Fluor Wins Total's Port Arthur Deep Conversion Project

abarrelfullabarrelfull wrote on 10 Mar 2013 19:01
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March 10, 2008

Fluor Corporation (NYSE: FLR) announced today that it was awarded a contract for engineering, procurement and construction for Total's Port Arthur, Texas, refinery. Fluor's scope of work includes building a coker, a desulfurization unit, a vacuum distillation unit and other related infrastructure. The full contract value of $1.9 billion will be booked in the first quarter of 2008.

The new contract follows the completion of the front-end engineering and design (FEED) work that Fluor has performed for Total at the Port Arthur refinery. Fluor will perform a portion of the work as self-perform construction and will also maintain the role of overall construction management.

When commissioned in 2011, the refinery will convert heavy and process sour crude. The new units will increase the facility's deep-conversion capacity and expand its ability to process an additional 3 million tons-per-year of ultra-low sulfur automotive diesel. This will raise the refinery's total output of all products to about 12 million tons-per-year. The new product will also meet new U.S. Federal Government fuel standards set to go into effect in 2010.

"We are excited to help Total pursue its strategy to enhance the efficiency and competitiveness of its large worldwide refining hubs and specifically with this significant Port Arthur project," said David Seaton, president of Fluor's Energy & Chemicals Group. "Our recently completed FEED work for this site, coupled with a previous project for a gasoline hydrotreater at Port Arthur, enhances our ability to fulfill Total's business and operational objectives for this important project."

With the project underway, it is expected that up to 2,200 craft workers will be employed on the project with the completion of the coker scheduled to be in 2011. Fluor offices in Aliso Viejo, California, Houston and New Delhi, India, are expected to be the primary execution centers for the project.


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