The scope of works under the contract includes study of a proposed unified power system between the onshore gas processing plant of the West Delta Deep Marine (WDDM) gas fields, along with Egyptian LNG export terminal (ELNG) in Idku
MoU signing for Idku Energy Hub project. (Credit: PRNewswire/Bechtel)
Shell Egypt, EGAS and Petronas have awarded a front-end engineering and design (FEED) contract to an alliance led by engineering company Bechtel, for the Idku Energy Hub project.
The alliance comprises Egyptian engineering companies Enppi and Petrojet.
The scope of the contract includes the study of a proposed unified power system between the onshore gas processing plant of the West Delta Deep Marine (WDDM) gas fields.
In addition, the contract includes the study of the Egyptian LNG export terminal (ELNG) in Idku.
Bechtel, Enppi and Petrojet are expected to execute the FEED contract on a fast-track basis, with plans to complete the scope of work within this year.
Shell Egypt vice president and country chair Khaled Kacem said: “This project is a demonstration of our commitment to powering progress by providing more and cleaner energy.
“As partners in Egypt’s journey to become a regional energy hub we are also mobilizing our efforts and expertise to support the country’s energy efficiency ambitions.
“This is also a significant step towards full implementation of the decarbonization MOU between Shell and the MOP that was signed earlier this year.”
The FEED contract is designed to explore the benefits of a One Power Hub concept, which combines the electrical power systems at the WDDM and ELNG.
It aims to increase the power saving and greenhouse gas (GHG) abatement benefits of unifying the electrical power systems of the onshore plants.
The benefits include optimisation of the gas turbine generators, modelling the effective operating mode, reducing GHG emissions and economising the fuel consumption.
The project is part of a broader programme between the coalition and the Egyptian Ministry of Petroleum and Mineral Resources (MOP), focused on decarbonisation, and climate change strategy.
By reducing emissions and optimising fuel consumption and running hours of the rotating equipment, the contract will enhance production and reduce the operating cost of the hub.
Bechtel Energy president Paul Marsden said: “This project is an excellent example of private and public sector partnership to support Egypt’s decarbonization strategy. Our Bechtel team is looking forward to continuing to support Egypt’s climate change strategy.”