The new facility is designed to manufacture Vacuum Gas Oil, and reducing the country’s dependence on import of the oil.

Located at Brofjorden near Lysekil in Sweden, the refinery has an annual capacity of around 11 million tons of crude oil.

The EPCm contract follows completion of a feasibility study for the VDU by Amec Foster Wheeler in 2014. The feasibility study confirmed the technical viability of the project.

The firm also completed front end engineering design for the project in 2015.

Amec Foster Wheeler Capital Projects & Asset Management business managing director Nick Shorten said: "I am delighted that we are able to continue our work for Preem on this important facility for them."

Separately, Amec Foster Wheeler, along with its joint venture partner Clough, secured contract from ConocoPhillips to provide asset support, operations and maintenance services to the Bayu-Undan offshore field development, located in the Timor Sea.

Under the three-year contract, the firms will provide services to the Bayu-Undan offshore facilities comprising a floating storage and offloading facility and three fixed platforms, a remote wellhead platform and a compression, utilities and quarters platform (CUQ) and a drilling, production and processing platform.