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Lummus Technology Announces supply 14 ethylene cracking furnaces to Baltic Chemical Plant

Lummus Technology announced that it will supply 14 cracking furnaces for a Gas Chemical Complex that is part of the Ethane-rich Gas Processing Complex (GCC EGPC) located near Ust-Luga, Leningrad Oblast, Russia, on the Gulf of Finland.

The contract is awarded within the framework of an EPC Contract for the GCC EGPC project between China National Chemical Engineering & Construction Corporation Seven, LTD (CC7), and the Baltic Chemical Plant LLC. Lummus' scope includes engineering and supply of the company's proprietary Short Residence Time (SRT®) VI cracking furnaces. The equipment is expected to yield a total ethylene product amount (ethylene crackers 1 and 2) of up to 3 million metric tons per year, will be supplied under the ethylene technology license agreement entered in between Baltic Chemical Plant LLC, a Project Operator (and a subsidiary of RusGazDobycha), and Lummus Technology in 2019.

The cracking furnace is the core process element of an ethylene plant. The process inside a cracking furnace is based upon pyrolysis of hydrocarbons (ethane/propane mixture) in the presence of steam with release of cracked gas. The gas is further fed into the olefins recovery section to produce polymer grade ethylene used as feedstock for polyethylene production as well as other byproducts.

"The Gas Chemical Complex Project relies on the most advanced, highly-efficient and eco-friendly process solutions available in the world. At the current stage of the project, the team is dealing with purchasing long-lead equipment. The benefits offered by Lummus Technology include significant reduction in the output of by-products and specific consumption of utilities. The process also offers feedstock flexibility as it is possible to feed of up to 10% propane in case of ethane shortage," shared Konstantin Makhov, General Director of Baltic Chemical Plant LLC.

"This is the second major award announced recently for our world-class SRT® ethylene furnaces, which optimize reliability in capacity, run-length and energy efficiency. It is another step forward in our services for the Baltic Chemical Plant and builds on our experience in Russia, which is among our key markets and where we are recognized as a leading licensor of this technology," said Leon de Bruyn, President and Chief Executive Officer of Lummus Technology.

"This is the first experience of partnering between Lummus Technology and CC7 for ethylene integration project both in Russian and international markets. Following the Process Design Package Contract covering the ethane cracking unit engineering for Baltic Chemical Plant signed in November 2019, a new equipment engineering & supply contract has been now signed. The relationships between the two companies have been evolving, and cooperation experience gained in this project will build a reliable foundation for future strategic partnership in the international market," underlined Long Haiyang, Vice-President at СС7.

About Lummus Technology

With a heritage spanning more than 110 years and a focus on innovation that has resulted in approximately 130 technologies and 3,400 patents, Lummus Technology is the global leader in developing and implementing process technologies. We are a Master Licensor of petrochemical, refining, gasification and gas processing technologies, and a supplier of catalysts, proprietary equipment and related services to customers worldwide.

About Baltic Chemical Plant LLC and CC7

Baltic Chemical Plant LLC is the project operator for the Gas Chemical Complex (GCC) that is expected to produce about 3 million tonnes of polyethylene per annum. The GCC, Integrated Gas Processing and LNG Complex, as well as the Off-shore Terminals for finished product shipment make up the Ethane-rich Gas Processing Complex (EGPC), a joint project executed by RusGazDobycha, JSC and Gazprom, PJSC. The signed long-term contracts guarantee feedstock supplies to EGPC for at least 20 years to come.

The general Contractor of the GCC EGPC Project to be located near Ust-Luga is China's National Chemical Engineering & Construction Corporation Seven, LTD (CC7), a 100% subsidiary of China National Chemical Engineering Group Corporation Ltd., the leading EPC-Contractor for the petrochemical industry in China. The Company has been present in the Russian market for 10 years and has in its local portfolio 6 large-scale petrochemical projects, including completed and ongoing projects.

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