Lukoil commences construction of gas chemical facility in Russia

Lukoil has commenced construction works on a gas processing plant in Stavropol Territory, Russia.

The plant, which will be part of a larger gas chemical facility, will have a capacity of two billion cubic metres per year. It is scheduled to be commissioned in 2015, along with a 135MW unit on the base of a combined-cycle gas turbine.

The existing ethylene production unit will also be upgraded to process of liquefied gases.

In 2017, Lukoil will commission the second phase of the plant, which will have a capacity of four billion cubic metres per year, a 225,000t/year ethylene production unit and a 225,000t/year polyethylene production unit.

Lukoil president Vagit Alekperov said the new gas chemical facility will allow them to maximise recycling of associated petroleum gas.