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January 17, 2013

KBR awarded Veba Combi Cracker license and engineering services contract in Cambodia

Gerald Ondrey

KBR (Houston; www.kbr.com) was awarded a contract by Cambodian Petrochemical Co. (CPC) to provide licensing and engineering services for the Veba Combi Cracker (VCC) unit to be implemented in the Kampong Som Petrochemical Industrial Zone of Cambodia. Tianjin Petrochemical Engineering Design Co. (TPED), the EPC Contractor for the Unit, executed the agreements on behalf of CPC.

Under the terms of the contract, KBR will provide license and basic engineering services for the 1.2-million metric tons (m.t.) per year VCC unit that will process petroleum-refinery vacuum residues into high value naphtha and Euro 5 diesel products.

“The VCC technology was selected after careful evaluation of the process. The high residue conversion and finished products quality will significantly improve the economics of our facility,” says Li Chengchun, CEO of CPC. “VCC can process a wide range of residues and fuel oil which greatly enhances our crude flexibility and had a big influence on the selection of our refinery configuration.”

“We are pleased to be awarded our fourth license since acquiring the right to license VCC in 2010. The other three units are under construction,” says John Derbyshire, president, KBR Technology.

CPC is the first refinery in Cambodia with a crude capacity of 5 m.t./yr invested by Cambodian National Petroleum Authority, Cambodian HKT Special Economic Zone Co.,  and Hong Kong Diamond Industry Co.

China Perfect Machinery Industry Corp. (SinoMach; www.chinaperfect.com.cn) will build this refinery that is scheduled to start up in 2015, and expected to greatly promote Cambodia’s economic development. TPED (www.tped.cn) is a subsidiary of SinoMach, and a Class A certified design institute that provides engineering design and EPC services for energy companies in China.