Japan’s Chiyoda Corp eyes LNG

Business, Main Stories


JAPAN’s leading engineering and construction firm, Chiyoda Corp, will compete for work on the PNG LNG project, it was announced last Friday.
The company is currently constructing six processing gas plants (trains) in Qatar that will handle 7.8 million tonnes/year each.
It says it will bid for the PNG LNG project and also bid for floating LNG plants in Brazil, desulfurisation plant design services in Singapore and refinery improvement projects Venezuela.
“Regarding the execution of the six trains (7.8 million tonnes/year each) in the ultra-large-scale LNG plants under construction in Qatar, two have been completed, in addition to the single train completed during the prior fiscal year.
The Chiyoda Group is now working to complete the remaining three trains. Because of significant construction delays in the Qatargas Trains 6 and 7 caused by the lower-than-expected productivity of the construction subcontractors, the Chiyoda Group incurred additional costs by having to adopt various measures to reinforce construction resources, including the hiring of new subcontractors.
Accordingly, construction costs for the project have increased.
The Chiyoda Group will further strengthen its project risk management, particularly with respect to Qatargas Trains 6 and  7.