The state-owned Bahrain Petroleum Company (Bapco) has awarded the US’ Chevron Lummus a contract to build a residue hydrocracker at its Sitra refinery complex in the Gulf microstate.

The deal is worth $82.8m and comes after France’s Technip was awarded a $55m deal to provide front-end engineering and design services for the Bapco refinery’s rehabilitation and expansion project.

Bapco plans to rehabilitate the refinery as well as increase capacity from 267,000 barrels a day (b/d) to 360,000 b/d. The budget for the whole project could be as high as $9bn.