Metso to supply valve solutions to Rabigh petchem complex

Updated 28 February 2014

Metso to supply valve solutions to Rabigh petchem complex

Metso has received a large order to be delivered to Saudi Aramco’s petroleum refining and petrochemical production complex, currently under construction, in Rabigh.
The order includes a considerable number and wide range of Metso’s Neles rotary and globe valves and Jamesbury valves, including control, on-off and safety valves.
It also includes Metso’s intelligent safety solenoid technology and valve controllers, which guarantee maximum process availability and safety while reducing overall operating costs.
The valve solutions will be delivered to the petroleum refining and petrochemical production complex of Saudi Aramco.
The expansion of the current facilities is part of Saudi Aramco’s plan to diversify its business from crude oil into chemicals, unconventional gas and renewables.
South Korean GS Engineering & Construction is the main contractor for the project.
Jang In-Cheol, instrument lead engineer, says this is one of the company’s biggest projects
“So we need trusted partners to work with us. We have completed several successful projects globally with Metso. They understood what we needed in this project and could provide, for example, with the engineering support and services we needed. We know from experience that Metso can provide reliable and high quality products that contribute to our goals in efficiency and environmental aspects.”
Sales Manager John Lee, automation, Metso, said: “The order is one of Metso’s biggest orders to the Saudi Aramco projects. We believe that this helps us in further building our relationship with Saudi Aramco.”
Metso received this order during 2013 and the deliveries will take place during 2014.
Metso has a long track record of delivering engineered performance and reliability to the oil and gas industry through its leading product brands.
Rabigh Refining and Petrochemical Company (Petro Rabigh), jointly founded by Japan’s Sumitomo Chemical Company (Sumitomo Chemical) and Saudi Aramco, is operating the Rabigh I Project, an integrated refinery & petrochemicals complex, in Rabigh.
The current expansion of the facilities, Rabigh-II, comprises the expansion of the existing ethane cracker and the construction of four new petrochemical plants, an aromatic complex and an ethylene cracker de-bottlenecking plant. Operations will start in the first half of 2016.
When completed, Rabigh-II will use an additional 30 million standard cubic feet of ethane per day and approximately 3 million tons of naphtha per year as feedstock to produce a variety of high value-added petrochemical products.
Metso offers a comprehensive range of local capabilities in application engineering, project management, smart technology, and after-market and plant performance services.
This has enabled Metso to steadily grow its presence in the Middle East, especially in Saudi Arabia, Qatar, UAE and Kuwait.
Metso will open a new service center in Qatar in 2014 to further support end-users locally and in neighboring countries.
Metso recently received another significant order in Saudi Arabia for its Neles and Jamesbury valves from Sadara Chemical Company (Sadara), a joint venture between Saudi Aramco and The Dow Chemical Company.
The valves will be supplied to a fully integrated chemicals complex currently under construction by Sadara in Al Jubail.
Metso is a leading process performance provider, with customers in the mining, construction, and oil and gas industries.
Metso is also known for its advanced automation solutions for pulp, paper and power generation.
Metso’s focus is on the continuous development of intelligent solutions that improve sustainability and profitability.

Japan’s households tighten purse strings as sales tax and typhoon hit

Updated 06 December 2019

Japan’s households tighten purse strings as sales tax and typhoon hit

  • Falls in factory output, jobs and retail add to fears of worsening slowdown after Tokyo unveils $122bn stimulus package

TOKYO: Japanese households cut their spending for the first time in almost a year in October as a sales tax hike prompted consumers to rein in expenses and natural disasters disrupted business.

Household spending dropped 5.1 percent in October from a year earlier, government data showed on Friday.

It is the first fall in household spending in 11 months and the biggest fall since March 2016 when spending fell by 5.3 percent. It was also weaker than the median forecast for a 3 percent decline.

That marked a sharp reversal from the 9.5 percent jump in September, the fastest growth on record as consumers rushed to buy goods before the Oct. 1 sales tax hike from 8 percent to 10 percent.

“Not only is the sales tax hike hurting consumer spending but impacts from the typhoon also accelerated the decline in the spending,” said Taro Saito, executive research fellow at NLI Research Institute.

“We expect the economy overall and consumer spending will contract in the current quarter and then moderately pick up January-March, but such recovery won't be strong enough.”

Household spending fell by 4.6 percent in April 2014 when Japan last raised the sales tax to 8 percent from 5 percent. It took more than a year for the sector to return to growth.

Compared with the previous month, household spending fell 11.5 percent in October, the fastest drop since April 2014, a faster decline than the median 9.8 percent forecast.

Analysts said a powerful typhoon in October, which lashed swathes of Japan with heavy rain, also played a factor in the downbeat data. Some shops and restaurants closed during the storm and consumers stayed home.

Separate data also showed the weak state of the economy.

The index of coincident economic indicators, which consists of a range of data including factory output, employment and retail sales data, fell a preliminary 5.6 points to 94.8 in October from the previous month, the lowest reading since February 2013, the Cabinet Office said on Friday.

It was also the fastest pace of decline since March 2011, according to the data.

Real wages adjusted for inflation, meanwhile, edged up for a second straight month in October, but the higher levy and weak global economy raise worries about the prospect for consumer spending and the overall economy.

While the government has sought to offset the hit to consumers through vouchers and tax breaks, there are fears the higher tax could hurt an economy already feeling the pinch from global pressures.

Japan unveiled a $122 billion fiscal package on Thursday to support stalling growth and as policymakers look to sustain activity beyond the 2020 Tokyo Olympics.

A recent spate of weak data, such as exports and factory output, have raised worries about the risk of a sharper-than-expected slowdown. The economy grew by an annualized 0.2 percent in the third quarter, the weakest pace in a year.

Analysts expect the economy to shrink in the current quarter due to the sales tax hike.