PETRONAS’ subsidiary PRPC Water Sdn Bhd has signed a Procurement, Construction and Commissioning (PCC) contract with Konsortium Asia Baru – PPC JV (KAP) for the development of a raw water supply project known as “PAMER” in Johor.

The consortium, comprising Asia Baru Construction Sdn Bhd and Putra Perdana Construction Sdn Bhd, will build raw water supply facilities to support the raw water needs of PETRONAS’ Refinery and Petrochemical Integrated Development (RAPID) project and other facilities within PETRONAS’ Pengerang Integrated Complex (PIC) in Pengerang, Johor.

PRPC Water’s Director, Juniwati Rahmat Hussin said: “This is the first major contract awarded for a project related to the PIC development after PETRONAS announced the Final Investment Decision on RAPID and other facilities within the PIC on 3 April 2014.”

“As a key supporting infrastructure project, PAMER has a fast track schedule of 23 months for completion. It is important to ensure that the raw water supply facilities be commissioned by early 2016 to allow other facilities in the PIC to be operational as scheduled,” she added.

Under the contract, the consortium will develop the project which comprises an intake pump station at Sungai Sedili Besar, a terminal reservoir at Bukit Panjang, a dam, a water impoundment reservoir and booster pump station at Sungai Seluyut as well as 88 kilometres of water pipeline.

PAMER will supply 260 million litres of water per day (mld) to PETRONAS’ PIC of which 30 mld will be channeled for public consumption. The project will also supply water to the larger Pengerang Integrated Petroleum Complex (PIPC) promoted by the Johor State Government.

The PPC contract was signed on 28 April 2014. PRPC Water was represented by Juniwati while Dato’ Ir. Ong Boon Hai, Managing Director of Asia Baru Construction and Dato’ Rosman Abdullah, Executive Chairman of Putra Perdana Construction, signed on behalf of KAP.

Dato’ Rosman said: “The KAP consortium looks forward to working closely with PRPC Water, PETRONAS, the Johor State Government, various Government departments and agencies and with the local communities to implement this project successfully. We will also endevour to optimise the direct and indirect economic impact and spin off of this project to benefit the local communities in Johor.”

PETRONAS’ PIC, being developed within a 6,242-acre site, will house RAPID with a 300,000 bpd refinery and a petrochemical complex that has a combined production capacity of 7.7 mtpa of various grades of products including differentiated and specialty chemicals such as synthetic rubbers and high grade polymers.

The PIC will also see the development of a host of associated facilities including power co-generation plant, LNG regasification terminal and other ancillary facilities.

RAPID is estimated to cost about US$16 billion while the associated facilities in PIC will involve an investment of about US$11 billion. The entire PIC is expected to be ready for start-up by first quarter of 2019.

SOURCE : PETRONAS