The US' Veco Corporationis to prepare a feasibility study for the upgrade of the Marib refinery, northeast of Sanaa. The study will be used as a document for financing the expansion, which is to double capacity at the plant. The project is one of several now under study or discussion aimed at expanding local refining capacity.
Veco is working under a 10-month contract that was awarded in December, but the schedule has not yet been defined with the government. It will examine proposals to double the plant's capacity to 20,000 barrels a day (b/d). The study is to be financed by the US' Trade & Development Agency.
The plans echo the proposed expansion of the Aden refinery, which is tied to Yemen's privatisation drive. The envisaged Aden upgrade will increase capacity to 170,000 b/d from 100,000 b/d. Industry sources say there are also proposals on the table for two greenfield refineries to increase capacity in line with Yemen's oil output (see Special Report).