Takreer, Abu Dhabi’s oil refining company inked four agreements worth $9.6 billion (Dh35.25 billion) with four Korean companies to expand its oil refining capacity in Ruwais by the end of 2013, according to WAM the Emirati News Agency.
The agreements are for engineering, procurement, construction and commissioning [EPC] works for five main packages of the Ruwais refinery expansion project, which would increase Takreer’s refining capacity by 417,000 barrels per day and nearly double its production of transportation fuels.
“The plan to increase its refining capacity is in line with Abu Dhabi’s plan to sell intermediate and finished goods to the rest of the world,” commented Dalton Garis, Associate Professor of Economics and Petroleum Market Behaviour at the Petroleum Institute in Abu Dhabi.
Agreements were signed with SK Engineering and Construction Company for the crude oil distillation and associated downstream units package; GS Engineering and Construction Corporation for the residue fluid catalytic cracking unit and associated refining units and marine facilities packages; Samsung Engineering Co. Ltd, for the offsite and utilities package; and Daewoo Engineering and Construction Co. Ltd for the tankage and associated interconnecting piping package.
Takreer currently refine 490,000 barrels per day in Abu Dhabi and Ruwais. The Ruwais Refinery Expansion Project is part of Adnoc’s strategy to develop its downstream industry to meet future requirements.