Borouge's Ruwais cracker on track for 2010 start

21 January 2008 02:45  [Source: ICIS news]

ABU DHABI (ICIS news)--Borouge's second cracker project at Ruwais is progressing well and is currently on track for start up in the first quarter of 2010, a senior company executive said on Sunday.

“Construction has started and contracts for the long lead items have been awarded. We are on schedule today despite all the problems,” Abdulaziz al-Hajri, CEO of Borouge Production Co, said, referring to the challenges of manpower shortage and rising construction costs.

To ensure timely completion, Abu Dhabi Polymers Co (Borouge) has awarded four engineering procurement and construction contracts (EPC), one each for the cracker, polyolefin plants, olefins conversion unit and utilities and offsites, said Al-Hajri.

He added that the company is also closely supervising the project.

The $4.8bn (€3.3bn) project includes a 1.5m tonne/year cracker, a 752,000 tonne/year olefins conversion unit and plants for 540,000 tonnes/year of polyethylene (PE) and 800,000 tonnes/year of polypropylene (PP).

Borouge has also started engineering work on a 50,000 tonne/year high performance PP compounding project at Shanghai, China, said Al-Hajri.

The company hopes to commission this project before the start of its second cracker at Ruwais.

However, Borouge is no longer looking at producing phenol and its derivatives as it has decided to focus on its core ethylene and polyolefins businesses, Hajri said. Borouge had started a feasibility study on these products in 2006.

Al-Hajri added that the company has launched Water for the World programme in the Middle East.

The programme addresses the challenge of providing clean and safe water and sanitation to areas in need. It aims at building local knowledge and partnerships to find lasting solution to the water availability issue.

($1 = €0.68)

By: Malini Hariharan
+65 6780 4359

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