Name of the Project
Karratha urea plant project.

Location
The project will be located within the Burrup Strategic Industrial Area on the Burrup Peninsula, in Western Australia.

Client
Perdaman Industries (Chemicals & Fertilisers).

Project Description
The proposed project will transform natural gas into urea, which is used as a form of fertiliser for food production.

The project entails the construction of a two-million-tonne-a-year urea plant.

The plant will use local natural gas for fertiliser production by means of innovative and low-emissions technologies.

Perdaman has secured 20 years’ worth of natural gas supply from oil and gas major Woodside.

Potential Job Creation
The project is expected to create about 2 000 jobs during the three-year construction phase and 200 permanent jobs in Karratha.

Value
The project will cost about $4.5-billion to implement.

Duration
The expected date for the start of construction will be either the end of 2019 or early 2020, pending environmental approvals.

Latest Developments
Perdaman has signed a binding heads of agreement with Clough and Saipem for the engineering, procurement and construction (EPC) work for the urea project.

The project has been strongly supported by the Western Australian government, which has given it a state significant project status.

The Clough and Saipem joint venture will act as the lead contractor for the EPC work that includes a water treatment plant, a 100 MW power plant, urea storage, and loading and offloading facilities. A closed conveyer will transport the urea 7 km to Pilbara Ports Authority for shipping to local and offshore markets, with 50 to 100 shiploads expected a year.

Meanwhile, the Western Australian government will provide conditional support for the planned project.

The state government has provided A$35.5-million for road relocation costs and the detailed design of a new Dampier Cargo Wharf and upgrades to seawater supply infrastructure.

Key Contracts and Suppliers
SNC-Lavalin (construction contract); Clough and Saipem (EPC – lead contractor).

On Budget and on Time?
Too early to state.

Contact Details for Project Information
Perdaman Chemicals & Fertilisers, tel +61 8 9429 5111, fax +61 8 9429 5100 or email info@perdaman.com.au.