The Minister of Energy and Industry H E Dr Mohammed bin Saleh Al Sada with Chairman of Chiyoda Corporation, Takashi Kubota, and Chairman and CEO of CTCI, John T Yu, after signing the EPSCC contract yesterday.
Doha: The contract for the Engineering, Procurement, Supply, Construction and Commissioning (EPSCC) of the Laffan Refinery 2 (LR2) Project, the second condensate refinery at Ras Laffan Industrial City, was yesterday awarded to a joint venture of Chiyoda Corporation and CTCI Corporation.
The contract was signed by the Minister of Energy and Industry and Chairman & Managing Director of Qatar Petroleum H E Dr Mohammed bin Saleh Al Sada, Chairman of Chiyoda Corporation, Takashi Kubota, and Chairman and CEO of CTCI, John T Yu.
Qatargas Chief Executive Officer Khalid bin Khalifa Al Thani and senior officials from Qatar Petroleum and Qatargas also attended the official signing ceremony, held in Doha.
Similar to the existing Ras Laffan Refinery (LR1), which started production in September 2009, LR2 will have a processing capacity of 146,000 barrels per stream day and will also be operated by Qatargas Operating Company Limited (Qatargas).
To be constructed adjacent to the existing refinery, LR2 will have a daily production capacity of 60,000 barrels of naphtha, 53,000 barrels of jet fuel, 24,000 barrels of gasoil and 9,000 barrels of liquefied petroleum gas (LPG).
Dr Al Sada hailed the agreement as “an important part of a vigorous drive to expand and diversify Qatar’s industrial base”.
“The agreement is in line with the vision of the Emir H H Sheikh Hamad bin Khalifa Al Thani, to ensure the optimal utilisation of our country’s natural resources while contributing effectively to securing energy supplies for the local and international markets,” he said.
“The second phase of Laffan Refinery while improving product distribution domestically will also help meet the increasing demand of international customers for cleaner fuel products. Qatargas will manage the EPSCC activities and eventually operate the facilities on behalf of the shareholders, utilising the synergies available in Laffan Refinery 1, which has been in operation since 2009,” Qatargas CEO said.
Salman Ashkanani, Chief Operating Officer, Refinery Ventures, adds: “The new expansion project will double the existing capacity of the Laffan Refinery to 292,000 barrels per stream day. The detailed engineering work for LR2 kicked off early last month.”
Chiyoda Corporation, which is headquartered in Yokohama, Japan, has extensive experience in executing projects for gas processing, refineries and other hydrocarbon or industrial plant projects, particularly gas value chain projects in the Middle East, Russia, Africa, South East Asia and the Oceania regions.
CTCI Corporation is the largest integrated engineering and construction firm in Taiwan. It has considerable engineering experience in refinery, petrochemical, general industrial and power plant, environmental protection, energy and transportation projects throughout the world.
The Peninsula
