Shell Licenses Gasification Technology to Jazan Power Project in Saudi Arabia

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One successful project for Shell in Saudi Arabia
One successful project for Shell in Saudi Arabia

Shell Global Solutions International B.V. has signed a gasification licensed technology agreement with Saudi Aramco, the Kingdom of Saudi Arabia’s fully integrated energy and Chemicals Company, for the largest residue gasification unit to ever be built.

The Jazan Integrated Gasification Combined Cycle Project (IGCC) agreement includes the licensing of Shell gasification and acid gas removal technologies and the provision of engineering services. Shell’s CRI/Criterion catalysts and a sulphur recovery unit (SRU) will also treat the off gases from the acid gas removal unit.

Jazan is to be developed as a new economic city in the Kingdom of Saudi Arabia. As part of the development, a new refinery and IGCC is to be built 70km north of the city of Jazan. The IGCC enables the gasification of low-value residue feedstocks to produce syngas for power generation. The generated power will provide electricity for the Jazan refinery and supply within the Kingdom. Shell will now be the supplier of the technology for the largest gas and residue gasification units in the world.

“This agreement further demonstrates Shell’s commitment to the Kingdom of Saudi Arabia. We are enormously proud that Shell’s gasification technology was selected for this significant project, which supports an alternative approach to power generation in the Kingdom of Saudi Arabia, and we very much look forward to working alongside Saudi Aramco” said Ed Daniels, Executive Vice President, Shell Global Solutions.

“With the award of the gasification technology license to Shell Global Solutions for the Jazan IGCC project, we are confident that the Jazan Refinery and Terminal project will progress according to plan,” said Fahad Al-Helal, Executive Director Project Management, Saudi Aramco. “This is the first time that gasification technology will be deployed in Saudi Arabia and we believe that Shell Global Solutions’ experience as both an owner and operator of this technology will be very beneficial to the Jazan project.”

In November 2006, the Custodian of the Two Holy Mosques, King Abdullah, launched the Jazan Economic City Project as part of a strategic vision to boost economic activity in the southwestern region of the Kingdom and serve growing domestic energy demand. A 2,400 megawatt high-efficiency combined cycle power plant will form the energy backbone of the Jazan Economic City.

When it starts operating, Saudi Aramco’s Jazan Refinery will process 400,000 barrels per day (bpd) of Arabian Heavy and Arabian Medium crude oil to produce gasoline, ultra-low sulfur diesel, benzene and paraxylene. A marine terminal on the Red Sea coast will accommodate Very Large Crude Carriers (VLCCs) for the supply of crude oil to the new refinery. The Jazan Refinery and Terminal Project will provide more than 1,000 direct jobs in addition to 4,000 indirect jobs. Only three other refinery projects on the same scale as the Jazan Refinery have been commissioned worldwide in the past 20 years.

Shell Gasification Technology:

Shell began experimenting in gasification in the 1950s, and later on developed the technologies the Shell Gasification Process (SGP) and Shell Coal Gasification Process (SCGP) – that can turn residue, coal and petroleum coke into synthesis gas, or “syngas”, a mixture of hydrogen (H2) and carbon monoxide that burns as cleanly as natural gas after removing sulphur and trace components. Syngas can be used for power generation, chemical manufacture for fertilisers, for H2 in refineries, and for fine chemicals among other things. Today, Shell has 29 active oil/residue and gas gasification licences with 106 gasifiers worldwide for chemical application. Globally, 24 coal gasification licenses are active to date, of which 13 plants are currently in operation. Shell’s gasification technology delivers extensive benefits to its users. The technology contributes towards safe and reliable operations, efficient automation, and low life-cycle costs. For more information on Gasification Licensing visit:

http://www.shell.com/home/content/globalsolutions/gasification_licensing/

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