South Korean DL E&C inks $290 million deal on modernization of Russian refinery

Seoul, March 12 - Neftegaz.RU. According to the South Korean Yonhap, the major builder DL E&C Co. has signed a 327.1 billion-won ($290 million) interim deal to upgrade an oil refinery in Russia.

Under the deal with Russian oil producer Gazprom Neft, DL E&C will build a plant for adding and cracking hydrogen at Gazprom Neft's refinery southeast of Moscow.
Completion is scheduled for the 2nd half of 2024, and the 2-sides plan to seal a formal contract within 3 months, DL E&C announced.

The deal marks DL E&C's 1st overseas contract since the company was renamed from Daelim Industrial Co. on January 1 under its parent's business reorganization plan.

The next stage in the refinery’s development will be the construction of a deep oil refining complex, after which refining depth at the Moscow Refinery is expected to increase to 99%, and the light product yield up to 80%.

In 2014, the South Korean DL E&C made inroads into Russia in line with its strategy to tap into new overseas construction markets.

Meanwhile, DL E&C also said it has clinched a contract with Swiss fertilizer firm EuroChem to design a mammoth methanol plant to be built in Ust-Luga on the northwestern coast of Russia.