Statoil and PTTEP complete agreement to divide Canadian oil sands interests

On Wednesday, 28 May 2014, Statoil and PTT Exploration and Production completed the agreement to divide their respective interests in the Kai Kos Dehseh (KKD) oil sands project in northeast Alberta, Canada.

Following the satisfaction of all conditions precedent and the closing of this transaction, Statoil now owns 100% and continues as operator of the Leismer and Corner development projects with PTTEP owning and operating 100% of the Thornbury, Hangingstone and South Leismer areas.

At the closing of this transaction, Statoil paid to PTTEP the sum of USD 200 million plus a working capital adjustment amount of CAD 238 million.

For more information, please visit: www.statoil.com

Mother Dairy aims Rs. 1100 crore from value-added products.

Mother Dairy is aiming at Rs. 1,100 - crore business from dairy based value-added products in 2014-15. "We are targeting Rs. 1,100 crore from value-added products this year. We had done Rs 800 crore business in 2013-14," Mother Dairy business head S Basu said. Mother Dairy as a company had a turnover of around Rs. 6,300 crore in the last fiscal, he said. In the eastern region, the dairy major launched new fresh fermented products like aam dahi, and with the exciting response it received, the company is also planning to increase its capacity from 12 tonnes per day to 17 tonnes per day, Basu said. "By next summer, the present capacity will increase to 100 tonnes per day with expanding our market beyond Kolkata. We are planning to launch in other eastern region cities like Jamshedpur, Bhubaneshwar and Rachi," he said.

MOIL plans INR 600 crore ferroalloy plant in Bhilai.

Times of India reported that PSU Manganese Ore India Limited is planning to forge a three way joint venture with Steel Authority of India Limited and Rashtriya Ispat Nigam Limited to set up a ferroalloys plant at an investment of over INR 600 crore at Bhilai in Chhattisgarh state. A source in the ministry of steel said that "Originally, there were plans to strike a separate JV with SAIL and RINL, with a plant each at Bhilai and Bobbili in Andhra Pradesh. The Andhra plant could not take off due to the power crisis in the state. At the same time, suitable bids did not come in for the Bhilai venture. Now, it has been finally decided to have a common plant at Bhilai, where SAIL has its unit." A source said that the plant will have a capacity of 150,000 tonne per annum. This will be advantageous to both MOIL and the steel makers. The former will get an assured market while the latter will get an assured supply of ferroalloys an essential ingredient in steel making. The source said that earlier, MOIL planned to have 50% stake in each of the JVs. Now, the modalities are still being worked out but a part of the project will be funded with debt.

HPCL to invest Rs. 17,000 crore to expand capacities by 2018.

Hindustan Petroleum Corp Ltd. (HPCL) recently said it will invest Rs. 17,000 crore in raising its Mumbai and Vizag refinery capacity by 2018. HPCL plans to expand its Mumbai refinery from 6.5 million tonnes to 10 million tonnes in two-and-half years from the date it gets environment clearance and Vizag from 8.33 million tonnes to 15 million tonnes, company Director (Refineries) B K Namdeo said. "The expansion of Mumbai refinery will cost Rs. 2,000 crore while Vizag refinery expansion will cost Rs. 15,000 crore," he said. Namdeo said at Vizag a new 9 million tonne unit will be built but some old units of the existing refinery will be taken down. After the expansion, Vizag will have a capacity of about 15 million tonnes per annum. "We have already applied for environment clearance and expect the same by year end," he said, adding the Vizag refinery expansion will take three years from the date it gets all clearances. HPCL, which is part owner for a 9 million tonne refinery at Bhatinda in Punjab, is also setting up a 9 million tonne a year new refinery-cum-petrochemical complex at Barmer in Rajasthan. The company, which owns 12,869 petrol pumps and 3506 LPG distributorship across the country, is looking to beef up its refining capacity to meet growing demand for fuel in the world's third largest energy consuming market.

Foster Wheeler awarded contract for terrace wall steam reformer heater in Kazakhstan

Foster Wheeler AG (Nasdaq:FWLT) announced today that a subsidiary of its Global Engineering and Construction Group has been awarded a contract by Marubeni Corporation for the engineering and material supply of a new Terrace Wall steam reformer heater, including an air preheating system, for the KazMunayGaz oil refinery located at Atyrau, Republic of Kazakhstan.

