Fluor and Kiewit to Build Unit at New Canada Facility

Fluor and Kiewit to Build Unit at New Canada Facility
The partners won an EPC contract from Canada Kuwait Petrochemical Corp.

Fluor Corp. reported Thursday that engineering has begun for a propane dehydrogenation (PDH) unit that will be located at a new petrochemicals facility in Sturgeon County, Alberta.

Canada Kuwait Petrochemical Corp. (CKPC) has awarded Heartland Canada Partners (HCP) – a 50/50 partnership of Fluor and Kiewit Construction Services ULC – an engineering, procurement and construction (EPC) contract for a propane dehydrogenation (PDH) unit at the integrated PDH plant and polypropylene upgrading facility it is developing near Fort Saskatchewan northeast of Edmonton. Pembina Pipeline Corp. and Kuwait’s Petrochemical Industries Co. K.S.C. (PIC) make up the 50/50 joint venture CKPC.

“With more than 25 million hours of construction experience in Alberta, we bring together two industry-leading contractors to deliver end-to-end engineering, procurement and construction services for CKPC’s new PDH unit – the third world-scale facility of its kind for Fluor in recent years,” Mark Fields, group president of Fluor Energy and Chemicals business, said in a written statement emailed to Rigzone. “Our partnership is committed to building a safe and reliable facility that not only fosters a positive economic impact but also provides a long-term, sustainable solution for polypropylene production in Canada.”

According to Fluor, CKPC’s integrated facility will convert locally sourced, low-cost propane into 550,000 tons per year of polypropylene. The complex will also house a central utility block and product handling area with associated support systems and facilities, Fluor added.

“This project is highly strategic for Pembina and our producer customers in the Western Canadian Sedimentary Basin,” commented Pembina President and CEO Mick Dilger. “It offers a new demand source for domestically produced propane and supports ongoing development of Canada’s world-class hydrocarbon resources.

Fluor stated that construction of the PDH unit should start late this year, with mechanical completion planned for the second half of 2023.

To contact the author, email mveazey@rigzone.com.


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