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Tecnicas Reunidas, Daewoo pick WEG for $7bn Duqm Refinery

EPC contractors pick Brazil-HQ'd firm to deliver medium- and low-voltage equipment for Omani project under two agreements

Oman's Duqm Refinery is worth $7bn.
WEG
Oman's Duqm Refinery is worth $7bn.

Brazilian motor, drive, and automation technology firm WEG has secured its biggest oil and gas sector contract to date – from engineering, procurement, and construction (EPC) firms Tecnicas Reunidas of Spain and Daewoo Engineering and Construction from South Korea – with two project framework agreements for Oman’s Duqm Refinery, with the deal including medium- and low-voltage equipment, and the establishment of a service centre close to the 900ha construction site of Duqm Refinery, a $7bn (OMR2.69bn) integrated complex that is being developed through a partnership between Oman Oil Co and Kuwait Petroleum International in Special Economic Zone in Duqm (Sezad).

WEG will deliver all motors and variable speed drives (VSDs) for the project, with the first of its two agreements covering medium-voltage equipment. 

The medium-voltage equipment order includes 12 VSDs and more than 120 electric motors, including four 18-pole synchronous motors, with a combined capacity of 10,500kW, for the hydrogen makeup reciprocating compressors. 

Gas compressors are used in refinery process units to compress hydrogen, WEG explained, adding that reciprocating compressors are used for makeup gas service in high-pressure applications such as hydrocracking. 

The second agreement is related to low-voltage equipment and includes more than 1,300 electric motors and 200 VSDs, WEG said in a statement. 

Duqm Refinery is expected to complete in 2022 and process 230,000 barrels per day of crude oil, primarily producing diesel, jet fuel, naphtha, and liquefied petroleum gas.

Commenting on the contract, WEG’s international director, Luis Gustavo Lopes Iensen, said: “Projects like this require a flawless project management process as purchase orders will be placed by the selected mechanical rotating equipment vendors located worldwide through multiple WEG sales offices.

“To guarantee commercial consistency and technical compliance to the specification, a support team has been established at WEG’s headquarters in Brazil.”

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