MOSCOW (MRC) -- Azerbaijan’s state oil company SOCAR has signed an EPC (Engineering, Procurement and Construction) contract with Spanish engineering company Tecnicas Reunidas for reconstruction of units at the Heydar Aliyev Baku Oil Refinery as part of its modernization, said a message posted on SOCAR website Dec. 19, as per Trend.
The refinery is being modernized in order to produce high-quality fuel. The modernization will continue until 2021. "SOCAR-KBR LLC, a contractor for management of the modernization project, has selected the Spanish company Tecnicas Reunidas as a winner of a tender on an EPC contract for reconstruction of units and general production facilities," the message said.
The signing ceremony was attended by SOCAR President Rovnag Abdullayev, Vice President for Strategic Development Tofig Gahramanov, Vice President for Refining David Mammadov, Vice President for Economic Issues Suleyman Gasimov, Director General of the Heydar Aliyev Baku Oil Refinery Elman Ismayilov, First Executive Vice Chairman of the Board and CEO at Tecnicas Reunidas Juan Llado Arburua, Tecnicas Reunidas Director General for Corporate Development Enrique Ruben Alsina Massana and others.
The contract was signed by Director General of the Heydar Aliyev Baku Oil Refinery Elman Ismayilov and Director General for Corporate Development at Tecnicas Reunidas Enrique Ruben Alsina Massana.
Ten international companies participated in the tender for selection of an EPC contractor for reconstruction of units at the refinery.
The cost of modernization of the refinery is estimated at about USD1.5-1.7 billion. The exact cost will be known once all EPC contracts are awarded.
After modernization, the production capacity of the refinery will increase from 6 million to 7.5 million tons per year, and its operational period will increase to 2040.