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10 March 2016: KBR JV awarded Project Management Contract for Baku Oil Refinery Upgrade

10 March 2016

KBR's joint venture SOCAR-KBR has been awarded a project management consultancy (PMC) contract for the Heydar Aliyev Baku oil refinery upgrade project in Azerbaijan.

This award marks the first major award to the joint venture, SOCAR-KBR Limited Liability Company (SOCAR-KBR LLC), since its inception in mid-2015.

SOCAR-KBR LLC was created to provide design, engineering, technical, consultancy, procurement, construction supervision and project management services for all brownfield and greenfield projects across the upstream, midstream and downstream oil and gas sectors, in the Azerbaijan–Georgia–Turkey (AGT) region. The company was formed to help Azerbaijan's ambition for creating a world-class Azerbaijan based engineering company.

SOCAR-KBR LLC will build upon KBR's long-term project experience in Azerbaijan to perform project management services from its established offices in Baku for the Heydar Aliyev Baku oil refinery modernization project.

The overall refinery capacity will be increased from 6 to 7.5 million tonnes per year. The catalytic cracking unit capacity will be increased from 2 to 2.5 million tonnes per year and Euro 5 standards will be established for all refined products. The upgrade of the Heydar Aliyev Baku oil refinery will begin immediately and will be completed by late 2018, with an estimated capital cost of $1 billion for the total project.