PAU signs EPC contract with Toyo and IKPT
Thursday, February 28 2013 - 04:29 AM WIB
IDX-listed PT Surya Esa Perkasa Tbk. (SEP) said its subsidiary, PT Panca Amara Utama (PAU) awarded on Wednesday an EPC contract to Toyo Engineering Corporation and PT Inti Karya Persada Tehnik (IKPT).
The contract will be carried out on a turnkey basis and shall cover Engineering, Procurement, Construction (EPC) and commissioning services of a world-scale grassroots 2,000 tons per day capacity Ammonia plant in Luwuk, Central Sulawesi, the company said in a statement. The company expects the plant to be completed in the third quarter of 2015.
The plant will be designed using Kellogg Brown & Root?s (KBR) Reforming Exchanger System (KRES) and Purifier Technology.
The EPC contract marks the second major milestone towards timely commercialization of PAU ?s Ammonia plant after the gas supply Heads of Agreement signing on 21 January 2013 .
?We are able to progress rapidly with to the help of our valued partners. Toyo, IKPT and KBR are high-performance organizations that will enable us to build a world-class Ammonia facility of the best quality and technology,? said Vinod Laroya, Executive Director of PAU .
Using natural gas from the Senoro-Toili fields (operated by JOB Pertamina Medco Tomori Sulawesi) as feedstock, PAU will build a 700,000 ton per year ammonia facility at an estimated cost of US$750 million. PAU expects to take first gas from Senoro by first quarter of 2015 for pre-commissioning activities, with commercial production expected in the third quarter of 2015. This project supports the government?s directive to maximize domestic utilization and value addition of natural gas, in addition to strengthening national food supply security by encouraging fertilizer production.
Editing by Reiner Siamnjuntak