An engineering unit of China National Petroleum Corporation (CNPC) won a $620m contract to build Cambodia’s first oil refinery, China’s official Xinhua News Agency reported, according to Reuters.

Northeast Refining and Chemical Engineering Company (CNPCNE) is scheduled to complete building the first phase of the project of 2m tonnes per year –or about 40,000bp/d– by 2018. The refinery, located in Cambodia’s southwestern Preah Sihanouk province, will be further expanded to 100,000bp/d at a total cost of $3b.

Under the contract, the Chinese firm will carry out detailed engineering design of the project, procure all the equipment and materials necessary, and then construct an oil refinery for the Cambodian Petrochemical Company, wrote.