Emerson Selected as Main Automation Contractor for Shell floating LNG facility

AUSTIN, TEXAS (July 9, 2010) -- Emerson Process Management, a global business of Emerson (NYSE: EMR), announced today that it has been appointed by Technip Samsung Consortium to serve as Main Automation Contractor for the Shell “Prelude” project, which will potentially be the world’s first Floating LNG (liquefied natural gas) development.  Emerson Process Management was selected by Technip Samsung Consortium due to its Global Framework Agreement with Shell, announced in February 2010.  This is the first project award for Emerson Process Management resulting from its Global Framework Agreement. 

Supporting Technip Samsung Consortium, the project’s overall front end engineering and design contractor, Emerson will be responsible for providing the strategy, design, and engineering of the process control and monitoring technologies to support the production facility.

Floating LNG unlocks gas reserves that would otherwise be stranded as they might be too far offshore.  It is the next step in LNG production, which eliminates the need for transportation pipelines of gas to shore and onshore processing.  The new production facility will operate as an integrated extraction, gas processing, and liquefaction plant, all directly above the gas reserves. 

With rich experience in offshore production and project execution, plus global leadership in LNG automation, Emerson is perfectly positioned to support Shell’s goals for the initial construction project and long-term operational success.

“We are thrilled to support Shell’s vision for Floating LNG production,” said Steve Sonnenberg, president, Emerson Process Management.  “Emerson’s track record of successfully delivering innovative projects like this suits us well for the challenge.” 

The Shell Floating LNG facility is expected to have dimensions of 480 meters in length by 75 meters in width, with a production capacity of 3.5 million to 4 million tons of LNG per year, with the ability to also process and export liquefied petroleum gas and condensate depending on gas composition.  When fully ballasted, the vessel will weigh an estimated 600,000 tons, and it also has the flexibility to relocate to another gas field once production at one gas field is complete. 

The Floating LNG project is located in the remote Browse Basin off the coast of Western Australia.  The project is currently in the engineering and design phase of development and subject to a final investment decision.

Shell and Emerson Process Management entered into a Global Framework Agreement earlier this year, positioning Emerson as a Main Automation Contractor for all of Shell’s operating businesses.  This agreement aligns with Shell’s strategy to reduce traditional project bidding in favor of strategic relationships and is consistent with industry trends toward collaborative, performance-based engagements that improve value for both supplier and customer.

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About Emerson
Emerson (NYSE: EMR), headquartered in St. Louis, Missouri (USA), is a global technology and engineering company providing innovative solutions for customers in industrial, commercial, and residential markets. Our Emerson Automation Solutions business helps process, hybrid, and discrete manufacturers maximize production, protect personnel and the environment while optimizing their energy and operating costs. Our Emerson Commercial and Residential Solutions business helps ensure human comfort and health, protect food quality and safety, advance energy efficiency, and create sustainable infrastructure. For more information visit Emerson.com.


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