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Released April 23, 2018 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--Honeywell International (NYSE:HON) (Morris Plains, New Jersey), which specializes in engineering and automation, walked into 2018 with a confident stride as improving energy markets boosted demand for some of the company's most popular services. Industrial Info is tracking more than $31 billion in active projects featuring Honeywell, more than half of which are under construction. The growth is led by the Oil & Gas Production, Petroleum Refining and Chemical Processing segments, where Honeywell is attached to numerous high-value projects.
Click on the image at right for a graph detailing Honeywell's active projects, by industry.
Honeywell's net earnings for first-quarter 2018 stood at $1.44 billion, an 8.4% increase from first-quarter 2017; sales totaled $10.4 billion, a 9.5% increase from the same period last year. The company has raised its full-year sales guidance from between $41.8 billion and $42.5 billion, to $42.7 billion.
One of the largest and most closely watched projects involving Honeywell is the Texas Liquefied Natural Gas (LNG) liquefaction and export facility in Brownsville, Texas. The project comprises a $1.5 billion first train and a $1.5 billion second train, each designed to convert 275 million standard cubic feet per day of natural gas into 2 million metric tons per year, and a $50 million pre-treatment unit, which is designed to process 550 million standard cubic feet per day from the Eagle Ford Shale. Honeywell Automation and Control Systems, a subsidiary, is providing instrumentation, controls and safety services for all three phases.
Although the first train and pretreatment unit are not expected to begin construction until mid-2020 at the earliest, the Brownsville project took a major step forward last week when Texas LNG signed eight non-binding deals with a slew of potential customers for liquefied natural gas (LNG): five in China, two southeast Asia and one in Europe. Vivek Chandra, chief executive officer of Texas LNG, told Reuters he could not name the companies for confidentiality reasons, but said the Chinese customers are a mix of large provincials, independent companies and small local governments, while the Southeast Asian customers are a state-run gas company and an entrepreneurial project.
A final investment decision on the project is expected next year. Chandra noted that six of the signed companies either have existing LNG terminals or are in the process of adding them. For more information, see Industrial Info's project reports on Train 1, Train 2 and the pre-treatment plant.
Texas also is a hotspot for cryogenic natural gas processing plant, where Honeywell's UOP Russell subsidiary is attached to a several projects in the western areas. These include Brazos Midstream Holdings LLC 's (Fort Worth, Texas) $150 million third-train addition at the Comanche plant in Pecos, which is expected to begin construction over the summer, and EnLink Midstream LLC's (NYSE:ENLC) (Dallas, Texas) proposed, $100 million second train at the Riptide plant near Tarzan. The Permian Basin is fueling both projects, with the new Comanche and Riptide trains designed to process 200 million and 100 million standard cubic feet per day, respectively, for total capacities of 460 million and 200 million standard cubic feet per day.
The Comanche project soon will be in new hands: Brazos Midstream agreed earlier this month to sell its Delaware Basin subsidiaries to North Haven Infrastructure Partners II, an investment fund managed by Morgan Stanley (NYSE:MS) (New York City, New York), for about $1.75 billion. Closing is expected in the second quarter 2018, subject to customary approvals and closing conditions. For more information, see Industrial Info's reports on the Comanche and Riptide projects.
The Middle East has become a top destination for Honeywell's services in the Petroleum Refining Industry. Last year, Honeywell UOP agreed to provide front-end engineering design (FEED) consultancy, basic engineering and other services for Jordan Petroleum Refinery Company's (JPRC) $1.6 billion expansion of its refinery in Zarqa, Jordan. Additions include a $400 million slurry hydrocracker and a $300 million residual fluid catalytic cracker unit (RFCCU), which will increase capacity to 120,000 barrels per day (BBL/d) and will allow JPRC to meet Euro V emissions specifications. For more information, see Industrial Info's reports on the slurry hydrocracker and RFCCU projects.
The highest-valued project involving Honeywell in the Chemical Process Industry is to be found in Europe: Borealis Kallo NV, a joint venture between International Petroleum Investment Company (IPIC) (Abu Dhabi, United Arab Emirates) and OMV Group (Vienna, Austria), is considering a $1.23 billion propane dehydrogenation (PDH) unit addition at a PDH plant in Kallo, Belgium. Borealis would install a second production unit, utilizing UOP's C3 Oleflex Technology, to produce 740,000 tons per year of propylene, nearly tripling output. For more information, see Industrial Info's project report.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com/.
