10-03-2023
Hyundai E&C consortium breaks ground on S-Oil Shaheen project
A South Korean consortium led by Hyundai Engineering & Construction Co. has embarked on building 9.26 trillion won ($7 billion) petrochemical facilities for S-Oil Corp, the Korean unit of Saudi Arabian Oil Co.
The consortium, which includes Hyundai Engineering Co., Lotte Engineering & Construction Co. and DL E&C Co, on Thursday broke ground on the facilities at S-Oil’s Onsan industrial complex in Ulsan, southeast of Seoul.
The megaproject titled Shaheen, meaning falcon in Arabic, aims to expand S-Oil’s capacity to manufacture petrochemical products such as ethylene and polyethylene.
The Shaheen project is the single largest investment by Saudi Aramco in Korea’s refining and petrochemical industry.
The project will build the world’s biggest naphtha-fed steam cracker, using Saudi Aramco’s proprietary thermal crude to chemicals (TC2C) technology, the contractors said.
The construction work is divided into three parts, or packages.
Hyundai E&C, Hyundai Engineering and DL E&C are responsible for Package 1, which involves the construction of the steam cracker and TC2C facilities.
Package 2, building high-density polyethylene (HDPE) and linear low-density polyethylene (LLDPE) production facilities, will be handled by Hyundai Engineering and Lotte E&C.
Lotte is responsible for Package 3, which involves the construction of tanks.
When completed in 2026, the facilities will produce 1.8 million tons of ethylene and 750,000 tons of propylene annually. The feedstock, in turn, will be translated into 1.2 million tons a year of petrochemicals such as HDPE and LLDPE.
Shift froom crude refining
S-Oil, Korea’s third-largest oil refiner, has been striving to diversify its business portfolio away from crude refining to limit the negative impact of volatile oil prices on its profits.
As a result of the latest investment, petrochemicals would account for 25% of the company’s total sales revenue by 2030, up eight percentage points from 17% in 2021.
S-Oil is 63.4% owned by Saudi Aramco, which is controlled by the Middle Eastern country’s de facto leader Mohammed bin Salman, the crown prince and prime minister of Saudi Arabia.
“The Shaheen project recognizes our consortium’s engineering, procurement and construction (EPC) expertise. With the deal, we expect to win more big projects in the petrochemical and plant engineering businesses,” said a Hyundai E&C official.
Hyundai E&C’s partner Hyundai Engineering is the plant engineering and construction unit of Hyundai Motor Group.
DL E&C is the construction unit of DL Group, formerly known as Daelim.
https://www.kedglobal.com/petrochemicals/newsView/ked202303100022
News Category:
-
Beyond processbook & PI vision: Exploring today’s industrial analytics tools
(Webinar) - In the Manufacturing 4.0 era, industrial organizations have more data at their fingertips than ever, offering the promise of higher production rates, more ...
04-06-2024
-
Sasol provides state of the art catalysts to INERATEC for the production of sustainable e-fuels
The catalysts will be used, among others, in the first large-scale industrial Power-to-Liquid (PtL) plant that INERATEC is currently building in Frankfurt, Germany, which ...
24-04-2024
-
Baker Hughes to supply 17 centrifugal compressors to Saudi Master Gas System project
Baker Hughes, an energy technology company, announced Tuesday that it has received an order by Worley, for and on behalf of Aramco, to supply gas technology equipment ...
23-04-2024
-
SABIC Fujian Petrochemicals select Phenol yechnology from KBR
KBR announced today it has been awarded a contract by SABIC Fujian Petrochemicals to license KBR's market-leading phenol technology in China. Under the terms of the ...
22-04-2024
-
Lummus Expands R&D capabilities to enhance innovation and water and wastewater technologies
Lummus Technology, a global provider of process technologies and value-driven energy solutions, announced the opening of its cutting-edge research and development (R&D) ...
17-04-2024
-
Clariant launches new CATOFIN® 312 propane dehydrogenation catalyst
Clariant, a sustainability-focused specialty chemical company, today announced the launch of CATOFIN 312, its latest propane dehydrogenation catalyst. The new catalyst ...
16-04-2024
-
Yokogawa and GridBeyond conclude investment and strategic partnership agreements
Yokogawa Electric Corporation and energy IT solutions provider GridBeyond of Ireland announce that they have concluded a strategic partnership agreement. Furthermore, ...
16-04-2024
-
Heraeus Precious Metals launches Circlear
Heraeus Precious Metals, a globally leading company in the precious metals industry and one of the largest recyclers of precious metals, has introduced its new offering ...
16-04-2024
-
EMA and JERA to cooperate on LNG procurement and supply chains
The Energy Market Authority and JERA Co Inc, have signed a Memorandum of Understanding to cooperate on mutually beneficial areas in liquefied natural gas procurement ...
16-04-2024
-
Hexagon and Dragos unveil technical partnership to strengthen industrial cybersecurity
Hexagon’s Asset Lifecycle Intelligence division today announced a strategic partnership with Dragos, a global leader in cybersecurity for operational technology (OT). ...
16-04-2024