Texaco, Messer Joint Venture Completes Financing for Gasification Plant in Singapore.Business Editors WHITE PLAINS, N.Y.--(BUSINESS WIRE)--Feb. 1, 2000 Texaco today announced the closing of $175 million of project financing Project financing A form of asset-based financing in which a firm finances a discrete set of assets on a stand-alone basis. for a gasification gas·i·fy tr. & intr.v. gas·i·fied, gas·i·fy·ing, gas·i·fies To convert into or become gas. gas plant on Jurong Island, Singapore. Singapore Syngas
Syngas (from synthesis gas) is the name given to a gas mixture that contains varying amounts of carbon monoxide and hydrogen generated by the gasification of a carbon containing fuel to a gaseous product with Pte Ltd., a 50-50 joint venture of affiliate companies of Texaco Inc. and Messer Griesheim GmbH, was formed in 1998 to construct, own and operate this facility. Construction currently is 75 percent complete with commercial operation anticipated by mid-2000. Utilizing the proprietary Texaco Gasification Process, the plant will gasify approximately 550 metric tonnes per day of high-sulfur refinery fuel oil from the Singapore Refining Company to produce 900 metric tonnes per day of carbon monoxide carbon monoxide, chemical compound, CO, a colorless, odorless, tasteless, extremely poisonous gas that is less dense than air under ordinary conditions. It is very slightly soluble in water and burns in air with a characteristic blue flame, producing carbon dioxide; for sale to the new Celanese acetic acid acetic acid (əsē`tĭk), CH3CO2H, colorless liquid that has a characteristic pungent odor, boils at 118°C;, and is miscible with water in all proportions; it is a weak organic carboxylic acid (see carboxyl group). plant, which is also located on Jurong Island, under a long-term purchase agreement. The gasification plant will also supply up to 25 million standard cubic feet per day of high purity hydrogen back to the refinery. &uot;This project represents the fourth successful financing of a Texaco Gasification Process facility in the international project finance market, a further validation of the commercial strength of this technology,&uot; explained James C. Houck, President of Texaco Power and Gasification, a division of Texaco Inc. &uot;Located on Jurong Island, a hub for the chemical industry, this project is well situated for future expansion opportunities.&uot; Dresdner Bank of Germany is the lead underwriter Lead underwriter The head of a syndicate of financial firms that are sponsoring an initial public offering of securities or a secondary offering of securities. Could also apply to bond issues. of the limited recourse Limited recourse A term describing a type of loan in which the lender has limited or no claim against the parent company if the collateral is insufficient to repay the debt. See:Nonrecourse. financing for this project. Texaco Power and Gasification is recognized as a world leader in gasification, an environmentally advanced technology that converts low value hydrocarbons into clean synthesis gas to produce chemicals, electricity, chemical fertilizer and other industrial products. Worldwide, there are 68 Texaco owned or licensed gasification plants operating or under construction, producing approximately 4.7 billion standard cubic feet per day of synthesis gas. |
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