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Four bid for JUPC ethylene plant
17th August 2001

 Four bidders submitted proposals in late July for the estimated $350 million ethylene package at the Jubail United Petrochemical Company (JUPC) olefins complex. An award is expected in mid-October. (MEED 27:4:01).

The bidders for the licensing, engineering, procurement and construction contract are Shaw Group subsidiary Stone & Webster and ABB Lummus Global both US-based Japan's Chiyoda Corporation, with US-based Kellogg Brown & Root and Germany's Linde, with South Korea's Samsung Engineering Corporation.

Meetings were scheduled to take place in mid-August between JUPC and the bidders to clarify the technical details of the proposals. The commercial bids are due to be opened later in the month. The invitation to bid was issued in March.

The 800,000-tonne-a-year (t/y) ethylene plant is to be the largest unit at the estimated $2,000 million JUPC complex, which

will also include a 460,000-t/y ethylene glycol (EG) unit and a 100,000-t/y alpha

olefins complex. The company had also been planning a high density/low density polyethylene plant with capacity of

400,000 t/y. However, JUPC's owner, Saudi Basic Industries Corporation (Sabic), decided to merge the polyethylene unit with a similar plant at Jubail-based

Arabian Petrochemical Company (Petrokemya).

The EG unit is due to be tendered in 2002 and will use technology supplied

by the US' Scientific Design Company. US-based Fluor Daniel is project

manager for the entire complex. The financial adviser is Gulf International Bank.

Source: EMAP Business Communications2001

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