Foster Wheeler subsidiary awarded contract by Petrobras for world-scale grassroots gas-to-chemicals complex

24-Aug-12

Foster Wheeler AG subsidiary of its Global Engineering and Construction Group has been awarded a contract by Petróleo Brasileiro S.A. (Petrobras) for a world-scale grassroots gas-to-chemicals complex in Linhares, Espirito Santo State, southeast Brazil, called Complexo Gás-Químico UFN-IV. Foster Wheeler will provide basic engineering design (BED), front-end engineering design (FEED), and technical assistance and training during the engineering, procurement, construction (EPC) phase through to successful completion of the plant performances tests. The complex is expected to produce in excess of I mln tpa of ammonia and urea fertilizers, methanol, acetic acid, plus formic acid and melamine, helping to reduce Brazil's imports of these products. The Foster Wheeler contract value was not disclosed. The BED and FEED will be included in the company's third-quarter 2012 bookings. The provision of technical assistance and training will be booked at a later date, after the FEED is complete, when Petrobras advises that it is proceeding with the EPC phase of the project. Foster Wheeler will act as integrator for the entire complex, managing the overall BED and FEED, including managing the process licensors and Brazilian subcontractors. The BED/FEED phase is scheduled for completion at the end of 2013.