Pemex lets contract for Madero refinery

Mexico’s Petroleos Mexicanos (Pemex), through its processing subsidiary Pemex Transformacion Industrial (formerly Pemex Refinacion), has let a contract to Fluor Corp. unit ICA Fluor’s industrial engineering-construction joint venture with Empresas ICA SAB de CV for work related to construction of a hydrodesulfurization (HDS) plant as part of the second phase of the country’s ultralow-sulfur diesel (ULSD) project at the 190,000-b/d Francisco I. Madero refinery in Ciudad Madero, Tamaulipas.

ICA Fluor will deliver detailed engineering, procurement, construction, commissioning (EPCC) and startup services for two 25,000-b/d HDS trains and associated installations under Phase 2 of the refinery’s clean diesel project, Fluor said.

In addition to installation of new hydrogen, sulfur recovery, and sour water treatment plants, ICA Fluor’s scope of work will include a revamp of the refinery’s existing HDS unit, as well as offsites and utilities that will be used integrate the new production site with Madero’s current operations.

Fluor, which booked its $500-million share of the EPCC contract during fourth-quarter 2015, valued the overall contract at $1 billion.

Madero’s Phase 2 clean diesel project is scheduled to be completed during first-quarter 2018, the service company said.

This latest contract follows Pemex’s previous award in 2014 to ICA Fluor for the ULSD project at Madero (OGJ Online, Sept. 15, 2014).

In late 2015, Pemex said it would spend a total of $3.9 billion to build 19 plants and modernize 17 existing units at all six of its Mexican refineries as part of its nationwide ULSD program in an effort to help reduce the country’s need for ULSD imports (OGJ Online, Dec. 9, 2015).

Contact Robert Brelsford at rbrelsford@ogjonline.com.

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