Saudi chem contractors step up security after Yanbu attack

03 May 2004 14:11  [Source: ICIS news]

LONDON (CNI)--German engineering group Uhde is monitoring the security situation in Saudi Arabia on a day-to-day basis following the weekend terrorist attack at a petrochemical plant at Yanbu on the Red Sea coast, a spokesman told CNI on Monday.

 

Five employees of engineering contractor ABB Lummus were killed and two others wounded when terrorists opened fire on them after gaining entry into the Yanpet joint venture cracker complex where they were working on an upgrade project.

 

ABB Lummus parent company, Swiss headquartered engineering group ABB, told CNI on Sunday that it was evacuating all approximately 90 expatriat employees in Yanbu, which is about 160 miles (250 km) north of Jeddah. ABB confirmed that the move would effectively bring its work there for the ExxonMobil/Saudi Basic Industries Corp (Sabic) joint venture to a temporary halt.

 

Security at ABB's other projects elsewhere in Saudi Arabia would be tightened up, although there were no immediate plans to evacuate employees not based in Yanbu.

 

The Uhde spokesman said his company has about five employees stationed in Saudi Arabia. The firm is building an ammonia and urea complex at Al-Jubail on the Saudi east coast for Saudi Arabian Fertiliser Company (Safco).

 

Although Uhde has not withdrawn its staff from the country, the security situation there is now being monitored more closely, the spokesman said.

 

Among other contractors, Germany's Lurgi is involved in National Propylene Co’s (Alfasel) integrated propane-dehydrogenation (PDH) and polypropylene (PP) project in Yanbu. However, a Lurgi spokeswoman said her firm has no workers there as the project has yet to begin. Final financial agreement for this project is expected in August-September.

 

Separately, French oil and petrochemicals giant Total declined to comment on any security measures that it might have taken. The firm is partnering Anglo-Dutch company Shell in oil and gas exploration work in the Empty Quarter, also known as North Al-Khali, in Saudi Arabia. Total does not have any activities in Yanbu.

 

Shell also does not have chemicals activities at Yanbu but it operates the 50:50 Sadaf joint venture with Sabic in Al-Jubail. A Shell spokeswoman declined to comment on any security measures that might have been taken but said her company places emphasis on the safety of its staff.

By: Russell Ong
+44 208 652 3214

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