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Chexpress - October 15, 2014




North America



Ammonia Plant



Linde Engineering North America (LENA) is building an ammonia plant for J.R. Simplot Company adjacent to Simplot’s existing phosphate fertilizer complex in Rock Springs, Wyoming. The 600 tons/day plant will supply both the Rock Springs and Pocatello, Idaho phosphate fertilizer production locations while also providing the capacity to meet Simplot’s next phase of anticipated phosphate expansion plans at its Rock Springs location. It is expected to take two years to complete the new plant.

Acquisition



Boardwalk Pipeline Partners, LP has completed the acquisition of Chevron Petrochemical Pipeline LLC from Chevron Pipe Line Company. Chevron Petrochemical Pipeline owned the Evangeline ethylene pipeline system. Evangeline will be operated by Boardwalk Louisiana Midstream (BLM), a subsidiary of Boardwalk. The Evangeline system is a 176-mile interstate pipeline capable of transporting approximately 2.6 billion pounds of ethylene/year and is supported by long-term, fee-based contracts. The pipeline transports ethylene between Port Neches, Texas and Baton Rouge, Louisiana.

Specialty Pipe



LyondellBasell’s 3,900-acre petrochemical facility is undergoing an expansion to increase production of ethylene units as well as propylene, butadiene and benzene. Tioga was selected by KBR, the expansion contractor, as its supplier of choice over several other bidders for the LyondellBasell ethanol plant expansion project. The project requires timely delivery of specialty pipes for chemical composition made of certain percentages and composition of material outside of the industry ASTM standards.

Apprenticeship Program



The Dow Chemical Company will launch a U.S. Apprenticeship pilot program at various Dow sites across the nation in 2015. Dow’s U.S. Apprenticeship program will offer participants two to four years of training and on-the-job experience in some of the most sought after and highest earning technical specialties in the industry. Through partnerships between Dow and local community colleges, the program will combine classroom training and hands-on learning to build skills and experience. Upon program completion, apprentices will be evaluated for employment opportunities at Dow. Dow will pilot the program at five of tis manufacturing sites in Texas (Freeport, Bayport, Deer Park, Seadrift and Texas City) as well as at its manufacturing sites in Pittsburg, California and the Chicago area. The company expects to hire approximately 60 apprentices for the pilot program in 2015, offering training for roles such as Chemical Process Operators, Instrumentation & Equipment Technicians and Analyzer Technicians.

World



Polypropylene Unit



CB&I has been awarded a contract by Shenhua Ningxia Coal Industry Group Co. Ltd. for the license and engineering design of a polypropylene unit to be built in Lingwu, China. The unit will use CB&I’s Novolen technology to produce 600,000 metric tons/year of polypropylene. There are already two units using this technology on the site and at the completion of the third unit, the capacity of the site will be increased to 1.6 million metric tons/year and the plant will be able to produce the full range of polypropylene grades.

Pipelines



Kashagan will have to spend up to another $3.6 billion to replace leaking oil and gas pipelines, which could also delay the restart of production. Production at the Kashagan reservoir, the world’s biggest oil find in recent times, started in September 2013, but was halted just a few weeks later after the discovery of gas leaks in the $50 billion project’s pipeline network. Replacing the pipelines at the Kazakhstan oilfield will cost between $1.6 billion and $3.6 billion. The final cost of the replacement mainly depends on the resistance to corrosion of the pipes used in laying the new pipelines.

Pipeline



China National Petroleum Corp (CNPC) has received government approval for the design of the Chinese section of a giant pipeline that is due to ship $400 billion worth of Russian natural gas to China. According to the initial designs, the pipeline will start from Heihe city and run through the provinces of Jilin, Inner Mongolia, Liaoning, Hebei, Tianjin Municipality, Shandong, and Jiangsu to reach Shanghai. Construction of the Chinese section will start in the first half of next year and is slated to be complete in 2018.




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