Statoil has let a contract to Foster Wheeler AG’s Global Engineering & Construction Group to study feasibility of an upgrade of the 203,000-b/cd Mongstad refinery.
Foster Wheeler said the upgrade is expected to include installation of a vacuum distillation unit and new diesel hydrotreaters.
The project aims to address crude-quality flexibility requirements and to increase production of diesel, including ultralow-sulfur diesel.
A study of technologies and costs is due by yearend.
The refinery is owned by Mongstad Refining, in which Statoil holds 79% interest and Shell the rest.