Aker Solutions has been awarded a contract by Technip to supply a Mono Ethylene Glycol (MEG) reclamation plant for the Ichthys LNG Project in Australia. The contract value is approximately NOK 485 million.

The scope of work includes system engineering and supply of key equipment for the MEG plant and may include some further options. The equipment deliveries will be in 2013 and 2014.

"This contract confirms Aker Solutions' position as the world market leader for MEG reclamation technology. We are very pleased to be involved in the Ichthys LNG Project, and proud to participate in the exciting growth of the Australian oil and gas market," says David Merle, head of Aker Solutions' process systems business.

Management, engineering and procurement of the project will be carried out at Aker Solutions' offices in Oslo, Norway, with support from the Aker Solutions office in Perth, Australia.

MEG is used to prevent hydrate formation in subsea pipelines. It is injected at the wellhead and follows the gas and liquid flow to the gas processing facility. Aker Solutions' MEG reclamation technology combines unique chemistry knowledge and process technologies in removing water, hydrocarbons and salts efficiently, enabling MEG to be recycled with a high recovery rate and great quality while also reducing scaling and corrosion in the reclamation and injection systems.

Ichthys LNG Project
The Ichthys LNG Project is a joint venture between INPEX (Operator), TOTAL and other participants. Gas from the Ichthys Field, in the Browse Basin approximately 200 kilometres offshore of Western Australia, will undergo preliminary processing offshore to remove water and extract condensate. The gas will then be exported to onshore processing facilities in Darwin via an 889km subsea pipeline. The Ichthys LNG Project is expected to produce 8.4 million tonnes of LNG and 1.6 million tonnes of LPG per annum, along with approximately 100,000 barrels of condensate per day at peak.

The MEG reclamation plant will be located on the FPSO built by Daewoo Shipbuilding & Marine Engineering (DSME) in South Korea. Technip has responsibility for topside engineering.

The contract was signed and booked as order intake in the third quarter of 2012.