South Korea’s Samsung Engineering Company is the frontrunner for the contract to build the new lube base oil refinery at Sitra, after submitting the lowest offer for the project on 24 April.
Samsung’s bid of $314m is about 11 per cent lower than the next best offer of $349m submitted by Spain’s TR. JGC Corporation of Japan is the only other bidder, with a price of $359m.
The client, a joint venture of Bahrain Petroleum Company (Bapco) and Finland's Neste Oil, is expected to take up to three months evaluating the bid proposals before making an award (MEED 10:4:08).
The engineering, procurement and construction contract calls for the routing of about 12,000 barrels a day of unconverted oil from the existing hydrocracker at the Bapco refinery to the unit which will convert the feedstock to 400,000 tonnes a year of sulphur-free lube base oil, predominantly for export (MEED 13:1:06).
The US’ Jacobs Engineering is the front-end engineering and design contractor for the scheme.
Winning the contract would cap a successful 18 months for Samsung, which has won more than $2bn worth of deals in the region, including two major plant contracts for Saudi Kayan Petrochemical Company in Jubail, the world’s largest single-train ammonia plant for Saudi Arabian Mining Company (Maaden), and the world’s largest olefins conversion unit for Abu Dhabi Polymers Company (Borouge).
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