On February 2, Hyundai Engineering signed a contract for a project to upgrade an oil refining factory in Malacca, Malaysia, worth USD 350 million (about KRW 375 billion), with the Malaysian Refining Company Sdn Bhd, a company affiliated with Malaysia’s state-run oil company, Petronas.

The project entails constructing facilities to reduce the content of sulfur in diesel produced at the existing oil refining factory inside the complex in Malacca, Malaysia, so it could reach a Euro 5 grade level. It is aimed to upgrade relevant utilities and offsite facilities.

Hyundai Engineering will conduct the entire process using the Engineering, Procurement, Construction (EPC) turn key method, and the construction will take 34 months to complete.

The upgrading in this rather difficult project will include not only the construction in a confined space inside an industrial complex where the existing factory is located, but must also be completed during a temporary halt in factory operation. In addition, it requires cutting-edge technology to smoothly connect the processing between the existing factory and the facilities to be newly established.

Both the successful construction of additional crude oil processing facilities in Kiyanly, Turkmenistan, in 2016, and the successful completion of a project to upgrade a gas processing plant in Malaysia, which Petronas placed an order for in 2014, played an important role in the company’s project implementation capacity being acknowledged and in obtaining the order for the current project.

Meanwhile, Hyundai Engineering is constructing two power plants, that is, a coal fired power plant of 2,000MW and a combined cycle power plant of 2,242MW nearby the current project’s site.

About Hyundai Engineering

Hyundai Engineering (HEC), established in 1974, has core competency covering overall project life cycle comprised of feasibility study, basic & detailed design, procuring, commissioning and operation & maintenance and has been acknowledged for its extensive experience and accumulated technologies over the world.
Furthermore HEC is now providing comprehensive engineering & construction solutions for plant and infrastructure projects including building and housing work. HEC will continue keeping its incomparable stature as a leading global company by increasing customer value with exceptional efforts and better service.

About Petronas

PETRONAS (Petroliam Nasional Berhad) is Malaysia’s fully integrated oil and gas multinational ranked among the largest corporations on FORTUNE Global 500®. Established in 1974, PETRONAS now has a presence in more than 65 countries and operates among the top oil and gas companies in the world.

Steadily driving new solutions and pushing boundaries, we add value to oil and gas resources in a manner that carefully balances commercial, environmental and social considerations.