Last checked at 25 Nov 2013 08:22
Press Release
Monday 25 November 2013
PETROFAC / DAELIM AWARDED US$2.1 BILLION REFINERY IMPROVEMENT PROJECT IN OMAN
Petrofac, the international oil and gas services provider, in a 50/50 joint venture with Korean based Daelim Industrial Co Ltd (Daelim) has been awarded a 36 month Engineering, Procurement and Construction (EPC) contract by Oman Oil Refineries and Petroleum Industries Company (ORPIC). The contract value is US$2.1 billion.
Located in the Sohar Industrial Area, 230 km North West of Muscat, the scope of work encompasses engineering, procurement, construction, start-up and commissioning services at the refinery. The contract includes improvements at the existing facility as well as the addition of new refining units.
The refinery was originally constructed and commissioned in 2006 and ORPIC is now investing in improvements at the site to enhance the current production capacity. When complete, it is anticipated that the revamped facility will increase current output by more than 70%.
Subramanian Sarma, Managing Director of Petrofac's Onshore Engineering & Construction business, commented: "Partnering with Daelim to deliver this project leverages our respective delivery capability for the refinery market, complementing our existing track record. We have also been executing projects in Oman since 1988, having a detailed appreciation for the operating environment. ORPIC is a new customer for us and we look forward to strengthening our relationship as the project progresses."
CK Lee, President and CEO of Daelim's overseas business development, commented: "Combining our strengths with those of Petrofac provided a compelling and competitive proposal for the project. As one of our core markets, we have extensive experience in the Middle East and are delighted to be taking that expertise into Oman for ORPIC. We also share the same ethos as Petrofac in our commitment to developing the local energy sector and look forward to working with them to deliver the project."
Most recently, Petrofac has completed the Kauther depletion compression project in Oman which it was executing for Petroleum Development Oman (PDO), on behalf of the Government of Oman.
For further information contact:
Jonathan Low
Head of Investor Relations
Petrofac
Jonathan.low@petrofac.com +44 (0) 20 7811 4930
Alison Flynn
Head of Media Relations
Petrofac +44 (0)207 811 4913
alison.flynn@petrofac.com
Tulchan Communications Group LLP +44 (0) 20 7353 4200
Martin Robinson
Stephen Malthouse
petrofac@tulchangroup.com
Notes to Editors
Petrofac
Petrofac is a leading international service provider to the oil and gas production and processing industry, with a diverse customer portfolio including many of the world's leading integrated, independent and national oil and gas companies. Petrofac is quoted on the London Stock Exchange (symbol: PFC).
Petrofac designs and builds oil and gas facilities; operates, maintains and manages facilities and trains personnel; enhances production; and, where it can leverage its service capability, develops and co-invests in upstream and infrastructure projects. Petrofac's range of services meets its customers' needs across the full life cycle of oil and gas assets.
With more than 18,000 employees, Petrofac operates out of seven strategically located operational centres, in Aberdeen, Sharjah, Abu Dhabi, Woking, Chennai, Mumbai and Kuala Lumpur and has a further 24 offices worldwide.
For additional information, please refer to the Petrofac website at www.petrofac.com.
Daelim
The Daelim Group began with the establishment of Daelim Industrial in 1939. This flagship unit leads the engineering & construction and petrochemical operations. Daelim consists of 13 affiliates together with organisations devoted educational and cultural pursuits. The Group's activities span building & housing construction, civil engineering, industrial facilities, petrochemicals, information & communications, automobiles, education and cultural activities. Daelim's corporate philosophy stresses the ideal of improving people's lives by offering customers the highest possible value.
For additional information, please refer to the Daelim website at www.daelim.co.kr