The value of Foster Wheeler’s contract was not disclosed and was included in the company’s first-quarter 2014 bookings.

The steam reformer will be part of a hydrogen production unit with a capacity of 24,000 normal cubic meters per hour to be built at the refinery. The hydrogen plant is based on Foster Wheeler’s hydrogen technology. Foster Wheeler’s scope of work is scheduled to be completed in April 2015.

Foster Wheeler's Terrace Wall reformer is characterized by a firing arrangement and sloped-wall radiant section design that, together, enable long catalyst tube life (often in excess of 100,000 hours) and deliver the flexibility to extend a reformer's operating envelope. This often allows production of hydrogen in excess of the design capacity of the hydrogen production unit, which may in turn deliver additional economic benefits. Foster Wheeler's reformers can operate with ultra-low-NOx burners to meet tightening environmental emission standards worldwide. Foster Wheeler has supplied over 200 Terrace Wall steam reformers to the refining and petrochemical industries in more than 40 countries worldwide.

The contract was awarded by Marubeni on behalf of the SINOPEC Engineering (Group)/Marubeni/KazStroyService consortium executing the engineering, procurement and construction of the refinery modernization project.

Foster Wheeler AG is a global engineering and construction company and power equipment supplier delivering technically advanced, reliable facilities and equipment. The company employs approximately 13,000 talented professionals with specialized expertise dedicated to serving its clients through one of its two primary business groups. The company’s Global Engineering and Construction Group designs and constructs leading-edge processing facilities for the upstream oil and gas, LNG and gas-to-liquids, refining, chemicals and petrochemicals, power, minerals and metals, environmental, pharmaceuticals, biotechnology and healthcare industries. The company’s Global Power Group is a world leader in combustion and steam generation technology that designs, manufactures and erects steam generating and auxiliary equipment for power stations and industrial facilities and also provides a wide range of aftermarket services. The company is based in Zug, Switzerland, and its operational headquarters office is in Reading, United Kingdom. For more information about Foster Wheeler, please visit our website at www.fwc.com.

Technip awarded new LNG plant contract in China, building up its strong expertise in natural gas liquefaction

Technip has been awarded an engineering, procurement and technical assistance contract by Fengzhen Wanjie Gas Co. Ltd. for a liquefied natural gas (LNG) plant in Fengzhen City, Inner Mongolia Province, China. The plant will consist of 1.3 million Nm3/day LNG train (0.35 Mtpa) and a 0.3 million Nm3/day Compressed Natural Gas (CNG) station.

The contract covers:

- basic engineering design (BED) of the process plant,

- BED and detailed engineering design of a LNG tank,

- procurement of key equipment such as the main cryogenic heat exchanger, mixed refrigerant compressor, boil-off gas compressor, LNG in-tank pumps, cryogenic control and on-off valves.

The LNG plant will be based on an Air Products liquefaction process.

Technip’s operating centers in Shanghai, China, and Kuala Lumpur, Malaysia, will execute the contract with plant start-up scheduled for the second half of 2016.

KK Lim, President of Technip in Asia Pacific, commented: "This contract award is another success for us in the growing mid-scale LNG market in China. I am delighted that Technip remains as the contractor of choice while we continue to bring our extensive knowledge in LNG to our clients."

For more information, please visit: http://www.technip.com/

ONGC to invest $207 million on Mukta-B field development plan

ONGC will incur a capex of $206.87 million on Mukta-B field development plan (FDP).

According to the plan, a total of six wells will be drilled in the field. An Invitation to Tender (ITT) for hiring of a rig has already been floated which is expected to be mobilized in April 2015.

In addition to this, a 5-km-long pipeline from the Mukta-A (MA) field to the Mukta-B (MB) field will also be laid. The 14-inch pipeline will be laid to evacuate fluid from the MA well.

L&T has been awarded EPIC contract and the platform is expected to be ready for drilling by March 2015. Purchase orders for long-lead items have also been placed and all fabrication activities are expected to be completed by February 2015.

McNally Bharat bags order worth INR 1.44 billion.

McNally Bharat Engineering Company has bagged an order worth INR 1.44 billion for construction of residential accommodation for an army base.

Subsea 7 awarded US$460M Catcher Project contract

Subsea 7 S.A. has been awarded its largest UK EPIC services contract, valued in excess of $460 million by Premier Oil UK Limited, in support of its Catcher Area Development, located 180km east of Aberdeen in Central North Sea Block 28/9.

