2021 Global Sourcebook
McDermott Wins Contract for Woodfibre LNG Export Facility in British Columbia
The schematic design of Woodfibre LNG, to be located on a former pulp mill site.
Image courtesy of McDermott
Woodfibre LNG Ltd., a Vancouver, B.C., oil and natural gas firm that is a unit of Singapore-based Pacific Energy Corp Ltd., inked an engineering, procurement, fabrication and construction (EPFC) contract in November with McDermott International for the Woodfibre LNG project—a single train liquefied natural gas export facility to be built on the site of the former Woodfibre pulp mill. The firm, which did not announce the facility cost, had previously estimated it at C$1.6-1.8 billion. Project pre-installation work is planned for early 2022, with major construction set to start in September 2023. Substantial completion is planned for third-quarter 2027. McDermott and Woodfibre plan to collaborate on front-end engineering and design on the facility, located near Squamish, B.C. It will have a storage capacity of 250,000 cu m and produce about 2.1 million tonnes per year of LNG using hydroelectricity. McDermott will also lead commissioning and start-up services and manage onshore construction. About 650 workers will be on site at peak construction, with McDermott's contract committing it to Woodfibre LNG's hiring priority for qualified Squamish Nation members and local workers, followed by other British Columbians and Canadians. Woodfibre LNG says its facility is the only industrial project in Canada to have an environmental approval from an Indigenous people in the absence of a treaty. A low-emission philosophy will be used in all aspects of engineering and design, the firm says.
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Turkey
Sakarya Gas Field Development Project
In November, Wood plc was selected by Turkish Petroleum as the integrated project management partner for the Sakarya gas field development project, located 150 km (93 miles) off Turkey's Black Sea coast. Sakarya is Turkey’s largest gas reserve, with a confirmed capacity of 405 billion cu m of natural gas. Following completion of the first phase in 2023, 10 million cu m/day of gas will be delivered to the country.
China
Dayawan Petrochemical Industrial Park
ExxonMobil made a final investment decision in November to proceed with a multibillion-dollar chemical complex in the Dayawan Petrochemical Industrial Park in Huizhou, Guangdong Province, China. It will produce performance polymers used in packaging, automotive and agricultural applications and for hygiene and personal care consumer products. Construction is underway on the greenfield project, which includes a flexible feed steam cracker, three performance polyethylene lines and two differentiated performance polypropylene lines. The steam cracker will have installed capacity of about 1.6 million metric tons per year.
Lithuania
Mažeikiai Refinery
Petrofac was awarded a $640-million EPC contract by PC ORLEN Lietuva In October to support a comprehensive modernization, environmental upgrade and expansion program at its Mažeikiai Refinery in northwest Lithuania. The lump-sum award includes engineering, procurement, construction, start-up and commissioning services that will expand and improve capabilities of the existing refinery complex, meet requirements for cleaner fuels and improve operational and carbon efficiency. Scope of work includes mostly greenfield EPC development, some brownfield modifications and front-end engineering and design (FEED) of utilities and offsites. The contract includes work on a new residue hydrocracking facility and improvement of an existing one. Completion is expected by the end of 2024.
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