MOSCOW (MRC) -- Technip Energies has been awarded a substantial Engineering, Procurement, and Construction (EPC) contract in consortium with TARGET Engineering by Abu Dhabi Polymers co. Ltd. (Borouge), a joint-venture between ADNOC and Borealis, for the construction of a new ethane cracker init, to be integrated in the Borouge 4 petrochemical complex in Ruwais, UAE, according to Hydrocarbonprocessing.
The contract was signed by H.E Dr. Sultan Al Jaber, Minister of Industry and Advanced Technology, Managing Director and Group CEO of ADNOC and Chairman of Abu Dhabi Polymers Co Ltd. (Borouge), and Technip Energies CEO Arnaud Pieton, in presence of His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, and Chairman of the Board of Directors of the Abu Dhabi National Oil Company (ADNOC) and the President of the French Republic, Emmanuel Macron during the French delegation’s visit to the UAE.
This EPC contract covers the delivery of a new ethane cracker unit, in excess of 1,500 KTA, based on proprietary Technip Energies technology.
The new Borouge 4 complex will be located in the Ruwais industrial area in Abu Dhabi. It is considered as one of the major strategic projects to enable ADNOC to meet its target growth, which would sustain its current market share in the growing polyolefin market.
This award follows the successful execution of FEED competition, reflecting Technip Energies’ selective approach to be involved at a very early stage of any development and TARGET growth strategy to cooperate with major international contractors for projects in the country.
As MRC reported earlier, in mid-November 2021, ADNOC signed of a strategic partnership with Borealis AG that confirms a USD6.2 B (AED22 B) investment agreement between the companies to build the fourth Borouge facility - Borouge 4 - at the polyolefin manufacturing complex in Ruwais, United Arab Emirates (UAE), which will produce 1.4 MM tons of polyethylene (PE) per year.
Expansion project includes construction of a 1.5 MM tons ethane cracker, two state-of-the-art Borstar PE plants and a cross-linked PE plant. Borouge 4 will meet growing customer demand across the Middle East, Africa and Asia with differentiated polyolefin solutions in energy, infrastructure, and advanced packaging.
Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.
According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,868,160 tonnes in the first nine months of 2021, up by 18% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 1,138,510 tonnes in January-September 2021, up by 30% year on year. Supply of propylene homopolymer (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding statistical copolymers of propylene (PP random copolymers) decreased significantly.
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