Tatneft selects Fluor to build $5.1bn refinery

12 September 2007 11:22  [Source: ICIS news]

MOSCOW (ICIS news)--Russian oil major Tatneft has selected US engineering firm Fluor Corp to build a planned roubles Rb 130bn ($5.1bn) petrochemical complex in Nizhnekamsk, the company said in a statement on Wednesday.

 

All the parties involved in the project - Tatneft, Fluor Transworld and OAO Taneko - signed a contract in Nizhnekamsk on Tuesday to retain Fluor's engineering services, the statement added.

 

The project will involve the construction of a 7m tonne/year refinery, a 200,000 tonne/year polyethylene (PE) plant and a 600,000 tonne/year ethylene facility by 2010.

 

Project operator OAO Taneko planned to spend Rb3bn on the facility this year and Rb85bn in 2008-2009, according to the statement. The complex was expected come on stream between 2009-2011, it added.

 

In 2006, Tatneft, the project's financial backer, pledged to co-ordinate syndicated loans to fund the petrochemicals complex, while using some of its own finances for 15-20% of the scheme.

 

($1 = Rb25.45)

By: Sergei Blagov
+44 20 8652 3214

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