Supervising LOTOS’ refinery extension

22.02.2016

Tebodin has signed a contract with LOTOS Group S.A. in Poland for supervision services for their multidisciplinary project in the EFRA (Effective Refining) investment program. The project consists of a large extension of the existing refinery in Gdansk, with a total investment value of 500 million euros. Extending the refinery entails the construction of a delayed coking unit with additional infrastructure. Main goal is to increase the yield of high-margin middle distillates with a simultaneous decrease in the volume of heavy products. Hence, the refining margin is expected to increase by USD 2/barrel.

LOTOS Group initiated EFRA, the Effective Refining Project, to maximize the volumes and quality of products obtained from each oil barrel. Paweł Olechnowicz, President of the Management Board of LOTOS Group S.A.: ‘With EFRA, we will take our refinery in Gdansk to the highest level of efficient refining. When the new units are integrated with the existing process lines, we will be able to market higher volumes of products which are in strong demand.’

Construction and infrastructure supervision
Tebodin will be responsible for supervising the construction of the delayed coking unit, as well as the hydrogen generation unit, hydrowax cacuum distillation unit, as well as the auxiliary systems. The supervising role also includes monitoring all interconnections (piping), tanks, general infrastructure, underground systems, roads, as well as systems and buildings related to telecommunication, power supply and power distribution. During the peak construction phase, Tebodin’s team will consist of approximately 50 engineers. The completion of the project is scheduled for August 2018.

LOTOS Group S.A., listed in the Polish index WIG30, is a vertically integrated oil company based in Gdansk. Its three activity segments are crude oil production, refining and marketing of oil products. The company is a leader in lubricants on the Polish market and produces unleaded gasoline, diesel, fuel oils, aviation fuels, motor and industrial lubricants, bitumen and waxes. Since 2004, Tebodin is working for LOTOS Group and since 2012 the cooperation is based on a framework agreement.