Work continued during this financial year in 28 projects divided between the tree
refineries and local marketing
department. 12 Projects are set for completion in the near future while 5 of them have already been commissioned.
Project Department staff were committed to the one team
spirit in their performance throughout the year not only among themselves but
also with the contractors employees who are
their work partners. The department performance was also remarkable in as far as
the health ,safety and environment standards were concerned. That is why the
department won a number of safety and efficiency awards after it achieved a record of 13.3 million- man hours without
work interrupting incident.
A.
Huge Projects:
The company is making preparations for the lunch of its two
huge projects Clean Fuels Project a and the New Refinery Project, when green light
is given to the company to start
implementation of both projects.
-
Clean
Fuels Project (CFP):
The
project is basically designed to upgrade Mina Abdulla and Mina Al-Ahmadi
refineries with a view to increasing their daily throughput to around 800
thousand barrels a day. Increasing
refining capacity will also proceed hand in hand with the process of
sophistication as the most up to date
equipment will be used in building or
revamp of several units in both refineries in order to be capable of
processing environment friendly fuel with significant low sulfur content(1%).
37
reactors and vessels were ordered and 30 of them were received by the company during this year as the manufacturing
and delivery of such equipment takes along time. However KNPC still awaits for
the Supreme Petroleum Council approval of the FUP to embark on the early stage
of its implementation.
-
New
Refinery Project(NRP):
The NRP the New Refnery in Zoor area,is one of the largest strategic projects in the
state of Kuwait as its capacity will be around 615 thousand Bp/d .It that sense
it will be one the largest refining plants in the Middle East .
The New
Refinery main objective is to supply
power generation plants in Kuwait with
environment friendly fuel and
provide an alternatives for gas
imports and heavy fuel consumption
It will also be capable of opening new world
markets forKuwait petroleum products.
Once the
new refinery and the CFP are completed the refining capacity available to KNPC
will rise to around 1,400.000 barrels
per day.The two projects complement each other and will lead to the processing of
high quality petroleum products
that will open new market outlets across
the world an enhance their competitive ability at those markets.
Designing
and manufacturing of the reactors and separation vessel for the project were
ordered and manufactured. In fact 36 reactors and 6 vessels have already been
delivered to the company in view of the fact that their manufacturing needs
rather a long time.
KNPC has
already received approval of the concerned agency to allocate the site in Zoor
area for the NRP. But the company still put the NRP on hold
waiting for the SPC approval. In the meantime KPC and KNPC are meeting with the concerned committees in
SPC for this purpose .The company
forwarded answers to the
clarifications sought by the SPC
committees.
B.
COMPLETED PROJECTS:
LNG
imports at MAA
This project is intended to supply LNG imports to the Power
generation plant throughout the country especially during the peak time in
summer when those plants are usually overloaded with energy consumption.
Necessary amendments
to the South Pier were made in order to facility loading and unloading of the
LNG from one vessel to another and them pumping it into KOC gas network.
Though the project was completed in the fiscal year
2009/2010 but the LNG imports keep coming owing to the growing demand on the part of
the power stations.
C.
NEW PROJECT:
1.
FOURTH GAS PLANT TRAIN AT MAA:
The project’s objective is to install a 4th Gas Plant Train
at the Mena Al-Ahmadi Refinery for processing additional associated gas and condensates produced by KOC and LPG produced at
various KNPC refineries at the
capacity of 805 million SCF per day
in addition to 106 thousand barrels a day of condensate. The Project’s
contract was signed in July 2010 and the time of completion is set in January
2014 with a budget of KD 315.0 million.
2.
New AGRP AND REVAMP OFEXISTING AGRP—MAA:
The project is intended to install a new unit for acid Gas
Removal at Mina Al-Ahmadi Refinery and revamp of the existing unit in the
refinery The new unit will be running at
an average rate of 146 MMSCF/D and 39 BPSD of condensate. Furthermore
the existing AGRP unit in the refinery
will be revamped so that its capacity
will be equal to the new unit.This project
conforms with KPC strategy which calls for reduction of gas flaring
to less than 1%.The contract was
signed in May 2010 and is expected to complete in September 2014 at the cost
ofKD250 million.
3.
