BASF YPC Integrated Petrochemical Site Phase 1 - Program Management

Client: BASF

Location: Nanjing, China

Map showing the location of BASF YPC Integrated Petrochemical Site Phase 1 - Program Management

Executive Summary

Fluor provided program management services to BASF-YPC Co. Ltd. as part of an integrated management team of personnel from Fluor, BASF and Yangzi Petroleum Corporation to develop an integrated petrochemical site (IPS) in Nanjing, People's Republic of China.

The IPS site comprises a 600 kilotons-per-annum (KTA) ethylene unit and eight downstream units, which include acrylic acid and esters, ethylene glycol, aromatics and low-density polyethylene. The products will supply the growing demand in China for intermediate components of finished products, such as paints, packaging, solvents, antifreeze and additives.

The completed IPS facility is located adjacent to the Yangzi River in Nanjing, approximately 300 kilometers northwest of Shanghai.

Client's Challenge

BASF-YPC is a Sino-foreign joint venture company established by Sinopec/Yangzi Petrochemical Corporation of Nanjing, China, and BASF of Ludwigshafen, Germany.

BASF-YPC was developing an integrated petrochemical site comprising nine production plants, with a naphtha cracker at the core and supporting utilities, and auxiliary facilities inside the production area, with storage and transportation facilities and utilities facilities.

Fluor's Solution

The project scope included the preparation, engineering, procurement, contracting and construction for the BASF-YPC IPS project. We performed basic engineering services for the utilities and infrastructure, defined common standards and practices for all units involved, implemented a value-engineering program and coordinated completion of the engineering and construction packages.

We also performed front-end engineering and design (FEED) services for the offsites, utilities and infrastructure. At the peak of the project, our staff comprised 150 management personnel.

In December 2002, the BASF-YPC IPS project reached 2 million work hours without experiencing a single OSHA recordable incident. This is a tremendous achievement considering the challenges of this work environment.

Conclusion

In August of 2005, the BASF IPS achieved successful startup of the final plant at the integrated complex in Nanjing, the People's Republic of China. The number of successfully started units at the complex totaled 10 and included a 600,000-metric-ton steam cracker and nine downstream plants.

The total capacity of the 543-acre complex is 1.7 metric tons of high-quality chemicals and polymers per year for use in the rapidly growing Chinese market.

This project's success was due to the teamwork and cooperation of everyone involved in the effort, including workers of more than 20 nationalities.