QATAR - Q-Chem.

Chevron Phillips Chemical (49%) and QP (51%) have a plant at Mesaieed on stream since November 2002 as a JV called Qatar Chemical Company (Q-Chem), under an agreement signed on May 18, 1997. It has cost $1.2 bn and has this capacity: 500,000 t/y of ethylene; 270,000 t/y of HDPE, 189,000 t/y of LLDPE; and 47,000 t/y of hexene-1. Ethane is supplied by the NGL-4 plant. ChevronPhillips (CPC) has provided its own proprietary HDPE/LLDPE and hexene-1 technologies. The products are exported mainly to China and other Asian markets.

The Q-Chem complex was built by Kellogg Brown & Root and Technip under an $800m EPC contract signed in August 1999. The partnership had received the initial award on June 7 at the French presidential palace in Paris (see in Vol. 57, No. 11).

Ras Laffan Ethylene Co. & Q-Chem-II: A 1.3m t/y ethylene cracker will be built at Ras Laffan by 2008 for the Ras Laffan Ethylene Co. (RLEC) - 53.31% for Q-Chem-2, 45.69% for Qatofin, and 1% for QP. The EPC contractor and technology supplier is Technip whose job is worth $800m. The cracker will receive ethane from a part of the North Field being developed by ExxonMobil, through the pipeline from Ras Laffan mentioned above.

RLEC is one of three JVs set up under an accord signed in June 2002 for a $2,500m petrochemicals programme. The other two are: Q-Chem-2 - CPC (49%) and QP (51%); and Qatofin - Qapco (63%), Atofina (36%) and QP (1%).

Tecnicas Reunidas (TR) of Spain and GS Engineering & Construction South Korea have jointly bidding for the $600-700m EPC contract to build a 350,000 t/y HDPE plant and a 350,000 t/y alpha olefins unit at the Q-Chem-II plant in Mesaieed. Q-Chem-II will managed the cracker project on behalf of RLEC.

Commercial bids were due to be submitted on Sept. 11 to Qatofin for the EPC contract covering its planned 450,000 t/y LLDPE plant at Mesaieed. Mitsubishi Heavy Industries (MHI) of Japan, Snamprogetti of Italy and Linde Germany submitted technical bids in early May. An award is due in late autumn. The tender is the third and final EPC plant package under the $2,500m programme. HSBC is the financial adviser to Qatofin. Royal Bank of Scotland is advising Q-Chem-II.