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Taziz awards $2bn infrastructure contracts

7 November 2024

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Abu Dhabi’s Taziz has awarded three engineering, procurement and construction (EPC) contracts totalling $2bn for infrastructure works at the industrial chemicals zone it is developing in Ruwais Industrial City.

Abu Dhabi government-owned NMDC Group was awarded the EPC contract to build a chemicals port. Once complete, the port will facilitate the export of chemicals and fuels.

Singapore-based Rotary Engineering has won the EPC contract for a chemicals terminal. The contract includes developing storage facilities, tank-to-jetty pipelines, jetty-to-tank pipelines, inter-site pipelines and liquid product storage.

Taziz is building the chemicals handling terminal in partnership with Netherlands-based midstream energy company Advario.

MEED reported in October on the Taziz-Advario joint venture awarding Rotary the contract for the project, also known as Project Landing. According to sources, the contract’s value is estimated at $600m.

Abu Dhabi-based Al-Geemi Contracting was awarded the EPC contract to develop essential infrastructure for the 17-square-kilometre Taziz chemicals production site, including internal roads, security fencing and buildings.

Taziz said it is close to awarding the EPC contract to develop a centralised utilities facility for the chemical zone, including power transmission, steam, cooling water and water units.

MEED previously reported that the EPC contract for the planned independent steam and power cogeneration facility, known as Project Volta, was a two-way contest between India’s Larsen & Toubro and Kuwait’s Alghanim International.

The chemicals port and terminal will facilitate imports of key materials for investors in the Taziz chemicals production zone.

Equally importantly, the infrastructure will support exports from a blue ammonia facility being developed by a joint venture of Abu Dhabi’s Fertiglobe, South Korea-based GS Energy and Japan’s Mitsui & Co. Italian firm Tecnimont, the main contractor for the project, is proceeding with construction works on the facility, which will have an output capacity of 1 million tonnes a year (t/y).

The port and terminal will also cater to a planned methanol plant that Taziz intends to develop in a joint venture with Switzerland-based energy and chemicals company Proman.

MEED recently reported that South Korean contractor Samsung E&A had emerged as the frontrunner to win the EPC contract for this project, which will have an output potential of 5,000 metric tonnes a day, or 1.8 million metric t/y.

Operations at the Taziz industrial chemicals zone are scheduled to start between 2027 and 2028, when under-construction and planned plants are completed.

The first phase of the Taziz chemicals zone will house plants that will produce six chemicals: caustic soda, ethylene dichloride, vinyl chloride monomer, polyvinyl chloride, blue ammonia and methanol. The combined production capacity of these six plants in the first phase will be 4.7 million t/y.

“Many of these chemicals have not previously been manufactured in the UAE, enabling the local manufacture of many new construction, agriculture and healthcare products,” Taziz said.

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Indrajit Sen

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