The contract covers the provision of project management, engineering, procurement, construction, fabrication and installation of Catcher’s subsea facilities. The scope includes three pipeline Bundles incorporating Butting BuBi® Mechanically Lined Pipe, a riser system for the Catcher Floating, Production, Storage and Offloading (FPSO) unit, and installation of a 10", 60 km gas export/import pipeline.

Subsea 7’s office in Aberdeen will undertake the engineering and project management scope, with fabrication work to take place at the Company’s Wick and Leith facilities. Offshore activities utilising a number of Subsea 7 vessels will start in 2015.

　

Phil Simons, Subsea 7’s Vice President, UK and Canada, said: "We are extremely pleased to be awarded this major EPIC contract, which is of significant importance for both Subsea 7 and Premier. This demonstrates the versatility, dependability and economic benefit of our Bundle solution to our clients in a mature basin such as the UK Continental Shelf."

Mike Skitmore, Premier Oil’s UK Business Unit Manager, said: "We are confident that Subsea 7 has the engineering and project management expertise to deliver a timely and robust subsea solution for our Catcher project and look forward to working with them on this development".

For more information , please visit: http://www.subsea7.com/

Foster Wheeler JV Awarded FEED and Project Execution Services Contract for LNG Canada Project in Kitimat

Foster Wheeler AG (Nasdaq:FWLT) announced today that a subsidiary of its Global Engineering and Construction Group, in joint venture with affiliates of Chiyoda Corporation, Saipem S.p.A. and WorleyParsons Limited ("CFSW JV"), has been awarded a contract by LNG Canada Development Inc. ("LNG Canada") for the provision of front-end engineering design ("FEED") and project execution services for a proposed liquefied natural gas (LNG) export project, known as the LNG Canada Project, in Kitimat, British Columbia.

The contract value was not disclosed. Foster Wheeler’s portion of the FEED phase will be included in the company’s second-quarter 2014 bookings.

The LNG Canada Project is planned as a phased development initially comprising two processing trains, each with a production capacity of approximately six million tonnes per annum of LNG, with an opportunity for an additional two trains. The release to proceed with the project execution phase is subject to regulatory approvals and a financial investment decision by LNG Canada, a milestone still a couple of years away.

Roberto Penno, Chief Executive Officer, Foster Wheeler Global Engineering and Construction Group, said, "We are delighted to confirm the award for this major LNG liquefaction development in British Columbia. As part of the CFSW JV, Foster Wheeler brings proven experience in modular design, fabrication and construction for LNG facilities in remote and challenging locations. Together with our joint venture partners, we look forward to working towards the successful design and delivery of this landmark project."

"We are pleased to be working with Chiyoda, Foster Wheeler, Saipem and WorleyParsons, a group of companies who together have extensive experience in the liquefied natural gas industry," said Andy Calitz, CEO, LNG Canada. "LNG Canada’s vision is to work collaboratively with First Nations, the local community and other stakeholders, to deliver a project that is safe, reliable and reflective of community interests, and I look forward to us working together to deliver this project’s expected benefits to the surrounding communities and all British Columbians."

LNG Canada is comprised of Shell Canada Energy (50%), an affiliate of Royal Dutch Shell plc, and affiliates of PetroChina (20%), Korea Gas Corporation (15%) and Mitsubishi Corporation (15%). This operating entity is incorporated and registered under the federal laws of Canada.

Foster Wheeler AG is a global engineering and construction company and power equipment supplier delivering technically advanced, reliable facilities and equipment. The company employs approximately 13,000 talented professionals with specialized expertise dedicated to serving its clients through one of its two primary business groups. The company’s Global Engineering and Construction Group designs and constructs leading-edge processing facilities for the upstream oil and gas, LNG and gas-to-liquids, refining, chemicals and petrochemicals, power, minerals and metals, environmental, pharmaceuticals, biotechnology and healthcare industries. The company’s Global Power Group is a world leader in combustion and steam generation technology that designs, manufactures and erects steam generating and auxiliary equipment for power stations and industrial facilities and also provides a wide range of aftermarket services. The company is based in Zug, Switzerland, and its operational headquarters office is in Reading, United Kingdom.

For more information , please visit: www.fwc.com