Click on the image at right for a graph detailing Honeywell's active projects, by industry.Honeywell's net earnings for first-quarter 2018 stood at $1.44 billion, an 8.4% increase from first-quarter 2017; sales totaled $10.4 billion, a 9.5% increase from the same period last year. The company has raised its full-year sales guidance from between $41.8 billion and $42.5 billion, to $42.7 billion.
One of the largest and most closely watched projects involving Honeywell is the Texas Liquefied Natural Gas (LNG) liquefaction and export facility in Brownsville, Texas. The project comprises a $1.5 billion first train and a $1.5 billion second train, each designed to convert 275 million standard cubic feet per day of natural gas into 2 million metric tons per year, and a $50 million pre-treatment unit, which is designed to process 550 million standard cubic feet per day from the Eagle Ford Shale. Honeywell Automation and Control Systems, a subsidiary, is providing instrumentation, controls and safety services for all three phases.
Although the first train and pretreatment unit are not expected to begin construction until mid-2020 at the earliest, the Brownsville project took a major step forward last week when Texas LNG signed eight non-binding deals with a slew of potential customers for liquefied natural gas (LNG): five in China, two southeast Asia and one in Europe. Vivek Chandra, chief executive officer of Texas LNG, told Reuters he could not name the companies for confidentiality reasons, but said the Chinese customers are a mix of large provincials, independent companies and small local governments, while the Southeast Asian customers are a state-run gas company and an entrepreneurial project.
A final investment decision on the project is expected next year. Chandra noted that six of the signed companies either have existing LNG terminals or are in the process of adding them. For more information, see Industrial Info's project reports on Train 1, Train 2 and the pre-treatment plant.
Texas also is a hotspot for cryogenic natural gas processing plant, where Honeywell's UOP Russell subsidiary is attached to a several projects in the western areas. These include Brazos Midstream Holdings LLC 's (Fort Worth, Texas) $150 million third-train addition at the Comanche plant in Pecos, which is expected to begin construction over the summer, and EnLink Midstream LLC's (NYSE:ENLC) (Dallas, Texas) proposed, $100 million second train at the Riptide plant near Tarzan. The Permian Basin is fueling both projects, with the new Comanche and Riptide trains designed to process 200 million and 100 million standard cubic feet per day, respectively, for total capacities of 460 million and 200 million standard cubic feet per day.
The Comanche project soon will be in new hands: Brazos Midstream agreed earlier this month to sell its Delaware Basin subsidiaries to North Haven Infrastructure Partners II, an investment fund managed by Morgan Stanley (NYSE:MS) (New York City, New York), for about $1.75 billion. Closing is expected in the second quarter 2018, subject to customary approvals and closing conditions. For more information, see Industrial Info's reports on the Comanche and Riptide projects.
The Middle East has become a top destination for Honeywell's services in the Petroleum Refining Industry. Last year, Honeywell UOP agreed to provide front-end engineering design (FEED) consultancy, basic engineering and other services for Jordan Petroleum Refinery Company's (JPRC) $1.6 billion expansion of its refinery in Zarqa, Jordan. Additions include a $400 million slurry hydrocracker and a $300 million residual fluid catalytic cracker unit (RFCCU), which will increase capacity to 120,000 barrels per day (BBL/d) and will allow JPRC to meet Euro V emissions specifications. For more information, see Industrial Info's reports on the slurry hydrocracker and RFCCU projects.
The highest-valued project involving Honeywell in the Chemical Process Industry is to be found in Europe: Borealis Kallo NV, a joint venture between International Petroleum Investment Company (IPIC) (Abu Dhabi, United Arab Emirates) and OMV Group (Vienna, Austria), is considering a $1.23 billion propane dehydrogenation (PDH) unit addition at a PDH plant in Kallo, Belgium. Borealis would install a second production unit, utilizing UOP's C3 Oleflex Technology, to produce 740,000 tons per year of propylene, nearly tripling output. For more information, see Industrial Info's project report.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com/.
