Tag: Saipem

Although the stranded gas boom that led to the construction of the region’s nitrogen capacity in the 1980s-2000s may be largely over, the Middle East remains the largest nitrogen exporting region in the world.

The Abu Dhabi National Oil Company (ADNOC) has awarded a $510 million engineering, procurement and construction (EPC) contract to Italy’s Saipem to expand production capacity at the Shah sour gas plant, as the UAE looks to increase its output of gas by 2030. The Optimum Shah Gas Expansion (OSGE) & Gas Gathering project has been awarded by ADNOC Sour Gas, a joint venture between ADNOC and US energy major Occidental. The contract will increase gas processing capacity at the Shah plant by 13% per cent to 1.45 bcf/d from 1.28 bcf/d by 2023 and supports ADNOC’s objective of enabling gas self-sufficiency for the UAE. The Shah gas plant currently meets 12% of the UAE’s total supply of natural gas, as well as producing 5% of the world’s elemental sulphur. The expansion will cumulatively represent a 45% increase on the plant’s original capacity of 1.0 bcf/d when it came on-stream in 2015.

We highlight the large-scale nitrogen projects that are currently under development across the globe – with a focus on ammonia and urea technology licensors and engineering contractors.

From new materials of construction and improved equipment designs to the latest digital tools, Casale, thyssenkrupp Industrial Solutions, Saipem, TOYO and Stamicarbon report on some of their latest achievements.

Storm Uri which blanketed the southern states of the US with snow, and led to widespread power outages in Texas, has had a major impact upon US Gulf Coast and Southern-Midwest refined products supply. Most Gulf Coast refineries were shut down or forced to operate at reduced rates. IHS Markit estimated that more than 5.2 million bbl/d of Gulf Coast capacity and 730,000 bbl/d in PADD 2 was impacted by the winter weather at its height, and close to 20% of lower 48 US natural gas production was shut-in in the first half of February. A drop in crude oil production of between 2.2 and 4 million bbl/d was estimated.

Because of the ongoing pandemic, this year’s CRU Nitrogen + Syngas conference was held as a ‘virtual’ event, in early March 2021.

Building on its long experience and leading position within global ammonia production, logistics and trade, Yara says that it aims to capture opportunities in green shipping, agriculture and industrial applications; a market expected to grow by 60% over the next two decades. A major first step includes plans to fully electrify its ammonia plant at Porsgrunn, Norway, with the potential to cut 800,000 t/a of CO 2 , equivalent to the emissions from 300,000 passenger cars.

This year the CRU Nitrogen + Syngas conference is going virtual. From 1 to 3 March 2021, the CRU virtual event will offer a live and on-demand agenda, interactive exhibition and enhanced networking capabilities on a platform tailored to make remote access as easy as possible.

Spanish fertilizer producer Fertiberia is teaming up with energy firm Iberdrola to build Europe’s largest plant for generating green hydrogen for industrial use – in this case ammonia production. The 100MW solar plant and accompanying 20 MWh lithium-ion battery system and 20MW electrolytic hydrogen production system will be built at a cost of $174 million, and electrolyse water to produce 720 t/a of hydrogen. When fed into Fertiberia’s existing ammonia plant at Puertollano, 250km south of Madrid, the hydrogen will allow a 10% reduction in natural gas use by the plant, saving the company 39,000 t/a in annual CO 2 emissions. Start-up is planned for 2021. Fertiberia will also use electrolysis-generated oxygen as a raw material for nitric acid, which is used to produce ammonium nitrate at the site.

The last three years has seen a renaissance in fertilizer production and blending in sub-Saharan Africa. We highlight the expansion of capacity in Nigeria and other countries within the region.