well as being the first LNG receiving and regasification terminal in Canada. The send-out capacity of the facility is 1.2 billion cubic feet per day of natural gas, enough to heat five million homes. Our scope of work included project management, and technical advisory services for the detailed

engineering, procurement, construction and commissioning and start-up phases. The facility began operations in June 2009 when it received its first shipment of LNG on the Bilbao Knutsen from Trinidad & Tobago. Our work continues with upcoming performance tests and finalisation of the construction of expansion work, which includes a third 160,000 m3 tank.
Image: Copyright of Canaport LNG Limited

FW NEWS

23

The Big Pour

BP Whiting Refinery Modernisation Project
24 FW NEWS

BP is making a huge investment in the Whiting Refinery Modernisation Project (WRMP), the largest-ever private investment in Indiana, in the US.

BPs objectives are to enable the refinery to process heavier crude and to increase its gasoline production capacity by 1.7 million tonnes. The WRMP includes the construction of a new coker, crude distillation unit, gasoil hydro-treater, and sulphur recovery facilities and a number of environmental improvements. We are the EPCm contractor for the Coker Pillar Project, a key part of this huge investment. In January 2010, the WRMP team completed the projects largest concrete pour. The task included 13 continuous hours of work, using 55 trucks for 480 deliveries to pour 4,760 cubic feet of concrete. The pour formed the base mat foundation for BPs new 102,000 barrels per stream day delayed coker.

The foundation base is 66 feet wide, 280 feet long and seven feet deep. The foundation rests on 780 auger-cast concrete piles, each sunk 85 feet below the surface. This will eventually support six new coke drums, each weighing nearly 400 tons. The entire coker structure will be 350 feet tall. WRMP construction began in May 2008 and completion is scheduled for 2012. We are very pleased about the concrete pour and the progress we are making on this project. This pour was the culmination of months of planning, strategising and co-operation among several groups. We used just about all the concrete resources in this area. Im very proud of our teams accomplishment.
Rob Manach Project Director, WRMP Foster Wheeler USA ,

This is like filling an American football field with concrete to about three feet below the crossbar of the end-zone goalpost. The new coker will utilise Foster Wheelers SYDECSM technology, and will replace the existing coker. It will bolster process safety at the plant through increased automation, while increasing coke and naphtha output.
Jacobus Nieuwenhuijze Construction Director, WRMP BP ,

FW NEWS

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Excellent Progress
Cartagena Refinery Expansion
The Reficar Cartagena Refinery Expansion Project in Colombia is progressing very well. Reficar is a wholly-owned subsidiary of Ecopetrol S.A., Colombia's national oil company.

26 FW NEWS

Above left: Above and beyond award winner, Aymeth Bedia, procurement co-ordinator; and Chris Brown, SVP operations, both FWUSA. Above right: Cameron Mason, VP BDM, CB&I; John Redmond, EVP CB&I; Federico Maya, VP Ecopetrol; Javier Genaro Gutirrez, president, Ecopetrol; Masoud Deidehban, , , executive project director, CB&I; Orlando Cabrales, president, Reficar; Pedro Rosales, EVP Ecopetrol; Carlos Bustillo, project director, Reficar; Terry Reynolds. ,

The overall effort is progressing very well at this stage for such a large, complicated project. There are 14 new process units, and multiple licensors involved in the design of the refinery expansion. There will be significant technology transfer as the engineering and site team trains local personnel in multiple crafts and operations to maintain the complex refinery operations. We are currently in a bridging period of transition from the FEED to the EPC phase of the project. EPC contracts are expected to be in place soon, with mechanical completion scheduled for November 2012. Our client has expressed confidence that there will be a continuation of the co-operation and teamwork that has put this US$3.7 billion investment project in a position to be very successful.
Terry Reynolds Project Director, Foster Wheeler USA

Our Houston-headquartered US operation is the project management consultant for this project, which will expand the refinery's capacity from 80,000 barrels per day (bpd) to 165,000 bpd. The expansion will also improve the fuel quality to meet Colombian and international environmental specifications. The upgraded facility will produce ultra-low-sulphur gasoline and diesel from a heavy crude oil slate.

Early works
The Cartagena job site is already a hive of activity, with early works underway, such as site preparation cut and fill, and construction of the new roll-on roll-off marine dock for receipt of heavy equipment and materials used on the project. One particular early work activity that has garnered focused attention is the relocation of an arroyo, a stream or in this case drainage ditch, that runs perpendicular across the entire job site. As the rainy season approaches this flow of water needs to be redirected to allow for drainage of storm water without disruption to the ongoing project activities.

Refinery in Colombia, we are committed to co-ordinate and deliver synergies from procurement across both projects to achieve cost-effective procurement of equipment and materials. Relationships between the Foster Wheeler and client teams are very positive with high energy levels, with a strong focus on clear roles and responsibilities and achieving a successful outcome for this major project.

