Rotary Engineering starts S$1bln EPC tank farm construction

Company's tasks in Jubail include EPC works involving 62 Atmospheric Storage Tanks and 8 Bullet Tanks.

Mainboard-listed Rotary Engineering Limited (Rotary) held a Groundbreaking Ceremony for its US$745 million (over S$1 billion) contract to build an offsite, utilities and refinery tank farm in Jubail, Saudi Arabia. Rotary, together with its joint venture company Petrol Steel Co. Ltd (Petrol Steel), was awarded this Engineering, Procurement and Construction (EPC) contract by Saudi Aramco Total Refining and Petrochemical Company (SATORP), a joint venture between Saudi Arabian Oil Company (Saudi Aramco) and French petroleum company Total S.A. (Total) for its Jubail refinery.

The ceremony kicks off the construction phase of the project and was officiated by HE Wong Kwok Pun, Singapore’s Ambassador to the Kingdom of Saudi Arabia; Mr Chia Kim Piow, Chairman of Rotary Engineering Limited and Mr Tanios Matta, Project Manager for SATORP, according to a Rotary Engineering release.

Rotary’s scope of work includes the full range of EPC works that involves 62 Atmospheric Storage Tanks and eight Bullet Tanks. Fabrication and site preparation work has commenced in Jubail. In all, Petrol Steel will fabricate 30,000 tons of steel plates as well as 7,100 tons of piping works over the entire project.

Mr Chia Kim Piow, Rotary’s Chairman and Managing Director, said, “This is a significant milestone for Rotary and our Saudi subsidiary Petrol Steel today as we groundbreak on-site this integrated offsite, utilities and tank farm project for SATORP’s 400,000 barrels per day refinery and petrochemical complex. With this project, we are ready to anchor ourselves and expand aggressively in the Middle East.”

When completed, the 400,000 barrels per day Jubail Export Refinery will be one of the most advanced in the world and will refine Arabian heavy crude oil into high specification products for local and international markets.

In support of Saudi Arabia’s Saudization program, Rotary also signed a Memorandum of Understanding (“MOU”) with Technical Vocational Training Centre (TVTC) in May 2010 to jointly set up a training centre to provide technical training for Saudi nationals, further affirming its commitment to build a strong and sustainable standing. Rotary has maintained a presence in the Middle East since 2006.

Said IE Singapore’s Deputy CEO, Mr Chua Taik Him, “We are happy to see that Singapore investors are committed to develop human resources in the market they are participating in. Building up human resources will enable companies to sustain their growth and contribute to the economy.”