Honeywell to automate, supply Vietnam’s PV Gas with modular LPG plant

Honeywell announced this week that it will supply a 250 million standard cubic feet/day (mmscfd) modular gas processing plant and advanced automation systems to PetroVietnam subsidiary, PV Gas.

PV Gas, Vietnam’s primary gas provider, will use Honeywell UOP’s modular gas processing plant to separate liquefied petroleum gas (LPG) from natural gas at its Ca Mau facility near the southern tip of Vietnam.

Honeywell Process Solutions (HPS) will serve as the integrated main automation contractor (I-MAC) and supply the integrated controls and safety systems for the facility and terminal. PV Gas’s total capital investment for the project is approximately $498 million.

PV Gas supplies natural gas to generate nearly 40% of the nation's electricity, and local production accounts for more than 55% of Vietnam’s domestic demand for LPG.

The Honeywell UOP modular plant will separate LPG, a compressed mix of propane and butane, from natural gas. LPG is used as a fuel for heating and transportation, and to manufacture plastics and synthetic rubber.

Globally, LPG consumption is growing rapidly due to its versatility, low carbon emissions and energy efficiency. Within Asia, LPG demand is expected to grow at about 8.5% per year through 2020, according to IHS.

“As part of the largest oil and gas provider in Vietnam, PV Gas is making smart investments in infrastructure and innovative technology to meet the country’s goal of increasing the utilization and profitability of natural gas, and this solution from Honeywell will help us achieve that,” said Mr. Huynh Quang Hai, general manager of Ca Mau Gas Processing Plant’s management board. “Honeywell’s modular gas plant and advanced automation controls offer a high recovery liquid efficiency, increasing the production of valuable products from natural gas.”

The factory-built modular gas plant will be installed on site and is expected to begin production in 2017. The consortium of Posco Engineering Co. and PetroVietnam Technical Services Co. is the engineering, procurement and construction (EPC) contractor for the project.

“Honeywell UOP has worked with PetroVietnam for more than 20 years in refining and petrochemicals, and this project will help Vietnam meet its growing energy demands,” said John Gugel, vice president and general manager of Honeywell UOP’s gas processing and hydrogen business. “Our modular gas processing plants are a proven solution for high-quality, fast and efficient gas processing anywhere in the world, helping companies generate revenue sooner and more cost-effectively than with stick-built plants.”

As the I-MAC, Honeywell will provide the front-end engineering and design (FEED) to design, deliver and install the automation, instrumentation, controls, safety and security for the gas processing units as well as for the terminal operations. This unified approach will be critical to help the project start up quickly and meet operational and business readiness goals.

“Honeywell is uniquely qualified to supply both the process and controls for major projects like this,” said Pieter Krynauw, vice president for HPS’s projects and automation solutions business. “UOP provides the processes that make the facility work, and HPS automation controls will keep it running efficiently and safely. PV Gas will see lifecycle benefits from this approach, beginning with fast installation and startup and sustained through training and site services – all from a single supplier.”