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Oil and gas contract announcements: 22 July 2014

Hydrocarbon Engineering,

Monroe Energy

Monroe Energy LLC, a subsidiary of Delta Air Lines, has entered into a five year agreement with Bridger, LLC, a leading midstream energy, company to supply 65 000 bpd of domestic crude oil to the Trainer refinery in Pennsylvania. The agreement, which will supply approximately one third of the crude oil refined daily at the facility, is a significant step in Delta’s strategy to manage the cost of jet fuel, which is the airline’s Number one expense. The lower cost domestic crude from the Bakken oilfields in North Dakota replaces more expensive crude that historically has been shipped to the refinery form overseas.

Graeme J. Burnett, senior vice president of Fuel Optimisation for Delta and Chairman of Monroe said, ‘this strategic agreement with Bridger is a key milestone in our strategy to manage the cost of jet fuel. By combining this transaction with our other sources of domestic crude supply, we expect to meet our goal of a minimum of 70 000 bpd of domestic crude sources at the refinery. Supplying a third of the crude refined at Trainer from the Bakken further reduces the overall cost of fuel for Delta, adding to the significant benefits we already see from Monroe Energy, in combination with our robust fuel hedging program, fleet efficiency improvements and fuel conversion efforts.’

Quantum Fuel Systems

Quantum Fuel Systems Technologies Worldwide, Inc., has announced that it has received approximately US$ 600 000 in purchase orders over the past weeks for its light weight natural gas storage systems from the Wheeltime network. The network is comprised of 18 member networks with a reach into over 180 installation and service locations in the US. Quantum has been the exclusive supplier of compressed natural gas (CNG) storage systems to the Wheeltime Network for aftermarket system conversions and is now expanding the relationship to include system installs on new OEM level trucks.

Installations of these systems are performed at location. Under an agreement that began two years ago, Quantum and Wheeltime have been training and educating the network locations on installs, maintenance and service. A this relationship expands, the program has the potential of including all member locations an can provide the industry with the needed support for ongoing service.


Rolta has announced that it has been awarded an additional scope of work by Sadara Chemical Company to implement a comprehensive engineering information system within Sadara’s Jubail integrated chemical complex. This multi million dollar award of additional scope is an amendment to the contract which was awarded earlier and which was also multi million dollars in value. Rolta was selected for this challenging project based on its unique combination of world class capabilities in engineering and information technology. The project is being managed by a global Rolta team working out of the US, India and Saudi Arabia.

With a total investment of approximately US$ 20 billion, Sadara is now building and will own and operate an integrated chemical complex in Jubail Industrial City II in Saudi Arabia. Comprised of 26 world scale manufacturing units, the Sadara complex will possess flexible cracking capabilities and will produce over 3 million tpy of high value added chemicals and performance plastics products.


ZeoGas LLC has entered into a license agreement to use ExxonMobil Research and Engineering Company’s methanol to gasoline technology in the development of a natural gas to gasoline plant on the US Gulf Coast. ZeoGas is developing a portfolio of projects to convert natural gas to gasoline to take advantage of the abundant and relatively low cost of natural gas in North America. Coupled with the 5000 tpd of planned methanol production, ZeoGas will produce more than 16 000 bpd of ASTM spec, 87 Octane gasoline with zero sulfur and approximately 50% less benzene than allowable standards.

ExxonMobil’s methanol to gasoline technology was first commercialised in 1985 by New Zealand Synfuels, a 14 500 bpd gas to gasoline plant in New Zealand.

Edited from various sources by Claira Lloyd

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