DL E&C and S-Oil Participate in 'Shahin Project'... 1.4 Trillion KRW Order Received

World's First TC2C Plant Construction Executed
Recognized for EPC Capabilities in Refining and Petrochemical Plants

DL E&C is participating in the largest domestic petrochemical project in history, the Shaheen Project. On the 10th, DL E&C announced that it will take part in the TC2C (Thermal Crude to Chemical) and existing plant connection construction work in Package 1 of the Shaheen Project.

Ulsan S-Oil Residual Oil Upgrading Facility Completed by DL E&C (Photo provided by DL E&C)

DL E&C is participating in the project by acquiring part of the Package 1 construction work from the Hyundai Construction consortium. Package 1 is worth a total of 5.4 trillion KRW. DL E&C's share is 26%, with the transfer amount approximately 1.4 trillion KRW. The construction period is 42 months, with completion scheduled for 2026.

Promoted by S-Oil, this project is the largest ever in the domestic petrochemical industry, involving an astronomical cost of about 9.2 trillion KRW. DL E&C, Hyundai Construction, Hyundai Engineering, and Lotte Construction are participating in the project. The goal is to build refining and petrochemical facilities within the Ulsan Onsan National Industrial Complex to increase the production ratio of petrochemical products from the existing 12% to 25%.

DL E&C will carry out the ‘TC2C’ construction, considered one of the core processes of the Shaheen Project. This technology was developed by Saudi state-owned company Aramco, the largest shareholder of S-Oil, and the American company Lummus Technology, and is expected to be commercialized for the first time in the world through the Shaheen Project. TC2C is a technology that converts crude oil into petrochemical raw materials by decomposing low-value fuel oil products produced in existing refining processes to produce naphtha, a raw material for the petrochemical business. It is expected to increase naphtha production yield by more than five times compared to existing refining processes.

Since this construction is the first attempt in the world, it required extensive experience in various refining and petrochemical plant fields as well as advanced design technology. In particular, experience in projects involving the installation of various high-temperature and high-pressure facilities was essential. DL E&C was recognized for its experience in projects such as the Saudi Yanbu Refinery and Oman Sohar Refinery improvement projects, leading to its participation in this project.

A DL E&C official said, "We will once again prove our technology and business capabilities accumulated around the world through the largest domestic petrochemical project," adding, "We will focus DL E&C’s EPC execution capabilities and do our best to commercialize the TC2C technology for the first time in the world."