Contractor picked to build Mongolia’s first refinery
2 October 2023Indian contractor Megha Engineering and Infrastructure (MEIL) has been awarded a $648m contract to build Mongolia’s first greenfield oil refinery.
The agreement was signed in Ulaanbaatar on Friday.
The Hyderabad-based company was chosen as a result of a previous agreement between the two countries.
The refinery will process around 1.5 million tonnes of crude oil a year, producing gasoline, diesel, aviation fuel, and LPG for Mongolia’s domestic market.
Rajesh Reddy, president of MEIL’s hydrocarbons division, said the project will be the company’s third in Mongolia.
As well as the refinery itself, MEIL is overseeing the construction of utilities and plant buildings valued at $600m. It will also build a power plant for the refinery, expected to cost $190m.
The total value of the three projects is put at $1.4bn.
MEIL saidthe refinery will reduce Mongolia’s reliance on Russian oil imports and its vulnerability to fluctuations in international oil markets.
The project manager for the scheme is Engineers India, or EIL. Completion is expected in 2025.
Related
-
CAMCE signed MoU for Djermaya International airport in Chad
18 September 2024
-
Oman announces qualified bidders for the development of wind IPPs
18 September 2024
-
EDF, KOWEPO and Masdar announce financial close of 1.5 GW Al Ajban Solar PV project
18 September 2024
-
Kenya awards $1.3bn power concession to Adani Group and Africa50
16 September 2024
-
GreenGo Energy signed strategic partnership agreement for hydrogen projects in Namibia
16 September 2024
-
Gabon finalises €545m deal to complete modernisation of only railway
15 September 2024