Pact signed for $1.5bn chem­i­cal project in Oman

Oil and Gas - - REGIONAL NEWS -

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.

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