QAPCO Awards Ethylene Expansion Contract to Shaw Group

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Researched by Industrial Info Resources (Sugar Land, Texas)--In an effort to stay competitive with ethylene producers around the world, Qatar Petrochemical (QAPCO) (Doha, Qatar), a subsidiary of Industries Qatar Q.S.C. (DOH:IQCD), is expanding its 720,000-metric-ton-per-year ethylene unit at its site in Umm Sa'id, Qatar, by 180,000 metric tons per year. After completion of the project, the unit will have a capacity of 900,000 metric tons per year.

QAPCO has selected The Shaw Group Incorporated (NYSE:SHAW) (Baton Rouge, Louisiana) as the engineer and provider of furnace needs and process technology for the project. Shaw Group will utilize its office in Milton Keynes, England, at this stage of the contract.

QAPCO and Shaw will continue the design and basic engineering of the $50 million expansion through the summer of this year. QAPCO will select an EPC contractor once plans are finalized. The company expects to begin work on the expansion before the end of 2011. The project should last approximately one year, until the unit is ready to run at the new production capacity.

QAPCO was established in 1974 and is a leading producer of ethylene and low-density polyethylene in the Middle East. QAPCO belongs to a larger holding company, Industries Qatar Q.S.C, which includes Qatar Steel Company, Qatofin Company Limited, Qatar Fertilizer Company (QAFCO), and Qatar Fuel Additives Company Limited (QAFAC).

Shaw has been developing and implementing furnace technology for more than 40 years and has licensed more than 170 industrial furnace projects ranging from new builds to upgrades. Through its joint venture with ExxonMobil, Badger Licensing LLC, Shaw also offers process technology for the production of ethylbenzene, styrene, cumene, phenol and bisphenol A.

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