Chiyoda/TEC Consortium Awarded an EPC Contract for Sakhalin II LNG Project In Russia

abarrelfullabarrelfull wrote on 28 Jan 2013 20:42

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Jun 2, 2003

Chiyoda Corporation and Toyo Engineering Corporation, both leading engineering companies in Japan, announced that on the 2nd June 2003, they were jointly with their Russian partner companies, the KhimEnergo Consortium and NIPIgaspererabotka, awarded by Sakhalin Energy Investment Company Ltd. (SEIC) an EPC contract for the grass-roots Sakhalin Liquefied Natural Gas plant for the Sakhalin II Project. The signing ceremony of the EPC contract was carried out at the World Gas Conference on the 2nd June 2003.

The planned 9.6 million tonnes per year of LNG plant will be constructed at Prigorodnoye in the southern part of Sakhalin Island, Russian Federation. This plant consists of two LNG trains, each with a production capacity of 4.8 million tonnes per year, the largest ever in the world. The plant is planned to be operational in 2007. Shell's liquefaction process named DMR (Dual Mixed Refrigerant) process will be adopted in this project, for the first time in a base-load LNG plant. The LNG plant consists of two 100,000 cubic meter LNG tanks and an LNG loading jetty.

Chiyoda Corporation and Toyo Engineering Corporation are very pleased that the EPC contract will be carried out with the substantial presence of Russian companies in the consortium. This cooperation will result in a Russian industry utilization of more than $700 million. With the implementation experience of Chiyoda and Toyo, this project could be a landmark for Russia and Russian companies for future gas related projects in Russia.

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