Above and beyond award

Reflective of that effort is the recognition of Aymeth Bedia as an Above and Beyond recipient for the month of March 2010. As our procurement co-ordinator, Aymeth works closely with Reficar management on the long-lead and critical equipment negotiations, and was nominated by the client as a direct result of her diligent efforts. Aymeth (pictured above, left) and the Foster Wheeler team are both extremely proud of this recognition.
FW NEWS

Procurement opportunities for savings

Our procurement capabilities are concentrated in providing opportunities for capital cost savings for our client. As our US operation is also project management consultant for the significant expansion of Ecopetrols Barrancabermeja

27

SINGAPORE

Celebrations for a ground-breaking plant

Shells mono-ethylene glycol plant

28 FW NEWS

The official opening of Shells mono-ethylene glycol (MEG) plant on 11 December 2009, attended by Mr Lim Hng Kiang, Singapores Minister for Trade and Industry, was an important milestone in the run-up to the 2010 completion of the Shell Eastern Petrochemical Complex. We were the EPCm contractor for the MEG facility on Jurong Island, Singapore, and for the related modifications at Shells Pulau Bukom refinery under the Bukom Refinery Modifications sub-project. We also developed the FEED for both of these elements.

Image: Courtesy of Shell Eastern Petroleum (Pte) Ltd.

FW NEWS

29

SINGAPORE

Shells mono-ethylene glycol plant

The project team wholeheartedly adopted a yes, we can attitude, which helped enormously in identifying and overcoming the many challenges faced in designing and delivering a world-scale plant using new technology, in a very short schedule.
Ed Dziewulski (pictured) MEG Project Manager, Foster Wheeler

A technology flagship
Successfully commissioned and in production in November 2009, the 750,000 tonnes per annum plant is one of the largest MEG plants in the world and, as the largest MEG plant using Shells OMEGA technology, it is a flagship project for Shell. Shell Chemicals advises that the plant has the highest yield of MEG from ethylene whilst reducing CO2 emissions, waste products and steam requirements. The plant design incorporates the latest technological developments to reduce its overall carbon footprint. MEG is a vital ingredient for polyester fibres and films, resins and engine coolants. End products range from clothing, packaging, kitchenware and anti-freeze, with the market for such products expanding, particularly in the Asia Pacific region. The annual output from the MEG plant is sufficient to manufacture 6.7 billion shirts, just about one for every human on the planet!

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World-class HSE
The HSE performance on this project is a major success story. Foster Wheeler and the contractors it managed achieved more than 13.5 million manhours without a losttime injury. This was a challenging project, with a diverse multi-cultural workforce, mainly from the Southeast Asian region. The project was benchmarked with the lowest total recordable case frequency of 0.68 within Shell projects world-wide, and represents a pacesetting performance. The project team recognised early the importance of highstandard welfare facilities for the workforce and the project was one of the first to introduce a camp facility on Jurong Island with language schools, site HSE training and internet communications, all of which contributed to the strong HSE culture at site.

Major successes included the completion of the substation, cooling tower, control room, main structures and heavy lift schedules on time and the final push to complete the mechanical, piping and electrical and instrumentation works.

How clean is your project?

MEG has five major compressors which need to be working in stable, harmonious conditions to produce on-specification product. The main process gas loops needed stringent cleanliness to achieve a flawless start-up. The size and volume of the systems required co-ordinated efforts by the construction and commissioning teams to complete the work in a very narrow window, with piping of 88-inch diameter and up to 2km in length requiring either chemical- or water-blasting levels of cleanliness. The cleanliness and tightness part of Shells Flawless* StartUp initiative provided real benefits during commissioning and minimised trips due to leaks and blockages.

SHARP HSE Award

We at Foster Wheeler are very proud that our world-class HSE performance was recognised with the presentation of a SHARP (Safety and Health Award Recognition for Projects) Award presented by the Workplace Safety & Health Council in collaboration with Singapores Ministry of Manpower. Our thanks must also go to the Shell team for its continuous support in establishing and maintaining a very positive HSE environment for the project.

Early commissioning
Although the MEG plant was complete by November 2009, the commissioning process actually started back in early 2006 when the commissioning manager and senior engineer joined the project to start the planning and preparation activities. Very soon after this the commissioning team joined up with Shell operations personnel in what would become a combined effort to meet the challenging completion schedule. The Foster Wheeler commissioning team, including eight Shell operations assignees, became a multi-national force with personnel from Foster Wheelers offices in the UK and India as well as client personnel from the USA, India, China, Malaysia and the Philippines. The team was supported by nearly two hundred personnel from the mechanical, electrical and instrumentation contractors.

