Jazan Gas Projects Company (JGPC), a joint venture between Saudi-based Acwa Holding and US-based Air Products, has broken ground on an industrial gas complex being developed by Saudi Aramco at an investment of $2.1 billion.
 
The upcoming facility will serve Saudi Aramco’s Jazan refinery and terminal.

Once ready, the complex will supply a total of 75,000 tonnes per day of industrial gas (20,000 of oxygen and 55,000 of nitrogen), for 20 years to Saudi Aramco’s refinery.

The contract was awarded to JGPC by Saudi Aramco in 2015 to build, own and operate the world’s biggest industrial gas plant.
 
At the site of the air separation unit (ASU) facility which is a vital component of the oil refining operations in Jazan, representatives from Saudi Aramco, Acwa Holding, Air Products, JGPC board members and employees gathered to commemorate the special occasion.
 
Speaking at the ground-breaking ceremony, Mohammad Abunayyan, the chairman of the JGPC board and chairman of Acwa Holding Board (the majority shareholder) said: "Since the contract was awarded, we are very proud to have demonstrated outstanding infrastructure financing which has enabled us to be well advanced with the build schedule. We have also recruited a highly skilled team to manage operations and underpin our values for exceptional quality and customer service."

"Construction on-site started a month earlier than planned, initial drawings have been issued and we have a clear plan of mobilisation to Jazan from this date," stated Abunayyan.
 
The gas complex will require 600 MW to operate and will consist of six air separation trains.

Implementing unique technology developed by Air Products, the plant will produce oxygen and nitrogen which will supply the gasifier to generate the gas necessary to run the power generators and to provide feedstock to the refinery and the adjacent Jazan Economic City.

This will allow the integrated gasification combined cycle (IGCC) plant to economically and efficiently generate enough electricity to cover the refinery’s needs, enable the development of small industries, and provide power for communities in the area.

Fuad Al Azman, the general manager of Jazan Area Projects, said: "This is the largest third party project Saudi Aramco has awarded to the private sector, and as such, demonstrates its faith in the joint capabilities of Acwa Holding and Air Products to develop giant infrastructure projects of strategic importance in the Kingdom."

The ground-breaking ceremony also included the unveiling of an inscribed foundation stone.

The gas complex will create an estimated 100 direct local jobs when in operation and be a cornerstone development in the expansion of Jazan Economic City, a strategic area of growth for Saudi Arabia.

“We have a strong commitment to excellence across all areas of the project in particular health and safety, social responsibility and environmental stewardship and sustainable practices," remarked Abunayyan.

“Together, we will continue to drive strong performance across the company and look forward to the commissioning of the most advanced industrial gas facility in 2018 in tandem with the refinery,” he added.-TradeArabia News Service