Regional LNG: CB&I wins award for Fujian LNG terminal

Texas-based engineering contractor said on Tuesday it had been awarded a lump-sum turnkey contract valued at approximately US$140 million for the design and construction of the terminal system works at a new LNG import terminal in Fujian Province, China.

This award follows the company's announcement in April 2005 of a US$100 million contract to build two 160,000 cubic meter full containment LNG storage tanks at the facility.

The terminal will be owned and operated by CNOOC Fujian LNG Co. Ltd., a co-investment of China National Offshore Oil Corporation (CNOOC) and Fujian Investment and Development Corporation.

Located in the city of Xiuyu, Fujian Province, in southeast China, the LNG regasification terminal has Phase I capacity of 2.6 million tonnes of LNG per year with Phase II expansion under planning. The natural gas from the terminal will be provided to gas-fired power plants that will be built during the project's first phase and to household users in five cities in the province.

LNG for the terminal will be supplied from BP-operated Tangguh LNG.

CB&I's work scope for this latest award includes the turnkey engineering, procurement, construction and commissioning of the terminal system works, which encompasses civil, mechanical, piping, structural, buildings, and electrical and instrumentation work, and includes the marine loading arms and regasification system. The terminal is scheduled for commercial operation in early 2008.(alex)