A challenging schedule
The heated marketplace gave us a seriously compressed and challenging time line to construct and commission the MEG plant. In fact, at the start the probabilistic model of success was only 10%! The early procurement of long-lead equipment, including two 1,375-tonne reactors and columns, was pivotal to the success of the pre-dressing and heavy lift programme, which was itself instrumental in the success of the project. Not for the first time, our project team embarked on a campaign of mentoring and accelerating the key installation contractors. A typical milestone was to install, chemically clean and commission 65km of large diameter piping in 50 weeks, and simultaneously complete 5,000 electrical and instrumentation loops. These targets could only be achieved by a strong leadership team and experienced Foster Wheeler and Shell project teams working together towards the same goals.

Tremendous achievement
The teamwork, positive attitude and meticulous planning paid off. Through everyones efforts we have built a groundbreaking plant, safely, and to a very challenging schedule. This has been an outstanding achievement by a highperforming Foster Wheeler and Shell team.

Yes, we can has become Yes, we did!

* Flawless is a Shell trademark.

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31

Sword
of

Honour

The Sword of Honour scheme, now in its thirtieth year, recognises organisations that have implemented safety systems that are among the best in the world. Only organisations that achieve the maximum rating of five stars in the BSCs Five Star Health and Safety Management System (HSMS) Audit are eligible to apply. The Foster Wheeler-led JV executing the EPC of a significant portion of ExxonMobil Asia Pacific Pte Ltds second petrochemical complex in Singapore achieved a Five Star HSMS Audit rating with a world-class score of 98.4%. Applicants for the Sword of Honour have to prove that they have a culture of aiming for best safety practice throughout the organisation. The application, which covers key areas of safety activity, is independently adjudicated and the competition this year was intense. The award of the Sword of Honour to the Foster Wheeler-led JV is based on its demonstration of continuous improvement in its safety management system, over and above its achievement of a five-star rating. I send my congratulations to all of those organisations being presented with a Sword of Honour by the British Safety Council. These awards recognise the crucial success that they and their employees have achieved in their pursuit of excellence in the management of health, safety and environmental matters.
Gordon Brown UKs Prime Minister

In November 2009, Foster Wheeler was presented with a British Safety Council (BSC) Sword of Honour, one of 40 organisations worldwide to have attained the prestigious award.

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Hungary

Biopharma win
We have been awarded an EPCm and commissioning/qualification supervision contract by Kedrion Group and its Hungarian-controlled Human Bioplazma LLC for the upgrading and expansion of a bulk plasma fractionation manufacturing facility at Gdll in Hungary.
Kedrion is a biopharmaceutical company specialising in the development, manufacture and distribution of plasma-derived medicinal products. An existing plasma fractionation plant will be upgraded and expanded in line with Good Manufacturing Practice, including the installation of a new production line. During the upgrading works, the existing line will remain in operation. The plant is expected to be completed in the first quarter of 2011. We are very pleased to assign the execution of such an important project to Foster Wheeler. The strong co-operation between Foster Wheeler and Kedrion Group has been developing as a real partnership, aimed to get the target.
Rodolfo Franceschini Global Operations Director, Kedrion Group

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33

Helping our clients find the right site

Greenfield site assessments
A key activity during many of the feasibility studies we undertake is the assessment of potential greenfield sites. Recently, we have assessed greenfield sites in locations including Vietnam, China, Brunei, India, Nigeria, Uganda and Morocco.

34 FW NEWS

Mike Whitling, one of our experts in this specialist area, outlined how we approach this activity.

Our assessments gather as much data and information as possible about existing infrastructure and future requirements for the construction and operation of the proposed facility. Site visits typically comprise a combination of tours around the site and region, taking photographs, and meetings with the port authorities, government, and environmental, industry and commerce ministry personnel, discussing socioeconomic issues relating to the potential site or sites. Our visit team typically includes experts in HSE, construction and logistics, plant layout and cost estimating. We request and analyse key information such as site location co-ordinates, maps, details of other industry in the region, hydrographic/admiralty charts, port details, meteorological data, transport infrastructure data, information about local towns and villages, water and power availability and any regional development plans. The report we deliver to our clients generally includes an analysis of costs, such as land preparation, road and rail upgrades, and housing associated with the locations evaluated. It provides observations on the proposed plot area, its infrastructure and surrounding areas, assesses the sites fitness for purpose, and complements other market research and optimised process configuration studies that we also provide for our clients.

Main picture: Assessing a potential island site in a Far East location.

For more information, please contact us at info@fwc.com

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35

hydrogen challenge
Factors including more stringent product specifications for cleaner fuels, reduced demand for high-sulphur fuel oil and the economic advantages of processing heavier, sourer crudes continue to drive increasing demand for hydrogen in refineries.

