Lurgi wins Saudi plant deal

Saudi Arabian firm Alujain Corp has awarded to Germany’s Lurgi Oel Gas Chemie a contract to build a chemical plant in the kingdom. Lurgi will build a 420,000tpy propane dehydrogenation plant to produce polymer grade propylene. The statement did not give the cost of the project in the Red Sea port of Yanbu, but an earlier estimate by Alujain put the cost at around USD 276 million. It said a new firm, The National Propylene Company (Alfasel), will be set up to run the plant which is expected to come on stream in the third quarter of 2006. Saudi Aramco will provide the feedstock for the plant, the statement said.

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