Qatar Petroleum (QP, Doha / Qatar; www.qp.com.qa) and Anglo-Dutch energy and petrochemicals group Shell (The Hague / Netherlands; www.shell.com) have awarded the front end engineering and design (FEED) contract for their joint venture cracker and MEG project in Ras Laffan / Qatar to US engineering contractor Fluor (Irving, Texas; www.fluor.com).

The project is expected to cost USD 6.5 bn (EUR 5.0 bn) and become operational by 2018. QP will hold an 80% stake and Shell will hold the remaining 20%.

The newly named Al-Karaana Petrochemicals Complex will include a mixed-feed steam cracker, a 1.5m t/y MEG plant based on Shell’s “Omega” technology, a 300,000 t/y linear alpha olefin unit based on Shell’s higher olefins process and a 250,000 t/y oxo alcohols unit – see Plasteurope.com of 11.09.2012. Feedstock for the cracker will come from natural gas projects in Qatar.

Graham van’t Hoff, executive vice president for Shell Chemicals, said: “The proposed Al-Karaana Petrochemicals Complex project underlines Shell’s growth aspirations in the Middle East, and our contribution towards supporting Qatar’s strategy to diversify its energy industry.”