Iraq seals deal for Karbala refinery

The Iraqi government has let a contract to a consortium of South Korean firms for the construction of a refinery in southern Karbala Province, Iraq, 100 km south of Baghdad (OGJ Online, Aug. 1, 2011).

The Iraqi council of ministers approved the contract award between the oil ministry’s state company for oil projects and a four-company consortium led by Hyundai Engineering & Construction on Jan. 7, a cabinet statement said.

The 54-month engineering, procurement, and construction (EPC) contract is valued at $6.04 billion.

The planned 140,000-b/d Karbala refinery, which will produce liquefied gas, gasoline, gas oil, fuel oil, jet fuel, and asphalt meeting international standards equivalent to European production, will serve growing domestic Iraqi demand, Iraq’s Minister of Oil Abdulkareem Liaybi said on Jan 9.

Production from the Karbala refinery also will feed the Khayrat power station, which supplies Karbala Province with electricity, according to the oil ministry.

The Karbala project is part of Iraq’s longer-term plan to construct four refineries in an effort to add 750,000 b/d of refining capacity. The additional planned projects include a 300,000-b/d Nassiriya refinery as well as two additional refineries in Maysan and Kirkuk, each with a capacity of 150,000 b/d.

Iraq previously let an EPC contract to Technip for project management consultancy for the Karbala refinery (OGJ Online, June 4, 2013).

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

Logistics Risk Management in the Transformer Industry

Transformers often are shipped thousands of miles, involving multiple handoffs,and more than a do...

Secrets of Barco UniSee Mount Revealed

Last year Barco introduced UniSee, a revolutionary large-scale visualization platform designed to...

The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...