SK E&C wins $1.6-bln Iran refinery deal

Iran

TEHRAN, August 7, 2017 – SK Engineering & Construction has signed a heads of agreement for a USD 1.6-billion revamp of Iran’s Tabriz Refinery, the South Korean company said on Sunday.

Upgrading works will be carried out by a consortium of SK and Iran’s Oil Design Construction Company.

Works will focus on increasing petrol and diesel production at the 110,000-bpd-capacity refinery. The two companies will be responsible for both financing and implementing the project.

The consortium is expected to take 36 months from construction groundbreaking to finish the project.

The plant uses crude oil from the Ahvaz oilfield as feedstock and currently produces mainly gas oil, petrol, fuel oil, naphtha and asphalt.

Projects to raise gas oil production to Euro 4 standards and implement sulphur recovery are underway at the refinery and are expected to be complete in 2018.