Dubai's ENOC Group has announced that it has awarded the final contract of three packages that comprise its $1 billion refinery expansion programme.
The Engineering, Procurement and Construction (EPC) contract includes the construction of various interconnecting pipelines between the refinery’s processing units, the storage tanks and the berth facilities within Jebel Ali Free Zone (JAFZA).
The contract was awarded to Overseas-AST, ENOC said in a statement
The pipeline will carry jet fuel, isomerate, and light and heavy naphtha and run in a dedicated pipeline corridor through JAFZA, it added
The refinery expansion project was announced in September 2016 with the main EPC contract for design and construction of the refinery’s new ancillary units awarded to Technip Italy.
The second EPC package was awarded earlier this year to Rotary Engineering Fujairah to construct 12 new storage tanks. The expected date for commercial production is the fourth quarter of 2019.
Once the expansion project is completed, the production capacity of the refinery will go up to 210,000 barrels per day (bpd) from the current 140,000 bpd, enabling ENOC to meet the needs of the market and the wider industry.
Saif Humaid Al Falasi, Group CEO of ENOC, said: “The expansion of the Jebel Ali refinery plays a key role in the region’s downstream strategy for exports and increasing domestic use.
“The refinery’s expansion is part of the Group’s five-year strategic plan to secure uninterrupted energy supply in the UAE to the highest levels of efficiency and reliability. The final phase of the expansion also brings us a step closer to meeting the growing demand for clean energy and petroleum products locally as manufactured products will meet stringent Euro 5 standards,” added Al Falasi.
Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.