Bahrain refinery expansion by 2018

25/10/2011 00:00 AST

Bahrain may complete an expansion of its 267,000 barrels per day oil refinery by 2018, its energy minister Dr Abdulhussain Mirza said.

'We are currently visualising the future of the Bahrain refinery...we have already initiated the refinery master plan study in which we are defining the future refinery configuration for implementation by 2018,' Mirza said in a speech at an industry conference late on Sunday.

'As part of this study we are investigating options for increasing refinery crude processing capacity as well as the necessary upgrading of lower value fuel oil proiducts into higher value distillates, ' he added.

Earlier this month, the chief executive officer of Bahrain's state-owned refiner Bapco told Reuters the company will be ready by the first quarter of next year to finalise expansion plans that could boost refining capacity to nearly half a million barrels per day and cost around $6 billion.

The expansion, which is in line with the small, non-OPEC member country's strategy to increase its crude oil production to 100,000 bpd by 2017 from the current 45,000 bpd, is still subject to the Bapco board's approval, expected in 2012.

'It will be in the range of maybe 400,000 bpd,' Mirza told reporters after his speech.

'We have a plan to expand output capacity of the refinery and increase the production of high-value products and cut low-value products and this is part of the strategic plan for the coming years to keep the refinery competitive in the future,' he added.

Reuters