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2006-03-17 News Headlines

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New capacity for plastics pipe and packaging areas

Proposed expansion of Borouge 2 world scale petrochemical complex for plastics and high performance packaging areas makes further headway with the award of four contracts.

Borouge’s proposed major expansion ("Borouge 2") of its world scale petrochemical complex in Ruwais, Abu Dhabi (United Arab Emirates) has made advances with the award of four contracts.

The work for the Front End Engineering Design (FEED) for an Olefins Conversion Unit (OCU) was awarded to ABB Lummus Global Inc. When completed, the OCU will be the world’s largest at 752 kta. This OCU FEED is expected to take approximately 32 weeks and will be executed by the ABB team in Houston (US). Work to start the FEED for the Polyolefin units was awarded to Fluor Mideast Ltd. The contract will be executed from Fluor’s offices in Haarlem (Holland) and Greenville (US), and is expected to take approximately 40 weeks.

Find information about Fluor Mideast.

A mandate was awarded to MWH to carry out the study of Health, Safety & Environment Impact Assessments (HSEIA) for the facilities and the lenders. The first phase is expected to be completed by September 2006. Finally, Maersk Logistics was selected as Borouge’s supply chain study consultant to advise on the supply chain concept for Borouge 2 products.

Borouge Ruwais Plant at night. Click go for High resolution image. Photo: Borouge

Borouge 2 is a multi-billion dollar project – one of the largest petrochemical projects in the Middle East – and will see the company expand its production capacity from its 2005 capacity of 600 kts to 2 million tonnes of enhanced Polyolefins per annum. The new capacity will comprise one 540 kts per annum Borstar® technology enhanced polyethylene unit and two 400 kts per year Borstar® polypropylene units.

The new expansion will be located next to Borouge’s existing petrochemical complex in Ruwais and is expected to be completed in 2010. The new capacity will be marketed mainly to the Middle East and Asia Pacific, targeting high end applications in the pipe and high performance packaging areas.

Borouge is a provider of value creating, innovative plastics solutions for customers throughout the Middle East and Asia-Pacific. Borouge came to the market as a ground-breaking partnership between ADNOC, the Abu Dhabi National Oil Company, and Borealis. Together, Borouge and Borealis employ unique Borstar® technology to produce versatile polymers for end-use plastics applications. Borouge’s state-of-the-art production facility in Ruwais, Abu Dhabi in the UAE produces Borstar-enhanced polyethylene products for the pipe, wire and cable and advanced packaging markets.

Borouge is also the exclusive provider of the entire Borealis product line throughout the Middle East and Asia Pacific. The Borouge model of providing added-value plastics solutions to a wide variety of growth industries is supported with a sales and marketing head office in Singapore, sales offices in Abu Dhabi, Hong Kong, Shanghai, Beijing, Mumbai, Beirut and Al Khobar-Dammam along with an extensive sales agent network across the region.

To meet growing demand, the company is planning to invest in a world-scale multi-billion dollar expansion in Ruwais. This expansion will nearly triple capacity to 2 million tonnes annually and introduce Borstar polypropylene in addition to more Borstar polyethylene.

Borstar® is Borealis’ proprietary technology supporting differentiated polyethylene and polypropylene products and is a registered trademark of Borealis A/S.

Read a recent Borouge press release; 'Polyolefins and plastics producers Borouge and Borealis present steel pipe protective coatings and thermal insulation systems at the International Pipeline Transport Expo.'

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