Automation and reliability programs for world’s largest naphtha
cracker plant will support efficient, high-availability production of
plastics and related materials for local and export markets
Emerson (NYSE: EMR) and Carbon Holdings, the privately owned Egyptian
petrochemical firm, today announced that Emerson Process Management has
been selected to provide automation and reliability technologies and
services for Carbon Holdings’ Tahrir Petrochemicals Project at Ain
Sokhna, Egypt. Emerson’s initial scope of work is estimated at $150
million.
When completed, the approximately $6.9 billion Tahrir project will be
the largest petrochemical plant in Egypt and the largest naphtha cracker
plant in the world. It will produce 1.5 million metric tons per year of
ethylene that will then be further processed into polyethylene. Other
major products will include propylene, polypropylene, hexene, butadiene,
benzene, and styrene. Construction and operation of the Tahrir
Petrochemicals complex is expected to generate thousands of direct and
indirect permanent and construction jobs in Egypt.
As Main Automation Contractor, Emerson will apply best practice
technologies and services to help ensure the facility is completed on
time and within budget. Engineering services include designing the plant
for optimum availability, and Emerson will also provide a robust
reliability program that includes consulting services, equipment health
monitoring, and a reliability service center for ongoing local support
and expertise.
The announcement was made at Emerson’s Middle East headquarters in Dubai
where David Farr, chairman and CEO of Emerson, met with Basil El-Baz,
chairman and CEO of Carbon Holdings, for the signing of a memorandum of
understanding regarding the contract award.
“Investments of this size require us to select partners that have a long
history of handling large, complex projects and the expertise to produce
a reliable plant with dependable output,” said Carbon Holdings’ El-Baz.
“We chose Emerson for its proven ability to deliver a successful
automation project that results in an efficient, high-availability
operation.”
Designed to serve both local and export markets, the Tahrir
Petrochemicals complex will be constructed in Egypt’s Suez Special
Economic Development Zone, with raw materials received and products
shipped from the Gulf of Suez. Financing for the mega-project is
expected to come from the export credit agencies of the United States,
Korea, Italy and the Overseas Private Investment Corporation, as well as
direct investors. Under the memorandum of understanding, Emerson will
also make a preferred equity investment in Tahrir Petrochemicals.
“We are excited to help Carbon Holdings realize its vision of creating a
world-class petrochemical complex that can be a catalyst for economic
development in Egypt,” said Farr. “With Emerson’s technologies,
experience, and expertise, Carbon Holdings has positioned itself for top
quartile performance – not only in project execution, but ongoing
operations as well.”
About Emerson Process Management
Emerson Process Management (www.emersonprocess.com),
an Emerson business, is a leader in helping businesses automate their
production, processing and distribution in the chemical, oil and gas,
refining, pulp and paper, power, water and wastewater treatment, mining
and metals, food and beverage, life sciences and other industries. The
company combines superior products and technology with industry-specific
engineering, consulting, project management and maintenance services.
Its brands include PlantWeb™, Syncade™, DeltaV™, Fisher®, Micro Motion®,
Rosemount®, Daniel™, Ovation™, and AMS Suite.
About Emerson
Emerson (NYSE: EMR), based in St. Louis, Missouri (USA), is a global
leader in bringing technology and engineering together to provide
innovative solutions for customers in industrial, commercial, and
consumer markets around the world. The company is comprised of five
business segments: Process Management, Industrial Automation, Network
Power, Climate Technologies, and Commercial & Residential Solutions.
Sales in fiscal 2015 were $22.3 billion. For more information, visit www.Emerson.com.
About Carbon Holdings
Carbon Holdings Limited is a privately owned, non-governmental
petrochemicals company domiciled in Egypt and was formed for the purpose
of making long-term controlling investments in the downstream oil and
gas sector (in particular the fast-growing chemical and petrochemical
sector) with the objective of becoming a leading owner and operator of
integrated petrochemical plants with a primary focus on Egypt. The
Company seeks to develop and acquire a diverse portfolio of value-added
assets in the Middle East and North Africa (MENA) region that span
across the petrochemicals value chain in order to optimise economies of
scale. The Carbon Holdings teams' collective experiences put Carbon
Holdings in an ideal position to take advantage of attractive global
development and acquisition opportunities that provide a unique
value-add to project shareholders. Among the Carbon Holdings’ team are
key personnel who have successfully led growth in strategy and M&A for
some of the largest multinational petrochemical conglomerates; and
others who have been involved in assessing the feasibility of some of
the largest global projects undertaken in the last 40 years (from a
technical, financial, and execution standpoint). Carbon Holdings
projects have succeeded in securing attractive debt funding from local
banks, regional banks, international banks and Export Credit Agencies;
and equity financing from strategic and regional investors.
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