Duqm Refinery awards three EPC contracts

Three main engineering, procurement and construction (EPC) contracts have been awarded by Duqm Refinery for a new refinery project coming up in central Oman

Duqm Refinery will be set up in the Special Economic Zone adjoining Duqm Port.
Duqm Refinery will be set up in the Special Economic Zone adjoining Duqm Port.

Three main engineering, procurement and construction (EPC) contracts have been awarded by Duqm Refinery, a joint venture between  Oman Oil Company and Kuwait Petroleum International, for a new refinery project coming up in the Al Wusta region of central Oman.

The EPC contract for building the proposed 230,000 barrels-per-day capacity refinery’s main processing plants was awarded to a joint venture of Tecnicas Reunidas and Daewoo Engineering & Construction, the Times of Oman report said.

Petrofac, in a joint venture with Samsung Engineering, won the contract for engineering, procurement, construction, commissioning, training and start-up operations of all the utilities at Duqm.

The contract is worth $2bn and work on the 47-month project will commence shortly, Petrofac said.

The third package for building a product export terminal at the Duqm port, dedicated crude storage tanks in Ras Markaz and an 80km-long pipeline connecting crude tanks with the refinery was awarded to Italy's Saipem. The contract is valued at $800m.

The refinery is expected to start commercial operations in 2021 and will be established in the Duqm Special Economic Zone of the Al Wusta region.

Duqm Refinery said Amec Foster Wheeler (AFW) will be appointed as the project management consultant for the EPC phase of the refinery.

As much as 65% of the crude feedstock for the refinery will come from Kuwait, while the remaining 35% will be supplied by the Sultanate.

The grassroots refinery aims to produce light and middle distillates in addition to naphtha, jet fuel, diesel and LPG as its primary products.

 

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