Skanska to expand refinery in Brazil for USD 150 M, about SEK 960 M

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March 7, 2008

Skanska has secured a contract to build a hydrodesulphurization (HDS) unit at a refinery in Brazil. Skanska’s contract amount totals USD 150 M, about SEK 960 M, which is included in order bookings for the first quarter.

The customer is Refap, a consortium comprising the state-owned Brazilian oil company Petrobas and privately owned Spanish-Argentine Repsol YPF. This is Skanska’s third project for Refap in the past four years.

The contract covers construction of a hydrodesulphurization (HDS) unit at Alberto Pasqualini refinery (Refap) in Rio Grande do Sul. The facility will have a capacity to process 5,000 cubic meters per day. The scope of the contract includes detail engineering, purchasing, construction, electromechanical installations and assistance with commissioning and start-up of the plant.

The project is part of a nationwide environmental program to reduce sulphur contaminants in petroleum products.

Work begins in April and is scheduled for completion within 30 months.

Skanska Latin America is one of the continent’s leading construction companies and one of Skanska’s most profitable units. Operations focus primarily on construction, operations and services for the international energy industry. In 2007, the company had some 12,000 employees and sales of about SEK 4.3 billion.

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