QatarEnergy has awarded a contract for the upgrade of Laffan Refinery 1 to Japan-headquarted Chiyoda corporation. The scope of the project includes front-end engineering of the refinery. It also includes design services for a brownfield project related to modifying pump seals. This is to be done in Laffan Refinery 1 located in Qatar’s Ras Laffan. The company awarded the contract is to provide design services for the project. The duration of the contract is scoped at eight months. The client company is expected to commence on the tendering of other processes related to the project. This include engineering and procurement works that are to be tendered.
The client company will also tender contracts for the construction of the Laffan Refinery 1 and its subsequent upgrade. The company is responsible for the operation of two refineries in Ras Laffan Industrial City (RLIC). Laffan refinery 1 that is due for an upgrade started its production in 2009. The team positioned at the refinery has noted 31 pumps with single seals. This poses a great risk of causing a leak. It also poses a threat for the pumps exploding in future which may be catastrophic for the refinery’s work process. The aim of the upgrade is to replace the seals and replace them with double seals for safeguarding.
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Laffan Refinery 1 is Crucial in Qatar’s Oil Production Prospects and Activities
The upgrade of Laffan Refinery 1 is critical in Qatar’s oil production prospects and activities in the Gulf. It has a total crude oil capacity that is processed at 146,000 barrels a day. The barrels include 61,000 barrels a day (b/d) of naptha and 52,000 b/d of kerojet. It also includes 24,000 b/d of gas oil, and 9,000 barrels a day of Liquid Petroleum Gas (LPG). The major shareholder of Laffan Refinery 1 is QataEnergy at 51 percent majority share. Other shareholders include TotalEnergies and ExxonMobil. Other companies also include Cosmo, Idemitsu, among others that hold shares in the refinery. The upgrade of the refinery will ensure production continues and maybe even increases as QatarEnergy prospect on that happening.
