Southeast Asian refiner to use Chevron Lummus Global (CLG) technology

US-based engineering services firm McDermott International has announced that its Chevron Lummus Global (CLG), McDermott’s joint venture (JV) with Chevron, has been awarded a contract by a Southeast Asian refiner.

The contract is for the license, engineering, and supply of proprietary catalyst and equipment for the refiner’s Lubricant Base Oil Group II Project, which is proposed to be built in Southeast Asia.

The new 5,200 barrels per day (bpd) unit will employ CLG’s advanced lubricant base oil technologies for premium lube base oil production.

McDermott noted that the refinery currently produces only Group I lube base oils. The Lubricant Base Oil Group II project will allow the Southeast Asian refiner to meet growing demand for premium oils in the region.

McDermott Lummus Technology business senior vice-president Leon de Bruyn said: “The lubricant base oil technology that we license through Chevron Lummus Global has helped our customers produce greater yields and better quality base oils, which was an important factor in the selection process of this project.

“With the recent award of several new projects in the region, CLG cherishes solid, long-standing relationships with refiners in the Asia Pacific region.”

McDermott noted that the contract, which varies between $1m to $50m, was signed in the first quarter of this year.

In September last year, McDermott International announced plans to explore ‘strategic alternatives’ for its Lummus Technology unit, after receiving ‘unsolicited approaches’ to purchase all or a portion of the business, valuing it at $2.5bn.

Lummus Technology is a licensor of proprietary petrochemicals, refining, gasification and gas processing technologies. It also provides proprietary catalysts and other engineering services.