Meeting the

Our Terrace WallTM solution Our reformers have been in operation for many years with a very wide range of feedstocks and have been used for hydrogen, methanol, and ammonia production. Our proprietary Terrace WallTM steam reformer heater has a specially designed radiant section with burner terraces along lateral walls, and burners that fire upwards against the refractory. The catalyst tubes are arranged as a single row of vertical tubes, heated from both sides and aligned along the centre of the radiant cell. The catalyst tubes are flanged at the top in order to allow catalyst loading and unloading.

Steam reformer furnace manufactured by Foster Wheeler for a plant in West Africa. The heater, 750 tons weight, was delivered completely assembled.

36 FW NEWS

Our technology offers several advantages over competing technologies: High flexibility to handle a full range of feedstock from natural gas to heavy naphtha Uniform heat flux distribution giving long reformer tube life Sloped walls with two firing levels enabling control of flux density along the catalyst tube High reliability Positive reformer furnace firing control Low maintenance requirement

Special benefits
The specific advantages of sloping walls include avoiding tube hot spots and prolonging tube life. The inclined terrace walls are uniformly heated vertically by the rising flow of hot gases, with each terrace capable of being independently heated to provide the particular heat flux desired in its zone. The operator can match the vertical heat flux to the process heat demand within the catalyst tubes. Controlled delivery of heat to the reformer catalyst tubes helps control hotspots which can reduce the design life of the tubes. The incline of the wall also localises the effectiveness of the terrace to that portion of the heat-absorbing surface directly opposed to it. Actual experience has shown that the Terrace WallTM design accomplishes this to a far greater extent than any flat wall construction, and is distinctly better than downfired designs. Flame impingement on catalyst tubes is practically impossible in the Terrace WallTM design.

Schematic of our twin-cell, Terrace WallTM reformer.

A particular feature is the mechanical arrangement of the Terrace WallTM radiant section which enables it to be delivered to the site as a small number of fully assembled modules, complete with catalyst tubes, pigtails, burners and refractory. This permits the entire radiant section to be erected in a matter of days rather than weeks, resulting in significant savings in site construction cost and schedule. Further, the compactness of the Terrace WallTM heater arrangement means that, where appropriate, the entire reformer can be fully pre-assembled, complete with all external piping, instruments, platforms and ladders. Other advantages include: Single train unit production up to 150,000 Nm3/hr of hydrogen Can operate in natural draft mode Outlet temperature up to 920C Heat fluxes about 100,000 watts/m2 Very compact design, reducing the plot area requirement Minimum number of low-NOx burners Operating cost saving (reduced number of rotating machines) Very simple and reliable design, giving investment and maintenance cost savings High feedstock flexibility Uniform heat flux distribution giving long reformer tube life Sloped walls with two firing levels enabling control of flux density along the catalyst tube Positive reformer furnace firing control

Continuous development
Recent developments to further enhance the design and performance of the Terrace WallTM reformer include: Selective catalytic reduction in convection section Ulra-low-NOx burners Increased catalyst tube length, which reduces tube numbers Our experience and expertise in optimising and revamping existing hydrogen systems can help our customers find the lowest-cost route to meeting their hydrogen needs. If a new hydrogen plant is required, it is important that it is right-sized in line with our clients business objectives and with current, and potentially future, requirements.

For more information, please contact us at refining@fwc.com

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37

Vietnam
Recognising its performance in preparing the FEED, NSRP is pleased to award Foster Wheeler this contract for additional technical and commercial services.
Fumitaka Hosaka Project Director, NSRP LLC

Excellent performance earns NEW AWARD

Nghi Son Refinery & Petrochemicals Complex
We have been awarded a further contract by Nghi Son (NSRP), for the provision of technical and commercial services for the planned Nghi Son Refinery and Petrochemicals complex in Vietnam. NSRP is a JV company comprising PetroVietnam and its international partners.
We recently completed, on schedule, the FEED for this new complex, which will be Vietnams second refinery. We will now support NSRP in the preparation of the EPC enquiry packages, bid clarifications and bid evaluation, and provide all necessary technical and commercial support leading to award of the EPC contract. We have supported refining development in Vietnam, a country with extensive oil and gas reserves, since the beginning. We previously prepared a high quality FEED for Vietnams first refinery at Dung Quat, now in operation.

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Ugandas first oil refinery

Realising the vision

Thirty-five companies expressed interest in undertaking this study. Out of these, six were shortlisted to submit their proposals and the proposal from Foster Wheeler was considered the best.
Fredrik Kabagambe-Kaliisa Energy & Mineral Development Permanent Secretary for the Ugandan Government

