Fluor Daniel Wins Pact in Philippines : Oil: The Fluor Corp. subsidiary will expand a refinery in a project valued at $400 million. The award is the largest single contract for the company in that country.
IRVINE — A Fluor Corp. unit has been awarded a contract valued at $400 million to expand an oil refinery in the Philippines for a subsidiary of the Netherlands-based Royal Dutch/Shell Group.
The project for Pilipinas Shell Petroleum Corp. is the largest single contract for Fluor in the Philippines, said Fluor spokeswoman Deborah Land.
The expansion will nearly double the capacity of the Tabangao refinery from 65,000 barrels of oil a day to 110,000 barrels by mid-1994, when the project is scheduled for completion, said Dennis G. Bernhart, group executive at Fluor Daniel, the principal subsidiary of Fluor Corp. He said the refinery will supply oil for the Philippines market.
Fluor Daniel will provide project and construction management, design and engineering work. Bernhart said about 350 engineers and support staff at the company’s Irvine office will work on the project, along with about 4,000 Filipino construction workers.
Engineering work is being done at Fluor’s Irvine and Manila offices. Construction is expected to start in late 1992, he said.
The refinery--75 miles south of Manila--is 67%-owned by Pilipinas Shell, with the balance held by Filipino shareholders.
“With Royal Dutch financing the project . . . this contract will likely go ahead,” Bernhart said.
Recently, Fluor won a similar contract with Pertamina, Indonesia’s state oil company. But financing problems have resulted in delays on that project, he said.
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