Engineering and Construction

Northeast cracker projects to see good margins despite higher capex

May 19, 2016

Total project costs for a 1.25 million tonne per annum (mtpa) cracker construction project in the US Northeast are estimated to be about $91.46 million higher than for an identical project on the U.S. Gulf Coast in the current market environment, according to...

Multimedia: Mapping US ethane cracker construction projects

May 5, 2016

There are currently seven ethane crackers under construction on the U.S. Gulf Coast - for a total of about 8.75 million metric tons of new annual ethylene capacity - five of which are slated to come on stream by the end of 2017, according to Petrochemical...

Primus taps Marcellus to yield big methanol margins at small capex

Apr 22, 2016

Gas-to-liquids (GTL) technology firm Primus Green Energy is developing low-capex methanol production on the Marcellus shale to leverage low-cost feedstock and freight savings for buyers, Primus’s Chief Commercial Officer George Boyajian told Petrochemical...

NWIW drops Tacoma project; US gas output rose 5% in 2015

Apr 21, 2016

Petrochemicals news you need to know.

Rising capital costs provide warning to Arabian Gulf petchems developers

Apr 8, 2016

Construction costs for petrochemical and refining projects in the Gulf Cooperation Council (GCC) region are up 2-4 times compared to 14 years ago, according to Koen Vermeltfoort, principal Capital Productivity Practice at McKinsey & Company.

Infographic: US ethane cracker construction costs rise 1-2% year on year

Apr 7, 2016

Total construction costs for a typical 1.5 mtpa ethane cracker on the US Gulf Coast range between about $1.48 billion in a low-case scenario, $1.74 billion in a base case scenario and $2 billion in a high-case scenario, according to Petrochemical Update...

Project owners use lean methods, reverse-phase schedules to cut risk

Mar 24, 2016

Petrochemical owners can reduce the volatility of the current business environment on the scope of their projects by maximizing their front-end planning (FEP) and implementing lean principles in engineering and construction, according to a panel of experts...

US refinery capex to stay robust as owners target upgrades, quicker ROI

Mar 23, 2016

Despite narrower refining margins, US petroleum refinery capital spending will remain robust in the next two years, with about $9.2 billion worth of active capital projects (scheduled for construction start in 2016-2018) planned for 2016 and $9.3 billion in...

US chemicals capex to rise over 7% a year in 2016-2018

Mar 11, 2016

Capital spending in the US chemical industry surged 18.4% in 2015 to $42.6 billion and is expected to increase by more than 7% a year on average through 2018, according to Kevin Swift, chief economist and managing director of the American Chemistry Council (...

Gulf petchems producers revisit 2016 project spend amid low oil

Feb 26, 2016

Low oil prices will not put a dent in the strategic petrochemical megaprojects in the Gulf Cooperation Council (GCC) region, although smaller projects that have not been firmed up yet might be pushed aside until prices recover, according to Abdulwahab Al-...