BP awards design contract for Clean Diesel project to Aker Kvaerner Australia

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22 Sep 2003

BP has awarded Aker Kvaerner Australia, part of the Aker Kvaerner group, the contract for the Front End Engineering Design of their Clean Diesel Project for its Kwinana Refinery in Western Australia
Aker Kvaerner Australia has been initially contracted to provide preliminary engineering services, as well as detailed planning and associated activities for the implementation phase, in preparation for full sanction by BP later this year. Estimated at approximately AUD 70 million, the Kwinana Clean Diesel Project involves the integration of a new diesel hydro-treater into BP's Western Australia Refinery.

Working with BP, the pre-sanction activities by Aker Kvaerner Australia will include a wide range of services to support world benchmark targets in capital cost and front-end scores to be measured by an independent assessment.

Subject to full sanction and satisfactory performance, Aker Kvaerner Australia will then proceed with the implementation phase of the project.

BP Kwinana Managing Director, Ms Kathleen Lucas, said "Aker Kvaerner Australia has a long track record of delivering innovative and exceptional outcomes for BP Australia.

"In recent years, this has included the Queensland Clean Fuels Project located at Bulwer Island, as well as the CR2/Isomerisation Conversion Project and the CCR Reformer Complex (CR3) Project also located at Kwinana.

"This prior involvement, coupled with their reputation as one of the world's leaders in the design and construction of major petrochemical and refinery projects, resulted in our decision to appoint Aker Kvaerner Australia for this crucial aspect of the project," she said.

Aker Kvaerner Australia Managing Director, Mr Tom Quinn, said, "We appreciate BP had been assessing and interviewing several companies for this project and are therefore proud that BP decided to proceed with us.

"We see this as a genuine recognition by BP that we are best able to provide the people, systems and corporate capability to deliver on all aspects of this challenging project. We will now demonstrate to BP our ability to deliver these outcomes," he said.

The BP Kwinana Clean Diesel Project is on track to comply with new Australian Government regulations covering diesel product specifications. The project must be operational in time to provide the new product at the point of sale by 1 January 2006.


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