Report

 

Subject:                     Two Reports from China

Date of Email report:   Mon 16/02/2009

Report Detail:

LNG Pneumatic Test  - Kills Worker, Injures 16 Blast kills worker at Yangshan

By Dong Hui  |   2009-2-7  |     NEWSPAPER EDITION

ONE worker was killed and 15 injured in an explosion on a construction site at Shanghai's Yangshan Deep Water Port yesterday.

The man who died was pierced by a flying steel rod while lying in his dormitory bed. He was pronounced dead at the scene, his co-workers told reporters.

The injured were having lunch when they were hit by flying cement, stone and metal fragments from the blast, which occurred just after noon. "There was a big bang that sounded like an explosion," said a worker who declined to be named.

The worker who died was employed by China National Chemical Engineering No. 14 Construction Co Ltd. Two men suffered fractures and were in stable condition last night, said Nanhui District Central Hospital. The others were released after treatment for bruises. The accident happened at a Shanghai LNG Co Ltd work site on Ximentang Isle, north of the Yangshan Deep Water Port, an international shipping center about 45 kilometers from Pudong International Airport.The explosion occurred when workers were adjusting equipment, according to a spokesman for the municipal work safety authority.

The men were working on a liquefied natural gas terminal that is expected to receive 3 million tons of the fuel annually after the first phase becomes operational this year.When the facility is finished, LNG shipped by sea from Malaysia will be transformed into a gaseous state and sent to downtown Shanghai through pipes.The explosion occurred during a pressure test of the equipment, according to the city government media office. Workers were pumping air into a gasifier when some 500 meters of the piping network burst into fragments, buckling cement crossbeams.

The cause of the rupture was still under investigation last night, the Shanghai Commission of Safety Production said. The general contractor team includes Japan-based Ishikawajima-Harima Heavy Industries Co Ltd, Taiwan's CTCI Co and Wuhuan Engineering Co Ltd, said the media office.

Blast delays Shanghai LNG start-up

By Xu Yihe <mailto:[email protected]

 

An explosion at China’s Shanghai LNG terminal will delay the commissioning of the facilities by about six months, according to industry officials. It will take time to repair equipment damaged in an explosion last Friday that has killed one worker and injured another 16, said the officials to Upstream. The blast took place around midday when fire sparked during the testing of a carburetor.

According to sources the blast has also damaged pipelines in an area covering 500 metres at the terminal. Operated by China National Offshore Oil Corporation (CNOOC), the terminal is due to commission this month with first cargo from Malaysia. The terminal, located in Yangshan deep-water port in Shengsi county, includes three 165,000-cubic-metre storage tanks and a berth able to handle 80,000 to 200,000-tonnage tankers.

The project is a joint venture between Shanghai's Shenergy Group (55%) and CNOOC (45%).

Investors have agreed to buy up to 3.03 million tonnes of LNG per year for 25 years from Malaysian state oil and gas company Petronas, under a deal worth an estimated $25 billion at then market prices.

East Asia - LNG

Shanghai LNG terminal blast kills worker and may delay start up <http:///GAS-MATTERS-TODAY/View-Article//102002>

Start up of the Shanghai LNG terminal could be delayed by up to six months following an explosion that killed one worker and injured another 16. The 3 mtpa phase one of the joint venture between China National Oil Corporation (CNOOC) and Shenergy Group was due to come onstream this year. However, it is believed that the blast – which occurred during routine testing on Friday – damaged associated pipelines and equipment at the Yangshan site which could take some time to repair. The worker is believed to have been killed by debris from the explosion and an investigation is said to be under way.

Shanghai LNG will be fed with LNG from Petronas which signed a deal in late 2006 (estimated to be worth around $25 billion at that time) to supply 3.03 mtpa for 25 years. Although phase one has not be officially commissioned, the terminal has apparently been receiving Malaysian spot cargoes since November to meet demand in the Shanghai region.

Phase two of Shanghai LNG, which will see its capacity rise to 6 mtpa, is scheduled for completion in 2012. –JM

 

Additional Documentation:

Feb2009-ShanghaiLNGTerminalIncidentPhotos