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L&T bags overseas methanol plant order

Thursday, 24 Aug 2006
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Larsen & Toubro, along with its consortium partner Haldor Topsoe AS of Denmark, bagged an E&P order worth $150 million from Saudi Formaldehyde Chemical Co. (SFCCL) in Saudi Arabia for setting up high technology methanol and carbon monoxide plants.

SFCCL is undertaking backward integration by installing a 700 tpd of methanol and 100 tpd of carbon monoxide plant near its existing plants. Methanol and carbon monoxide are critical building blocks for producing several value-added chemicals such as formaldehyde, acetic acid, methyl carbonate and methyl amines.

Haldor Topsoe will provide the process technology and the license for methanol and carbon monoxide process.

According to a company release, L&T's scope of work comprises residual basic engineering, detailed engineering, project management and procurement of the equipment and materials for the plant. The company will manufacture some of the critical equipment at its Powai and Hazira works. The company and Haldor Topsoe will also provide the technical services for the erection and commissioning of the plant.

[Note: SFCCL is a private sector enterprise, developed, promoted and financed by a group of leading industrialists from the Gulf Co-operation Council (GCC) countries. It is a grass roots, second-generation petrochemical complex located in the Al Jubail Industrial City, Saudi Arabia, manufacturing formaldehyde and its derivative products.]

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