A joint venture comprising TechnipFMC, Samsung Engineering and Tecnicas Reunidas has bagged a $4.2bn worth contract from Bahrain Petroleum Company (Bapco) for the expansion and modernization of the Sitra Refinery in Bahrain.

Located on Bahrain’s Eastern coast, on the island of Sitra, the crude oil refinery has a current capacity of 267,000 barrels per day (BPD). Through the expansion program, the Sitra oil refinery’s capacity is expected to move up to 360,000BPD.

Apart from the increased capacity, the expansion of the refinery will be carried out to improve energy efficiency, valorization of the heavy part of the crude oil barrel and enhance the products slate. 

The expansion and modernization of the refinery will be implemented on engineering, procurement, construction and commissioning (EPCC) lump sum turnkey basis and is scheduled to be completed in 2022.

TechnipFMC Onshore Offshore business president Nello Uccelletti said: “We are honored to be the leader of this joint venture entrusted for the execution of this prestigious contract that represent a testimonial of the long-term partnership with Bapco and strengthen our leadership in the refining sector.

“This award is one of the strategic “early engagement” achievement, following the successful completion by TechnipFMC of the FEED contract.”

Tecnicas Reunidas, on its part, will carry out detail engineering of complex units of the refinery like the crude unit, hydrocracker, vacuum unit, saturated gas plants 1&2, and other auxiliary facilities. The Spain-based general contractor, which will also take part in the procurement and construction activities for the project, will get $1.35bn as part of its share.

Tecnicas Reunidas stated: “The investment in refineries upgrade is an ongoing trend in the refining industry, as enhancing profitability is key for maintaining the competitiveness of existing facilities.

“Técnicas Reunidas’ strong execution capabilities in this type of strategic investments, like the one of BMP, are crucial for the development of the oil and gas industry and adds this project to its extended track-record on refining.”

Image: The BMP project will see the existing Sitra oil refinery expand its capacity from 267,000 to up to 360,000bpd. Photo: courtesy of Witthaya Phonsawat/FreeDigitalPhotos.net.