Samsung Engineering has signed a contract for a refinery project in Mexico with PEMEX’s 100 per cent subsidiary PTI Infraestructura de Desarrollo (PTI-ID).
The project is located at Dos Bocas Harbor, Tabasco State 320 km east of Mexico City, will process 340,000 barrels of oil and be completed in around three years once Phase II starts.
The contract was signed at an official signing ceremony in the offices of Secretaría de Energía de México (SENER) - Ministry of Energy (Mexico) in Mexico City by Samsung Engineering’s Mexico Branch Manager JaeJun Yoo and PEMEX’s vice president Dr. Cornejo. The ceremony was attended by Mexico’s Secretary of Energy Rocío Nahle García and Samsung Engineering’s vice president Kyongjin Mun.
The refinery consists of six packages in total and Samsung Engineering received two out of them, Package 2 which includes Diesel Hydrodesulfurization(DHDT) Unit, Gasoil Hydrodesulfurization(HDS) Unit, Naphtha Hydro-treating(NHT) Unit and Naphtha Reformer and Package 3 which includes Fluid Catalytic Cracking (FCC) Unit.
Samsung Engineering’s President & CEO Sungan Choi stated: “Samsung Engineering has an excellent track record in delivering quality plants for PEMEX. We will insure optimal implementation for this project and re-earn the trust of the client for many future joint projects to come.”
The contract is divided into two phases. Phase I includes the development of detailed engineering, development of project execution plan and constructability as well as a cost estimate for Phase II. The contract amount for Packages 2 and 3 are US$84.9 and $57.8 million, respectively. In Phase II the contract is expected to be converted to a total Engineering, Procurement and Construction (EPC) contract.
When Phase I is completed, the project will be conclusively converted to an EPC contract next year after performance of the cost estimate for Phase II. Samsung Engineering said in a statement that it was able to achieve two goals in one step with this project, securing the relationship with PEMEX as regular customer and re-entering the Mexican market with the Dos Bocas Refinery.