SOCAR-KBR joint venture to upgrade Heydar Aliyev Baku oil refinery in Azerbaijan

The SOCAR-KBR joint venture (JV) has secured a project management consultancy (PMC) contract to upgrade the Heydar Aliyev Baku oil refinery in Azerbaijan.

Launched by KBR in 2015, the JV will perform project management services for the oil refinery modernisation project from its offices in Baku with a total investment of $1bn.

SOCAR president Rovnag Abdullayev said: "The Heydar Aliyev refinery reconstruction project is currently one of the most important investments for SOCAR globally, and I am very happy that this project is in the capable hands of one of SOCAR’s own entities,namely the SOCAR-KBR joint venture."

Under the modernisation project, the overall capacity of the refinery will be increased from six to 7.5 million tonnes per year (MTPY). The catalytic cracking unit capacity will also be increased from two MTPY to 2.5MTPY.

The modernisation of the Heydar Aliyev Baku oil refinery is set to begin immediately, with completion expected in late 2018.

SOCAR-KBR board member Jan Egil Braendeland said: "It is very significant that SOCAR-KBR, as an Azerbaijani company, takes on the PMC role for this key project for Azerbaijan.

"KBR has worked on various projects in Azerbaijan since 1994, achieving more than 17 million man hours."

KBR launched the JV to provide design, engineering, technical, consultancy, procurement, construction supervision and project management services for all brownfield and greenfield projects in the Azerbaijan-Georgia-Turkey (AGT) region.