GE Oil & Gas signs letter of intent with QAFCO
The Qatar Fertilizer Company (QAFCO) has signed a letter of intent (LOI) with GE Oil & Gas for the supply of gas turbine and compressor technology for an expansion project that will result in one of the world’s largest fertilizer plants. The GE equipment will be used for an expansion of the ammonia and urea plant at the site and for a new cogeneration facility that is part of the overall project.
Under the terms of the LOI, GE will supply four Frame 6B gas turbine-generators, five compressors, five steam turbines, heat recovery steam generators (HRSGs) and related services. The cogeneration plant will provide 140 megawatts of power and up to 600 tons per hour of steam required on the ammonia and urea plant process.
When completed in 2010, QAFCO 5 will increase the company’s total production capacity to 4 million tons per year of urea, up from current levels of 2.8 million tons per year; and to 3.1 million tons per year of ammonia, up from 2 million tons per year.
With the nominal gross domestic product growing an average of 15% over the past five years, Qatar’s economy is rapidly expanding across all industrial sectors. The QAFCO 5 project is another signal that the strong upward trend is continuing.
“Our long-term relationship with QAFCO and the confidence they have in our technology and services were key factors in securing this LOI,” said Mohammad Ayoub, Operations Leader and Region General Manager – Middle East for GE Oil & Gas. “GE’s capability to act as a complete solution supplier of gas turbine, compressor, steam turbine generator and services will provide a significant benefit for the customer.”
“QAFCO 5 offers further evidence of GE’s on-going commitment to support Qatar’s growing oil and gas industry by providing reliable technology and services for projects throughout the country,” Ayoub added.
The gas turbines and compressors for the new project will be manufactured at GE Oil & Gas facilities in Florence, Italy and the steam turbines in Le Creusot, France. The gas turbines are scheduled for delivery to the site in Qatar in the first half of 2009, with the compressors and steam turbines to be shipped in the second half of 2009. The gas turbines will be equipped with Dry Low NOx (DLN) technology that will limit DLN emissions to 15 parts per million, and also will be customized to meet QAFCO’s specifications as well as the petrochemical industry requirements.
GE’s Frame 6B is one of the most versatile and widely used gas turbines ever manufactured, with more than 900 units in service worldwide totaling more than 40 million operating hours in a wide range of applications.
GE Oil & Gas has been providing gas turbines, compressors and other equipment to support projects in Qatar for more than 35 years. To offer on-going support for customers such as QAFCO, GE Oil & Gas is building a new facility in Ras Laffan Industrial City that will act as a service technology hub for Qatar and the Middle East region.
“Establishing this service complex underscores GE’s strong commitment to continue increasing technology and service offerings for our customers in Qatar, one of the fastest growing centers for the oil and gas industry worldwide,” said Ayoub.