UAE's ADNOC to invest $3.1 bln to upgrade Ruwais oil refinery (updated)

Samsung E&A Co

07/02/2018 12:39

(Adds quotes, details) 
    DUBAI, Feb 7 (Reuters) - Abu Dhabi National Oil Company 
(ADNOC) said on Wednesday it was investing $3.1 billion to 
upgrade its Ruwais oil refinery to free up more crude for export 
from its flagship Murban grade. 
    The refinery modification, known as the Crude Flexibility 
Project (CFP), is scheduled to be completed by the end of 2022, 
ADNOC said in a statement.  
    The project will enable ADNOC's Ruwais Refinery-West complex 
to process up to 420,000 barrels per day of the Upper Zakum 
crude, or similar grades, freeing up more exports from ADNOC's 
Murban crude, which is sold at a premium, the company said. 
    "Enabling the Ruwais Refinery-West to process Upper Zakum, 
or similar, medium sour crude, in place of Murban light sweet 
crude, will allow us to extract greater value from our crude 
resources," Abdulaziz Abdulla Alhajri, director of ADNOC's 
downstream department said.  
    "It will mean we can maximise the benefit of price 
differentials to enhance refinery margins, improve the middle 
distillate products and release valuable Murban crude into the 
market." 
    The planned modification will add an Atmospheric Residue 
De-Sulphurisation (ARDS) unit to enable the refinery to process 
other types of crudes. 
    ADNOC awarded an engineering and construction contract to a 
joint venture between South Korea's Samsung Engineering 
 028050.KS  and CB&I from the Netherlands, it said. 
 
 (Reporting by Rania El Gamal, editing by Louise Heavens) 
 ((rania.elgamal@thomsonreuters.com; +971 562 160 434; Reuters 
Messaging: rania.elgamal.reuters.com@reuters.net ; Twitter: https://twitter.com/Rania_ElGamal)) 
 
Keywords: ADNOC REFINERY/INVESTMENT