Dubai-based MEGlobal International FZE, a subsidiary of Kuwait’s first international petrochemical joint venture Equate Petrochemical Co., has let a contract to Fluor Corp. to provide mechanical construction of its monoethylene glycol (MEG) plant now under construction at Dow Chemical Co.’s currently expanding Oyster Creek petrochemical complex in Freeport, Tex. (OGJ Online, Nov. 16, 2016).
Fluor’s mechanical construction scope includes the installation of equipment, steel, and piping for the 700,000-tonne/year MEG process unit, the service provider said.
Fluor said it will book the undisclosed contract value in this year’s first quarter.
First announced in March, the grassroots MEG plant comes as part of MEGlobal’s program to create greater flexibility to satisfy grown demand for ethylene glycol products in the US and Asia-Pacific markets, as well as strategy to expand the company’s global footprint (OGJ Online, Mar. 28, 2016).
The new MEG plant, which will receive ethylene feedstock from Dow’s currently expanding Oyster Creek ethylene production site under a long-term supply agreement, remains on schedule for startup in mid-2019 (OGJ Online, Oct. 26, 2016).
Equate Petrochemical is an international JV of Kuwait’s state-owned Petrochemical Industries Co., 42.5%; Dow, 42.5%; Boubyan Petrochemical Co., 9%; and Qurain Petrochemical Industries Co., 6%.
Contact Robert Brelsford at [email protected].
