Sinopec signs a billion-dollar order in Kazakhstan!

A consortium led by Kazakhstan's state-owned oil and gas company, KazMunayGas, has entrusted the development of a steam cracking unit to Sinopec Group and Spanish company Técnicas_Reunidas, and signed an EPC contract.

Sinopec Group will form a consortium with Técnicas Reunidas to jointly provide EPC services for the construction of the project. The contract is worth approximately US$2.5 billion (RMB 17.6 billion), with Sinopec Group and Técnicas Reunidas each holding 50% of the consortium. Sinopec Group will provide financial support for the implementation of the project.

The contract is part of the framework of a strategic agreement signed between Sinopec Group and Técnicas Reunidas in September 2023. The first result of the agreement is the construction of two large natural gas fractionation facilities in Saudi Arabia's Riyals in January 2023.

According to current estimates, the project will last until the end of 2028. Lummus Technologies, an American company that recently announced its participation in the project, has been selected as a technology licensor by Sinopec and Técnicas Reunidas.

The steam cracker, the core of the petrochemical complex, will be installed in the petrochemical complex developed by a consortium led by KazMunayGas in the Atyrau province on the Caspian Sea coast in the west of the country. The unit will produce petrochemical products using natural gas from Kazakhstan's oil fields and will produce about 1.3 million tons of ethylene per year.