JGC-Synerlitz JV Bags Rejuvenation Work Contract for Bintulu LNG Plant

JGC Corporation announced Wednesday that, as leader of a consortium including JGC Malaysia Sdn. Bhd. (a JGC Group company) and Malaysian company Synerlitz, it has won a contract from Malaysia LNG Dua Sdn. Bhd. for rejuvenation work on an LNG (liquefied natural gas) plant in Bintulu, Sarawak, Malaysia.

The client is a joint venture between the Malaysian state-owned oil company Petroleum Nasional Berhad (Petronas) (60 percent), Shell (15 percent), Mitsubishi Corporation (15 percent), and the Sarawak state government (10 percent). The lumpsum turnkey contract calls for the engineering, procurement, construction and commissioning (EPCC) work associated with the rejuvenation of an LNG plant located in Bintulu in the state of Sarawak. The EPCC contract value was not disclosed, and work is scheduled for completion in January of 2019.

The purpose of this project is the rejuvenation of the 4th, 5th, and 6th LNG trains at the Petronas LNG Complex in Bintulu, which is one of the largest LNG production complex in the world (the existing eight trains are currently in operation, while a 9th train is currently under construction by JGC.) JGC was awarded the front end engineering and design (FEED) work for the replacement of the main cryogenic heat exchanger for Train 4 in 2012. Last year, JGC received a competitive tender for EPCC, and now, as part of a consortium, has been awarded the EPCC work for rejuvenation of Train 4, as well as engineering and a portion of the procurement work associated with the rejuvenation of Train 5 and Train 6.

JGC has a strong record not only in plant construction, but also in plant maintenance, expansion, and renovation—"life cycle support" that addresses the needs of clients on a permanent basis. Over the past 30 years, starting in the 1980's, JGC has performed the EPCC work for the existing eight trains of the Bintulu LNG Complex, and is currently working on the 9th train. As part of "life cycle support," JGC has continued to work on rejuvenation, expansion, and revamp projects at the plant. JGC's previous contributions to Peronas group, detailed knowledge of the Bintulu LNG Complex, and high level of LNG engineering technology are believed to all have been important factors in the client's decision to award this new rejuvenation contract to JGC.

JGC has been responsible for the construction of LNG plants worldwide accounting for about 30 percent of the global LNG production capacity, and is currently involved in eight LNG construction projects in Malaysia, Australia, Indonesia, Papua New Guinea, Russia, and Canada. Demand for rejuvenation, expansion, and revamp of LNG plants is expected to rise worldwide. Through its continued involvement in such projects, JGC will reaffirm its position as a top contractor in the field of LNG plants.


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