Stavian Quang Yen Petrochemical and Tecnimont sign contract

Thursday, May 18, 2023 18:56

Stavian Quang Yen Petrochemical and Tecnimont signed the Front End Engineering Design (FEED) service contract. — Photo courtesy of Stavian

Stavian Quang Yen Petrochemical and Tecnimont on Thursday signed a Front End Engineering Design (FEED) service contract for the Stavian Quang Yen Petrochemical Plant Project.

Alongside working with worldwide leading PDH and PP technology licensors, through international competitive bidding, Stavian Quang Yen Petrochemical Joint Stock Company recently announced Maire Tecnimont as its Front End Engineering Design (FEED) contractor for the Stavian Quang Yen Petrochemical Plant Project with the estimated completion time of 10 months.

Accordingly, the FEED services package will be handled by Tecnimont S.p.A, the Integrated E&C Solutions subsidiary of MAIRE, an Italian engineering group that develops and implements innovative technologies in nitrogen, hydrogen and circular carbon, fuels and chemicals, and polymers sectors. Tecnimont is currently one of the global leading players in the fields of engineering and construction of plant complexes using PDH and PP technology. The company is also a long-term partner of major technology licensors, namely Honeywell UOP and LyondellBasell.

Dinh Duc Thang, Chairman and CEO of Stavian Quang Yen Petrochemical, said: “The global demand for petrochemical products is expected to increase in line with the strong growth of the downstream manufacturing industry, especially in Asia – Pacific. The demand for raw materials in the Vietnamese market alone in 2022 was about 8 million tonnes, with PP and PE having the largest consumption, accounting for 55 per cent of the total import volume of the whole industry. From now to 2025, the domestic market demand is still estimated to grow at an average rate of 6.6 per cent per year despite very limited domestic supply capacity, leaving so much room for development. With such potential, we are pleased to cooperate with Tecnimont to keep the project on track and further contribute to ensuring Viet Nam’s independence of raw materials for the processing – manufacturing industry, one of the main focuses of the Vietnamese sustainable and circular economy roadmap.”

In Viet Nam, Tecnimont has successfully implemented the FEED service package for Phu My Plastics Production Project in 2021. With knowledge and experience of the local nature, management system, standards, and mechanisms, Tecnimont confidently will reap success with the Stavian Quang Yen Petrochemical Plant Project, promising to keep the project in line with the plan and achieve the highest safety, quality, and efficiency.

Emanuele Pozzati, Sales Chemical & Petrochemical Vice President of Tecnimont, said: “As a world-leading EPC Contractor, Tecnimont is honoured to be part of the Stavian Quang Yen Petrochemical Plant Project and will do our best to bring our internationally recognised competence to realise a top-class petrochemical complex and boost Stavian growth to the top-ranked companies in the sector”.

Front End Engineering Design is a crucial phase in any plant construction project. This will create the foundation for later important phases like detailed engineering design, procurement, installation of machinery and equipment, and plant construction. By choosing a well-known design partner, the company wants to bring Stavian Quang Yen Petrochemical Plant on par with the other sizable petrochemical manufacturing plants across Viet Nam and the region.

When put into operation, Stavian Quang Yen Petrochemical Factory promises to contribute to the reduction of petrochemical products and raw materials import for domestic manufacturing industries while creating a foundation for future projects in downstream and related industries in the area. At the same time, the project will contribute trillions of dong per year to the State Budget and create thousands of highly skilled jobs. Not only that, Stavian Quang Yen Petrochemical commits to minimising the impact on the environment and accompanying the Vietnamese Government to reach the national net-zero carbon emission target by 2050. — VNS

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