The Government of the Republic of Uganda has awarded us a feasibility study for the integrated development of an oil field and associated oil refinery in Uganda.
The study, which is scheduled for completion in mid-2010, will determine and quantify the benefits of refinery development to the Ugandan economy and the entire East African region, and evaluate and determine the appropriate location, cost and configuration for the planned 150,000 barrels per day refinery, which will process Ugandan crude. Our study, which we are executing in Reading, UK, also includes an assessment of options for the development of the oilfield, crude transportation, and an evaluation of the relative economics of developing the new refinery versus alternative options, including pipelines, for exporting the crude oil. The project will see our Business Solutions Group and our Upstream experts working together to develop a concept covering the whole project from well to finished product, clearly demonstrating our ability to undertake complex multidiscipline projects that cross the boundaries of traditional business lines. Our proven track record in objectively evaluating a wide range of options for upstream oil and gas field development and for attaining the optimum configuration for grassroots refineries, together with our expertise in projects in remote locations, means we are ideally positioned to help the Ugandans achieve a viable, realistic plan for implementing this important project.
Umberto della Sala President & COO, Foster Wheeler AG

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Having recently celebrated 40 years of success in Thailand in 2009, we are very pleased to highlight more successes in Thailand. THAILAND

A strong vote of confidence

Bangchak Refinery
In 2009, we were awarded the FEED for Phase II of the Product Quality Improvement Project for Bangchak Petroleum Public Company Limited at its refinery near Bangkok. This project was launched to meet Euro IV fuel quality specifications, which come into force in Thailand at the start of 2012. This award continues our long-standing relationship with the Bangchak refinery. This started with the clean fuels project, which was completed in 2000. This latest award is a strong vote of confidence from our client in the quality of our design and project management.
Graham Pope General Manager, Thailand Operations Foster Wheeler

fo

Ten million safe hours!

ExxonMobil Sriracha Umbrella Projects

We recently celebrated the outstanding achievement of ten million manhours without a lost-time incident on the Sriracha Umbrella Projects (SUP) contract at ExxonMobils refinery in Thailand. SUP has been running continuously for more than 15 years and stands testament to our hard work to create a safe working atmosphere within the team, together with the application of a robust behavioural-based safety programme. Over the years, our team has executed a wide variety of projects in terms of scope, type, size and schedule. Our success lies in our flexibility and in our responsive approach to a challenging range of projects.

40 FW NEWS

ocus
BANGKOK

IRPC twin awards

We are delighted that Integrated Refinery & Petrochemical Complex Public Co., Ltd. (IRPC), has awarded us two projects at its integrated petrochemical and refining complex at Rayong.
A PMC contract for a combined heat and power project comprising six gas turbine generators, six heat recovery steam generators, a demineralisation plant, a 115 kV substation and common facilities A contract for the FEED, ITB preparation and recommendation for EPC award for a 100,000 tonnes per year propylene unit to increase feedstock supply to the existing polypropylene plant

Extending a thriving relationship

PTTAR Clean Fuel

Bangchak Petroleum

CHONBURI

Continuing our successful working relationship with PTT Aromatics and Refining Public Company Limited (PTTAR), we were recently appointed PMC for the EPC phase of a clean fuel project at its refinery in Map Ta Phut, due for completion at the end of 2011. We have already provided PMC services for the FEED stage and managed the procurement of long-lead equipment, EPC bidding activities and contractor selection.

Esso Thailand
SRIRACHA

MAP TA PHUT

RAYONG

PTTAR

IRPC

The project will enable PTTAR to produce low-sulphur diesel products that meet Euro IV requirements. The new facility, which comprises a deep hydrodesulphurisation unit and upgraded offsite and utility systems, will have a capacity of 85,000 barrels per day of diesel fuel with a maximum sulphur content of 50 ppm.

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We are pleasantly surprised how smoothly the start-up went. Now we can switch production from our European plants to the new capacity in Malaysia obtaining true local supplier status. Its time now to lever this excellent plant with the dynamic market growth.
Lars Wallstein Director, Business Unit Specialties PolymerLatex

42 FW NEWS

Safe successful
We were awarded an EPCm contract in January 2008 to build a new acrylonitrilebutadiene latex plant for PolymerLatex in Malaysia.
State-of-the-art facility
The official opening of the RM250 million (US$74 million) state-of-the-art facility in Pasir Gudang took place in October 2009. Equipped with the latest global-scale technology, all production lines of this new 100,000 tonnes per annum plant have started up and are now producing products for use in medical and examination gloves.

Tailor-made team
As usual, our bespoke solution for our client was both innovative in design and executed safely, successfully blending all of the skills, experience and local knowledge we have in our Asia Pacific operation. Our Singaporean operation provided overall project management and also played a key role in securing materials and equipment from China The Thailand team undertook engineering and procurement The Malaysian operation handled construction management

Safety achievements
Overall, more than one million manhours were worked on site with no lost-time incidents.
Left to right: Henry Ling, project manager, FW APAC; Werner Schaffrin, director of engineering, PolymerLatex; Douglas Motion, director of project execution, FW APAC; Winfried Kraemer, project sponsor, PolymerLatex.

Well done to the project team!

