Samsung Engineering wins RM3bil contract from Shell to build gas plant in Sarawak

Samsung Engineering wins RM3bil contract from Shell to build gas plant in Sarawak

The gas plant will have the capacity to process 800 million cubic feet of gas per day.

The RM3.02 bil contract will be carried out in two phases
KUALA LUMPUR:
Samsung Engineering of South Korea today announced that it had secured a US$680 million (RM3.02 billion) contract from Sarawak Shell Bhd (SSB) to build an onshore gas plant (OGP) in Bintulu.

The OGP contract, for SSB’s Rosmari Marjoram project, will cover engineering, procurement, construction and commissioning (EPCC) of the plant, which would be executed in two phases.

In a statement, it said the first phase would be carried out on a limited scope before SSB made its final investment decision (FID), with the remaining scope to be executed after the FID is obtained.

The OGP plant will have the capacity to process up to 800 million cubic feet of gas per day and is expected to be ready for operations by the end of 2025.

Samsung Engineering revealed in the statement that it won the contract based on its engineering capabilities.

“Samsung Engineering has a proven track record in executing gas projects in Malaysia and is currently executing the Sarawak methanol project and developing the H2biscus Green Hydrogen/Ammonia Project in Sarawak,” it said.

Samsung Engineering president and chief executive officer Sungan Choi said besides providing a total solution in EPCC, its track record, regional expertise and sustainable investment in Sarawak, enabled the company to secure the contract.

Samsung Engineering is further looking into discovering new business opportunities by accumulating experience in the gas market.

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