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FEED contract signed for Dung Quat oil refinery expansion project

NDO - Binh Son Refining and Petrochemical Company Ltd (BSR) and UK’s Amec Foster Wheeler Energy Limited on August 28 signed a Front End Engineering Design (FEED) contract for the Dung Quat oil refinery in Quang Ngai province.

The FEED contract is part of the US$1.8-billion project on the expansion and upgrading of the Dung Quat oil refinery to increase its refinery’s capacity from 6.5 million to 8.5 million tonnes per year.

The FEED contract has a total value of US$25.6 million which will be carried out over 15 months from August 2015 to November 2016. The FEED is a very important part of the expansion project and is the basis for implementing design work, procurement, installation of machinery and equipment and the upgrade of the plant in the future.

In the past, Amec Foster Wheeler Energy Limited also won the FEED contract for the building of the Dung Quat oil refinery and the Nghi Son oil refinery.

Dung Quat oil refinery began operations in May 2010 and was designed to process 100% of the crude oil from the Bach Ho oil field with a capacity of 6.5 million tonnes per year.

The US$1.8-billion project on the expansion and upgrading of Dung Quat oil refinery will be implemented within 78 months and completed in 2021 with the aim of increasing the stable supply of petroleum products in accordance with the Euro 5 standards.