It has now been awarded a US$430 million contract by Bahrain's BAPCO (Bahrain Petroleum Company) to expand the capabilities of an oil refinery in the Middle Eastern country.

The expansion, which would involve the construction of the world's largest hydrocracking unit, is part of BAPCO's plans to increase the production of low-sulphur diesel fuel that would be able to meet strict EU environmental laws. BAPCO is looking to venture into the burgeoning EU market and wants to concentrate on light oil products.

Under the terms of the contract, JGC will provide design, procurement, construction management and commissioning assistance services to BAPCO. It will also build a 60,000 BPSD hydrocracking unit, a hydrogen unit, a sulphur recovery unit and various other offsite facilities and utilities.

In addition, JGC will also revamp BAPCO's existing mild hydrocracking unit and convert it into a 70,000 BPSD monster that will have an ultra-deep desulphurisation unit. The aim of the refit would be to achieve a sulphur reduction level of around 10ppm.

Completion of the entire project is expected to be around the end of 2006.