Duqm Refinery signs deals with EPC contractors

Muscat - 

Duqm Refinery announced the signing of three major contracts with engineering, construction and procurement (EPC) contractors for the construction of the 230,000 barrels per day refinery in Duqm.

According to a press statement posted on Duqm Refinery’s website, the refinery’s EPC scope of work was divided into three separate packages. The scope of the first EPC contract included the process units of the refinery, while the second EPC contract consisted of the utilities and offsite facilities. Third EPC contract included the product export terminal at Duqm port, the Duqm

Refinery dedicated crude storage tanks in Ras Markaz, and the 80km interconnecting pipeline from these crude tanks to Duqm Refinery.

The first EPC package (process units) has been awarded to a joint venture of Técnicas Reunidas and Daewoo Engineering & Construction. The second EPC package (utilities and off-sites) has been awarded to the joint venture of Petrofac International and Samsung Engineering. Third EPC package (off-site facilities) has been awarded to a joint venture between Italian company Saipem SpA and CB&I.

The contracts have been awarded by Duqm Refinery and Petrochemical Industries Co, a joint venture between Oman Oil Co and Kuwait Petroleum International. The initial mobilisation of both Duqm Refinery and the contractor personnel is scheduled to commence in the third quarter of 2018.

In a separate press release on its website, Saipem SpA confirmed that it has been awarded a contract worth US$750mn for EPC and commissioning under package 3 (offsite facilities) in the framework of the development of the Duqm Refinery in Oman.

The signing ceremony was attended by H E Yahya al Jabri, chairman of the Special Economic Zone Authority at Duqm, in the presence of Eng Isam al Zadjali, CEO of Oman Oil, Eng Nabil Bourisli, chairman of Duqm Refinery and president of Kuwait Petroleum International, and Eng Hilal al Kharusi, deputy chairman of Duqm Refinery.

Bourisli said, “This mega project will ultimately lead towards transforming Duqm area into one of the most important hubs for encouraging and promoting energy related industries regionally as well as internationally.”

Kharusi, said, “This is indeed a very important milestone for the project, it signifies the seriousness of the shareholders decision to proceed on the project. This project will boost the developments efforts in Duqm.”

He further added “The financing of the project has reached an advanced stage and we aim to issue a notice to proceed to contractors very soon.”

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