Thai Oil awards USD4 billion Clean Fuel Project for Sriracha oil refinery

A consortium involving Italy’s Saipem S.p.A., South Korea’s Samsung Engineering Co Ltd, and UAE’s Petrofac, has won an order valued at about USD4 billion to upgrade Thai Oil’s refinery in Sriracha, Chonburi, on the east coast of Thailand.

The project, which is part of Thai Oil’s Clean Fuel Project (CFP), will transform the existing oil refinery in Sriracha into an environmentally-friendly facility, which will produce higher quality transportation fuels. The project will also increase the refinery’s production capacity from 275,000 barrels per day (bpd) to 400,000 bpd.

The scope of work, which will be completed over a period of approximately four years, encompasses engineering, procurement, construction and commissioning services.

Samsung’s share of the project is valued at about USD1 billion, Petrofac’s and Saipem’s at USD1.4 billion each.

The contract includes improvements and expansion at the existing facility as well as the addition of new complex processing units, all required utilities, and supporting facilities.

“We are delighted to have secured this contract and to be leading the consortium on the delivery of an important project that will enhance the country’s long-term energy stability and economic development, and boost its output of high-quality clean fuels. We look forward to the safe and efficient delivery of this project for Thai Oil,” said Sunder Kalyanam, group managing director for Petrofac’s Engineering & Construction Growth business.

Petrofac has had a presence in Thailand since 2011 and has a contract until 2023 to provide operations and maintenance services for the FPF003 floating production, storage and offloading (FPSO) vessel on behalf of field owner Mubadala Petroleum on the Jasmine Field in the Gulf of Thailand.