Foster Wheeler was awarded a contract by Statoil to undertake a feasibility study for the upgrade of Statoils Mongstad refinery in Norway, officials said on Thursday.
The Foster Wheeler contract value was not disclosed and was included in the companys second-quarter 2013 bookings.
Foster Wheelers scope includes performing high-level process simulations to identify the optimum technical solution for the refinery upgrade, and production of a detailed study report and a total installed cost estimate. The study is scheduled for completion at the end of 2013.
This award strengthens Foster Wheelers excellent relationship with Statoil, said Umberto della Sala, chief operating officer of Foster Wheeler. We will apply our in-depth refining expertise and technology know-how to assist Statoil in developing a viable plan for implementing its refinery upgrade, in line with its objectives.
The refinery upgrade project by Statoil aims to address crude feedstock flexibility requirements and to increase diesel production, including the production of ultra-low-sulfur diesel. The upgrade is expected to include the installation of a new vacuum distillation unit, together with new diesel hydrotreaters.
"This is an important project for Statoil to improve the competitiveness of the Mongstad refinery,' said Statoil strategy manager Lars Thorstholm. "Statoil are looking forward to benefitting from Foster Wheeler's comprehensive refining and hydrocarbon process technology expertise."