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We have developed a strong working relationship with Shenhua Ningxia and Sasol during the feasibility study and hope to continue our involvement in this ground-breaking project as it moves into the next phase. We are very proud to be helping our clients turn their CTL vision into reality to help China meet its growing need for transport fuels.
Sheni Jiwa Project Manager, Foster Wheeler

44 FW NEWS

COAL-TO-

For the last year our Reading-based Business Solutions Group has been working with our Chinese partner on a feasibility study for a 90,000 barrels per day coal-to-liquids (CTL) plant in the Ningxia Hui Autonomous Region, the coal-rich western part of the Peoples Republic of China.
The planned facility, for Shenhua Ningxia Coal Industry Group and Sasol Synfuels International, will convert coal into selected fuel products such as diesel, naphtha and liquefied petroleum gas. The facility will combine three key processes: 1. Gasification of coal to synthesis gas 2. Conversion of synthesis gas into liquid fuels using Sasols proprietary technology 3. Refining the converted products into valuable fuel products Part of our work has involved studying the need to fabricate virtually all the major equipment local to the site due to logistical constraints. The project has other challenges such as the need to use some of the largest heavy lift cranes in the world.

A team effort
Our team is working on this project in Reading, UK and in our Shanghai office. We are also working closely with our Chinese partner, Wuhuan Engineering Company. During 2009 we supported Shenhua Ningxia and Sasol in their application for Chinese Government approval, which was submitted at the end of the year. We are now in the final stages of the study, preparing our final report package and project cost estimate.

Worlds largest CTL facilities

The planned CTL facility will include the worlds largest coal gasification plant. Our extensive study reflects the huge scale of the planned plant. Our breadth of experience in coal and gas conversion technologies, syngas, and refining, together with a proven ability to integrate complex utility facilities were key factors in winning this work. We have been co-ordinating the work of several licensors to optimise the process design configuration, as well as developing the integrated utilities and offsites infrastructure.

-LIQUIDS

Ground-breaking project for Shenhua Ningxia and Sasol

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Last November, the FEED contract signing ceremony for the Mari El Refinery Expansion took place. The FEED contract will be undertaken by our Milan office in co-operation with our Moscow operation and a Russian design institute, to deliver a final FEED package in compliance with the project expansion targets.

MAJOR EXPANSION WIN

This expansion project at the Mari El Refinery in the Republic of Mari El, part of the Russian Federation, is a major investment. Based on a staged investment approach, the objective of the expansion of this hydroskimming refinery is to increase throughput to 4.3 million tons of crude oil, maximise production of automotive diesel to meet Western countries fuel quality specifications and to cease production of fuel oil for export.
Our FEED contract covers the first stage of this project, which comprises a new crude distillation unit/high vacuum unit complex, a naphtha stabilisation section, a new diesel hydrodesulphurisation unit, related auxiliary units, including hydrogen production, an amine washing section, an amine regeneration unit, a sour water stripper and a sulphur recovery unit. The hydrogen production is based on our own Foster Wheeler Terrace WallTM hydrogen technology.
46 FW NEWS

The expansion also includes a power plant designed to cover refinery steam and power consumption. We have already completed the basis of design phase for the entire refinery expansion. When released by the client, we will execute the subsequent stages, which foresee the addition of a hydrocracker, a hydrogen plant, a solvent deasphalting plant, and a large power plant to burn the asphalt and export electric power to the public network, as well as the expansion of auxiliary and utility units. We will provide project management services up to commercial operation of the expanded refinery.

Extending our involvement

KHABAROVSK
Hydroprocessing Complex

Our relationship with OCA has developed since 2007 and has strengthened with every challenge that the project has faced. We are delighted that our involvement has been extended.
Frazer Mackay Divisional Director, UK Operations Foster Wheeler

We have been awarded a further extension to our contract to provide project management and technical consultancy services for the hydroprocessing complex at the Khabarovsk refinery in Russia, owned by OJSC Oil Company Alliance (OCA). The objective of this project is to increase the capacity of the existing refinery by 50%.
We are now providing our services through the engineering and procurement phase, currently due for completion in July 2011. During this time we will continue to provide consultancy services to the client across all of the EPC contractors engineering disciplines as well as supporting planning, contract strategy and procurement activities. Our contract with OCA has been in place since 2007. We have previously completed the FEED for the entire hydroprocessing complex, and the basic design for the hydrogen production facility, which uses Foster Wheeler technology.

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The Pluto LNG Project at Karratha in Western Australia is developing at a remarkable rate. We are part of the joint venture executing the EPCm phase of this project for Woodside. The facility will have an expected annual production capacity of up to 4.3mtpa.