REVAMP OF EFFLUENT TREATMENT FACILITIES AT THREE REFINERIES:
The Project’s objective is to upgrade the existing Waste Water Treatment facilities at the three
refineries in order to conform with the mandatory Industrial Waste Water
Discharge Standards stipulated by Environment Public Authority (K-EPA) The project
envisages installing the following:
§
Tertiary
water treatment facilities as one single combined plant for processing oily streams and surplus stripped sour water
from the three refineries
§
Upgrade
and debottleneck centralized waste water
treatment facilities at MAA, old Refinery
§
Additional
facilities in Shuaiba Refinery for segregation and collection of effluent
§
Interconnection
between the SHU& MAB facilities at MAB
The project is expected to complete by March2012
4.
NEW FOURTH LPG TANK FARM:
The project aims at building a number of LPG tanks to increase
the tankage capacity in light of the LPG fourth and fifth trains. To
allow simultaneous loading of two LPG tankers at the same time with the same
product. To reduce emissions from existing KNG tanks on the south LPG tank farm
by adding Geodesic domes and replacing floating roof seals.
Tankage capacity will be highly important for KNPC in order
to accommodate for the new amounts of gas to be received from KOC and the Gulf
Oil Company .The project’s completion is seen in December 2014 at a cost of
KD380million.
5.
NEW FLARE GAS RECOVERY UNIT AT MAA
Project objective is to install a new flare gas recovery
unit to handle RMP&FUP hydrocarbon flaring load so that flaring from the two
areas will be stopped completely reducing pollution from this source quite
significantly. Completion date for the project is set in January 2013.
6.
UPGRADATIONOF OBSOLETE FIRE DETECTION SYSYEMS AT KNPC SITES:
The objective of this project is to replace the existing
Halon system along with the complete fire alarm systems in the three refineries
especially in the tank farms , the central control rooms and process units. The
project is expected to be commissioned in December2013 and would an important
asset to boost safety standards at the refiner.
7.
MODERNISATION OF OBSOLETE INSTRUMENTATION AT OLD REFINERY
AND RMP AREA_MAA:
According to this project several existing instruments and
electronic equipment will be replaced in the old section of the refinery and
the RMP area because they became outdated and impossible to maintain any longer
.Completion date is set in July2011
Performance enhancement
initiative:
KNPC Project Methodology:
The CTO department in the
Company laid down anew methodology forprojects management .It isvirtually a practical
framework to the planning and management of projects which renders them
morecoherent and firmly interconnected. In other words it makes project
managementmore effective byintroducing clear and general criteria for the
management of each project.
Automatic System for
Budget Preparation:
An Automatic System has
been worked out for the preparation of the operation expenses budget (IBM
COGNOS).The systemconnects the operation expenses budget.with the present
systems being used in The Financial Accounts and the Human Resources. The
system also allows for completing ofmanpower forecast at the short term.,making
their calculations andthenlinking their figuresto the company operation
expenses
GCC Electronic Inventory:
In the context of the
ongoing cooperation and integration among the member states of the Gulf
Cooperation Council,a website for the inventories in GCC has been
established.The website importance stems from theopportunities it allows
foreach member company toget familiarized of the warehouses contentof other
members,so that they can utilize in case ofemergemncyso that they can speed up
deliveryand resume operation without lost time .ADNOC of Abu Dhabi, Qatar Oil
Company,Kuwait OIL companiesshare the membership of this site.
Supply Chain Optimization Project:
SCO is described as one
of the major strategic projects in the framework of KNPC vision. Its main
objective is to upgrade the company core system and business processes in short
and mid terms planning,, production accounting and operational performance
management. It is a new business initiativeintended to create customer focused
focused organization that delivers on spec products on schedule with minimum
giveaway while maximizing the refinery utilization and overall profitability.
The system is in functioning now and helps the management in the decision
making process so theurgent decision can be taken indue time.
Energy Management System
at the Refineries:
The company will embark
on a new systemfor energy consumption and conservation in the threerefineries
according torequirements specified by Kuwait Petroleum Corporation. Under this
systemthe current utilization of power will be evaluated with a view tobringing
it downas low as possible andto explore the chances to optimize the power
consumption in the refiners .A teamin which the three refineriesare represented
has beenformed to work out this mission.
ISO 9001:200 for KNPC:
The company has been
certified with ISO 9001:200for the Quality Management System.This certification
was in effecta n international recognition of the company outstanding pasture
as a leading firm in the oil refining business not only in the technical sense
but also in theadministrative terms
Power Saving
–Tarsheed-Intiative:
KNPC joins ever year
thecampaign at the national level tohighlight the importance of power saving
andelectricity and water conservation. To achieve thisgoal KNPC forms itsown
committee and charge itwith the task of cutting down electricity and water
consumption asmuch possible .The campaign reached impressiveresults this year
as the tarsheed efforts managed to cut consumption by 35 Megawattsa day.
