Bids in for DHDS project

26 October 2001

Six international contractors submitted bids on 5 November for the contract to build a diesel hydro-desulphurisation (DHDS) unit at the Mina al-Fahal refinery. Eight companies were prequalified for the engineering, procurement and construction (EPC) contract, but two Japanese contractors did not participate in the final round of bidding. They are Mitsui & Companyand Chiyoda Corporation. The client is Oman Refinery Company (ORC - MEED 9:11:01).

The $25 million-30 million project calls for the supply and installation of a 15,000-barrel-a-day DHDS, amine treating and sulphur recovery unit, as well as associated pumps and equipment. Work is expected to take 18 months. The US' Halliburton KBRcarried out the front-end engineering and design (FEED) for the project.

The refinery, which was opened in 1982, has the capacity to process 85,000 b/d of oil. Output is mainly used to meet local demand for gasoline, jet fuel, diesel, kerosene, liquefied petroleum gas (LPG) and bunker fuel. The new units will process 50 parts per million sulphur-carrying diesel, producing pure sulphur, which can then be used in a number of industries including petrochemicals. ORC expects to award the EPC contract early next year.

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