Shell plugs in Singapore complex
16 May 2007
Selecting automation supplier for major new projects
Shell has officially launched the start of a new construction phase at the Shell Eastern Petrochemicals Complex (SEPC) as the first piles were driven into the ground on Pulau Bukom and Jurong Island.
Construction of SEPC began in late October last year and, said Shell, remains on target for start-up by 2010. When complete, the complex will include a new 800-kilotonnes-per-annum (ktpa), world-scale ethylene cracker and a 750-ktpa mono-ethylene glycol (MEG) plant. The project scope also includes modifications and additions to the Bukom Refinery.
Yokogawa Electric Corp. has already been selected as the automation vendor for the SEPC project, which represents Shell's largest-ever chemical investment in Singapore. The contract followed an in-depth process for selecting the process automation systems for the Singapore complex, said a Shell spokeswoman.
"Shell has three main automation system vendors that have gone through a centralised pre-approval process on a technical basis, including process safety," she explained. "Having satisfied the technical criteria, the remaining issues were cost, available production capacity that fits the SEPC project schedule and a positive implementation record on recent Shell projects."
The technical criteria for selecting the process automation system are those used by Shell for most of its large scale manufacturing facilities, the spokeswoman continued.
"The measurement, control and safeguarding technology required for ethylene cracking and glycols manufacture does not place unusual requirements on the characteristics of these automation systems compared with Shell's typical chemicals or refining plant designs so any of the approved automation vendors could have been selected," she stated.
Shell operates a range of different systems, selected from its approved vendor list. This, said the representative, promotes healthy long-term competition from the vendors. "It also allows Shell to capture and consolidate direct experience of actual vendor project and maintenance performance that then can be an input to subsequent selection decisions."
While newly constructed plants such as SEPC are built with new technology, automation systems on Shell's legacy plants are upgraded selectively based on obsolescence of the automation system, said the spokeswoman. Decisions here, she said, are linked to plant safety, reliability and environmental constraints or occasionally based on expected economic benefits of applying new automation technology.
"Economically justified upgrades are few and always justified via corporate project rules and procedures. Shell's central engineering organisation acts as an advisory body to its operating companies for technical and commercial benchmarking information," the official further explained.
Shell points out several ways for automation vendors to improve the technologies and services they offer in terms of supporting its global production strategy.
"Focus on the cost and reliability of purchased equipment and high quality and cost effective maintenance services. Owner companies' approved vendor lists are not cast in stone — new vendors can be added and existing poorly performing vendors can be dropped," said a company statement.
Good performance is always defined by the owner and automation vendors need to develop and retain a real corporate capability to see themselves as their customers see them, Shell added.
"If there are any new automation offerings that can deliver competitive advantages to sites that need to operate safely and reliably and inside evolving regulatory frameworks, including carbon-constraints, these will always be of interest," the spokeswoman concluded.
Construction of SEPC began in late October last year and, said Shell, remains on target for start-up by 2010. When complete, the complex will include a new 800-kilotonnes-per-annum (ktpa), world-scale ethylene cracker and a 750-ktpa mono-ethylene glycol (MEG) plant. The project scope also includes modifications and additions to the Bukom Refinery.
Yokogawa Electric Corp. has already been selected as the automation vendor for the SEPC project, which represents Shell's largest-ever chemical investment in Singapore. The contract followed an in-depth process for selecting the process automation systems for the Singapore complex, said a Shell spokeswoman.
"Shell has three main automation system vendors that have gone through a centralised pre-approval process on a technical basis, including process safety," she explained. "Having satisfied the technical criteria, the remaining issues were cost, available production capacity that fits the SEPC project schedule and a positive implementation record on recent Shell projects."
The technical criteria for selecting the process automation system are those used by Shell for most of its large scale manufacturing facilities, the spokeswoman continued.
"The measurement, control and safeguarding technology required for ethylene cracking and glycols manufacture does not place unusual requirements on the characteristics of these automation systems compared with Shell's typical chemicals or refining plant designs so any of the approved automation vendors could have been selected," she stated.
Shell operates a range of different systems, selected from its approved vendor list. This, said the representative, promotes healthy long-term competition from the vendors. "It also allows Shell to capture and consolidate direct experience of actual vendor project and maintenance performance that then can be an input to subsequent selection decisions."
While newly constructed plants such as SEPC are built with new technology, automation systems on Shell's legacy plants are upgraded selectively based on obsolescence of the automation system, said the spokeswoman. Decisions here, she said, are linked to plant safety, reliability and environmental constraints or occasionally based on expected economic benefits of applying new automation technology.
"Economically justified upgrades are few and always justified via corporate project rules and procedures. Shell's central engineering organisation acts as an advisory body to its operating companies for technical and commercial benchmarking information," the official further explained.
Shell points out several ways for automation vendors to improve the technologies and services they offer in terms of supporting its global production strategy.
"Focus on the cost and reliability of purchased equipment and high quality and cost effective maintenance services. Owner companies' approved vendor lists are not cast in stone — new vendors can be added and existing poorly performing vendors can be dropped," said a company statement.
Good performance is always defined by the owner and automation vendors need to develop and retain a real corporate capability to see themselves as their customers see them, Shell added.
"If there are any new automation offerings that can deliver competitive advantages to sites that need to operate safely and reliably and inside evolving regulatory frameworks, including carbon-constraints, these will always be of interest," the spokeswoman concluded.
