Saipem has been awarded a contractfor Front End Engineering Design (FEED) for a new refinery in Hoima, Uganda. The award was made by the Albertine Graben Refinery Consortium and follows the signing of the Project Framework Agreement between the Consortium and the Government of Uganda.
The refinery, which is slated to commence operations in 2020, has been designed for a capacity of 60,000 barrels per day of crude oiland will ensure a hub for refined products for the East African market, thereby contributing to economic growth in the region.
The value of the FEED assigned to Saipem is approximately USD 68 million, with an additional USD 4 million possible for EPC work.
The duration of the FEED project is 17 months, and Ugandan vendors and personnel will be used beginning from the FEED phase.
The contract sees an important positioning for Saipem in East Africa, a geographical area where the company has no consolidated markets, which traditionally have been located in North Africa and central West Africa (i.e. Nigeria, the Congo and Angola).