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Chandra Asri awards ethylene furnace engineering contract to McDermott


Chandra Asri’s petrochemical plant (Image credit: Chandra Asri)

JAKARTA ( – Indonesia’s petrochemical producer PT Chandra Asri Perkasa, a subsidiary of PT Chandra Asri Petrochemical Tbk (IDX:TPIA), awarded the detailed engineering for the ethylene furnace project to McDermott International, Inc. (NYSE: MDR).

McDermott considers the award as a “sizeable technology contract”. McDermott did not reveal the value of the contract, but it defined “sizeable contract” as between US$1 million and US$50 million.

McDermott said the contract encompasses the detailed engineering of 8 proprietary SRT® (Short Residence Time) ethylene cracking heaters at the Chandra Asri Perkasa (CAP2) ethylene plant in Cilegon, Indonesia.

The unit will utilize Lummus Technology’s SRT® (Short Residence Time) pyrolysis heater technology to produce 1,100 KTA of ethylene and 600 KTA of propylene.

This award follows the company’s announcement in April 2018 of a contract for the license and basic engineering of the ethylene plant at this facility, McDermott said.

“Lummus Technology’s SRT heaters allow for higher yields and plant reliability while reducing emissions and operating costs,” said Daniel M. McCarthy, Executive Vice President of McDermott’s Lummus Technology business.

“Once complete, this complex will be one of the largest in Indonesia, helping to satisfy the country’s growing demand for petrochemical products,” he said.

McDermott’s Lummus Technology is a leading licensor of proprietary petrochemicals, refining, gasification and gas processing technologies, and a supplier of proprietary catalysts and related engineering.

With a heritage spanning more than 100 years, encompassing approximately 3,100 patents and patent applications, Lummus Technology provides one of the industry’s most diversified technology portfolios to the hydrocarbon processing sector.

This award will be reflected in McDermott’s fourth quarter 2018 backlog. (*)

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