Honeywell to supply automation system for oil refinery in Vietnam

PHOENIX, Aug. 1, 2006 – Honeywell has been awarded a $17.5 million contract to supply process controls for Vietnam’s first oil refinery. The Technip Consortium – which will build the refinery in Dung Quat for state-owned company PetroVietnam – selected Honeywell to supply its award-winning process automation system, the Experion Process Knowledge System (PKS). The refinery will begin production in central Vietnam in early 2009.

“We wanted to make sure this refinery enters the market with leading-edge technology, and Honeywell’s reputation made the decision an easy one,” said P.K. Singh, Technip Consortium director. “Automating and integrating process controls is a very effective strategy for refining large amounts of oil in a timely manner. Experion will help us achieve that goal and shape the future of the Vietnamese process industries.”

Located in Quang Ngai Province near the South China Sea, the Dung Quat refinery symbolizes Vietnam’s technological advancement since trade embargoes were lifted in the 1990s. Trade agreements have since paved the way for technology companies like Honeywell to help Vietnamese businesses expand.

The Dung Quat refinery will produce 148,000 barrels of oil per day and other products such as propylene, liquid petroleum gas (LPG), motor gasoline, jet A1 kerosene, auto diesel and fuel oil. Experion will integrate the refinery’s subsystems to give operators a clear view of how the refinery’s processes are functioning. Honeywell will design, test, install and commission Dung Quat’s system. In addition to Experion, Honeywell will supply Safety Manager for Emergency Shutdown along with fire and gas protection systems.

“This refinery will help Vietnam become a player in Asia’s oil market,” said Jack Bolick, president, Honeywell Process Solutions. “To compete in this market, the Dung Quat refinery will need state-of-the-art equipment. Experion will ensure a smooth operation from offloading the crude oil to shipping the finished product.”

The Technip Consortium includes engineering and construction service providers Technip GeoProduction and Spain-based Tecnica Reunidas, as well as Japan Gas Company. PetroVietnam, also known as the Vietnam Oil and Gas Corp has developed rapidly since it was established in 1975, and its activities, through various companies and wholly owned subsidiaries, now cover all the operations from oil and gas exploration and production to storage, processing, transportation, distribution and services not only within the boundaries of Vietnam but also in the global arena.

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