PLUTO LNG

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Thailands safe success

The LNG plant has been designed to be constructed in modular form and so there was a very strong focus on progress at the Laem Chabang module yard in Thailand, where the 264 modules have been assembled. The workforce at the yard, with three large workshops feeding fabricated pipe and steel for assembly, peaked at about 12,000 people. Marshalling all of the materials and then fabricating the modules was a tough challenge, but one to which weve risen, shipping all 264 modules to Australia by the end of April 2010 in line with the plan. We were proud that the assembly yards worked a hugely impressive 36 million manhours without a single lost-time injury (LTI), and the workshops completed a further 11 million manhours without an LTI.

Completion of the main operational buildings such as the central control room, substations and the field auxiliary rooms which contain control systems, was achieved during the first quarter of 2010 allowing the E&I contractors to have full access to carry out their work. In line with the full modularisation of this project, the central control room was constructed off-site in small modular sections, reducing the requirement for resources and time on site. In fact, in March of this year, the Karratha site achieved five million manhours without an LTI. The process train team are right into mechanical construction work with the installation and alignment of the main compressors, installation of the airfins and the hook-up of the large process modules.

Meanwhile .... in Karratha

Through 2009, the focus in Karratha was the civil work while installing modules and beginning their hook-up. The start of 2010 saw the ramping up of mechanical and electrical and instrument (E&I) contractors introducing over 200 people per week on to site. This will be the main focus for the rest of the year

Sharks & dolphins!

Down at the jetty, all of the piling and structures for the jetty are completed and the superstructure modules are in place, with extensive hook-up work in progress. People working in the jetty area have even been treated to views of hammerhead sharks and dolphins!

Taking care of the turtles

As with all the projects we manage, theres a strong environmental focus at Pluto. A key requirement of the regulatory authorities responsible for approval of the Pluto LNG facility is the sensitive management of fauna, including minimisation of any impact on marine turtles. We aim to ensure that all on-site staff are very aware of our environmental commitments, through environmental induction sessions.

We have also restricted access to the beach and have developed a lighting plan for use during construction as turtles are distracted from nesting if the lighting is too bright. For night-time activities we ensure that the lighting towers do not shine on to the beach. So far this season the turtles seem to be doing well. On Holden Beach turtle tracks and nests have been observed and we have also identified one hundred and one hatchling tracks heading towards the water from the nests.
Image: Courtesy of David Pozarri, FWW Environmental Team, Pluto LNG Project. Turtle hatchling on beach near Pluto.

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Ground-breaking win in Poland

Worlds largest

100%
biomass boiler
We have world-leading biomass expertise in both our Global Power Group (GPG) and in our Global E&C Group.
In fact, our GPG colleagues are celebrating the award to design, supply and erect the worlds largest 100% biomass boiler. The contract was awarded by GDF SUEZ, one of the leading energy providers in the world, for the design, supply and erection of a 190 MWe (gross megawatt electric) 100% biomass-fired circulating fluidised-bed (CFB) boiler island for the Polaniec Power Station in Poland. We will design and supply the steam generator and auxiliary equipment, including the biomass yard, and will carry out the civil works, erection and commissioning of the boiler island. Once complete, this will be the world's largest biomass boiler burning wood residues and up to 20% agro biomass. This boiler demonstrates the capability of our state-of-the-art 'Advanced Bio CFB' concept that allows the co-firing of high alkaline agro biomasses with wood-based biomass in utility-size power production. Our CFB product technology provides solutions for effective CO2 reduction in power generation through large scale 100% biomass utilisation which is an important part of Poland's energy future.
Gary Nedelka CEO, Global Power Group

CLEAN POWER
with carbon capture Planned demonstration project for Poland
We recently completed a technical and economic feasibility study for a polygeneration plant with carbon capture for Poludniowy Koncern Energetyczny (PKE) S.A. and ZAK S.A.

The plant, to be built in Kedzierzyn in Poland, is expected to produce 300 MWe of electric power and 500,000 tonnes per year of methanol from domestic coal and biomass gasification. Our study included a technical review of gasification technologies, a comparison of two alternative plant configurations, detailed engineering activities for the selected configuration, and a preliminary financial analysis of the whole project.

EU support for CCS

Carbon capture and storage (CCS) is seen as one of the key technologies for cutting CO2 emissions from coal power plants. In close co-operation with industries and Member States, the European Union (EU) presently supports the development of CCS in coal-fired power plants. The aim is to make emissions reduction in power generation using CCS commercially feasible by 2020. Our clients hope that this planned project will be supported by the EU as a demonstration plant under its New Entrance Reserve 300 Programme. We expect tough competition within the EU among the eligible CCS demonstration plants. We have selected Foster Wheeler for its recognised reputation to deliver high quality engineering services in clean coal with carbon capture and storage applications.
Jan Kurp President of the Management Board of PKE S.A. Krzysztof Jaosinski President of the Management Board of ZAK S.A.

