Pact signed for $1.5bn chemical project in Oman

Leading Canadian-based international engineering giant SNC-Lavalin has announced that it has signed an exclusive agreement with Project Development & Management International LLC (PDMI) in Oman, to design and deliver a greenfield chlor-alkali PVC plant 150km southeast of the Omani capital, Muscat. SNC-Lavalin will support the project long term, from concept development to commissioning, carrying out the initial engineering, master planning, process technology evaluation and selection to support project financial investment decision approvals.

The subsequent Engineering, Procurement and Construction Management (EPCM) contract is expected in Q1 2019, where SNC-Lavalin will execute the complete design and delivery, working alongside Omani contractors to maximise in-country value. SNC-Lavalin will also support the operations and maintenance of the plant.

The project capital cost is expected to be in the range of $1.5 billion (CAD1.9 billion), and will produce around a quarter of a million tonnes per annum of PVC destined for Asia, and around 140,000 tonnes per annum of sodium hydroxide (caustic soda) that will support local industries. SNC-Lavalin has extensive experience in delivering downstream oil and gas infrastructure around the world, with expertise in greenfield and brownfield petrochemical and refining facilities, and has worked with some clients for over 50 years.

“This contract is a major strategic win for us, helping to grow our business in the region and demonstrate our worldleading credentials in providing end to end solutions for large EPC projects,” said Christian Brown, President, Oil & Gas, SNC-Lavalin. “Oman is an important market for SNCLavalin where we have a long history of safely delivering complex major projects. We are pleased to be able to apply our international experience to such a significant project in the region while working hard to increase in-country value and help develop Oman’s resources.”

In 2017, SNC-Lavalin was awarded a long term framework contract from Petroleum Development Oman for the commissioning and start-up support services management for its upstream assets in Oman. As part of this contract, SNC-Lavalin has set-up a dedicated training academy in Muscat to train and develop multidisciplinary graduate engineers in the specialist field of commissioning.

Founded in 1911, SNC-Lavalin is a global fully integrated professional services and project management company and a major player in the ownership of infrastructure.

Last July, SNC-Lavalin acquired Atkins, one of the world’s most respected design, engineering and project management consultancies, which has been integrated into its business.