Efficient coal-based polygeneration

The polygeneration plant will gasify coal and biomass to produce syngas that is shifted to increase the hydrogen content and cleaned to remove sulphur and other contaminants. Carbon dioxide is also captured to produce a de-carbonised, hydrogen-rich fuel for power generation and a suitable feedstock for the chemical synthesis of methanol. The captured carbon dioxide is then transported to the selected storage location for geological sequestration.

View our brochures on Coal-to-Products, Carbon Capture & Storage or Gasification at www.fwc.com/publications
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I am very appreciative of the measures taken by Foster Wheeler to ensure a safe working environment, while also assisting ONGC at every stage of execution of the important project.
V K Ramesh Executive Director & Plant Manager ONGC

Above left: Demethaniser, deethaniser and depropaniser distillation columns. Above: Malcolm Hubbard, retiring resident construction manager, FW. Left: A presentation by Shri P V Satyaprakash (right), deputy general manager, ONGC, to Pramod Kumar, new resident construction manager, FW.

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Since 2005, we have been working as project management consultant for ONGCs innovative C2-C3 plant, which is in the final stages of completion at Dahej, a rapidly growing industrial area in the Indian state of Gujarat.

ONGCs C2-C3
plant
Rich LNG
The facility, when commissioned, will process LNG from the adjacent Petronet LNG import terminal to extract ethane, propane and butane before returning the lean LNG to the terminal for vaporisation and dispatch to the gas distribution grid. The products will form the feedstock for the adjacent OPaL petrochemicals complex that is currently being constructed for an ONGC-led JV. When complete the petrochemicals complex will produce ethylene and high- and low-density polypropylene.

Safety first
Throughout construction of the C2-C3 plant, ONGC, our team, and the EPC contractor have all worked closely together to ensure safe working on site. Maintaining safe working in this remote location has been challenging, as much of the local labour force had little experience of working in an industrial environment. The project has expended over 12.5 million construction manhours. The efforts of all the people involved in the project were recognised when the EPC contractor, along with ONGC, received a prestigious National Safety Council of India Award for meritorious safety performance.

Our key role

We have played a key role in this overall development. As well as our current role, we were previously project management contractor for the import terminal, which was completed in 2004 and which will now provide the rich LNG to the C2-C3 plant. We are also the project management consultant for the site infrastructure for the OPaL cracker.

Next steps
Our team is currently supervising the construction of the road tanker loading station and other finishing activities at site. Later this year, we will assign a team to site to assist with commissioning and plant performance testing.

Early revenue stream

The OPaL facility is not planned for completion until 2012 and consequently is not in a position to receive the feedstock that will be available later this year. As an interim measure, ONGC is currently constructing a road tanker loading facility to export the propane and butane products and a pipeline along the pipeline corridor to OPaL to transport ethane to a nearby facility. The road tanker loading facility is located within the C2-C3 plant plot area and will be commissioned later this year. It will enable the C2-C3 plant to be fully commissioned and the plant performance demonstrated. The temporary export facilities will allow ONGC to realise an early return on its investment pending the completion of the adjacent OPaL petrochemicals complex.

A development hub
The C2-C3 plant will be the first process plant to be constructed and commissioned within the new Special Enterprise Zone. Since we started work on site in 2006 there has been a dramatic improvement in the national road system and the overall industrial development. ONGC is playing a major role in the industrialisation of this region. We are very proud to be supporting ONGC and being able to play a part in this rapidly developing sector of the Indian economy.

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Brandenburg Gate, built in 1788-1791, was at the centre of celebrations in November 2009.

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SUCCESSFUL EVENT
ON A LANDMARK DATE!
The European Refining Technology Conference (ERTC) is the largest refining event in Europe. The 2009 conference was held in Berlin in November, coinciding with the celebrations marking the 20th anniversary of the fall of the Berlin Wall.
Two of our experts presented at this key event. Mike Stockle, chief engineer of refining technology, presented a paper on Dealing with Dieselisation. Mike presented an overview of the various options, both current and in development, available to improve diesel make from a refinery. He provided indicative overall mass balances for a number of scenarios to demonstrate the potential benefits of these schemes for increasing dieselto-gasoline ratio. He addressed the importance of crude selection, optimising cut-points, improving diesel recovery from the vacuum distillation unit, modifying FCC yields, the addition of residue upgrading, and technologies for converting LPG and gasoline to diesel and converting gasoline to petrochemicals. Mike Green, principal process consultant, made a presentation on Energy Management in Design. He highlighted the way in which Foster Wheeler and AspenTech work together to offer clients a value-adding combination: the modelling and systems capabilities of AspenTech with the real-world engineering and cost estimating expertise of Foster Wheeler, providing clients with robust, constructible and economic solutions to solve energy management needs. As in previous years, we hosted a hospitality suite, offering our clients a congenial and relaxing place to sit and chat with our experts from the US, UK, Italy and France. It was very gratifying that our suite was so popular, especially competing with the fireworks and celebrations in the city!

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TEAMWORK
Working collaboratively towards common goals