Commenting exclusively to Libya Herald on the signing of a contract on 26 March by Zallaf Libya Oil and Gas Company and Honeywell UOP for the implementation of the South Refinery, the Zallaf Chairman, Hussein Ali Abuslayana, said that the agreement came as a result of the effort made by the National Oil Corporation (NOC), headed by Farhat Bengdara, for the actual start of this vital project in the Libyan south, which will lead to spatial development that will benefit the entire Libyan south.
The first phase: FEED
Abuslayana added that the project consists of two phases, the first phase is the Front End Engineering Design (FEED) which is conducted after the completion of the concept and feasibility study where all options will be assessed. This is the phase for which a contract was signed with Honeywell UOP.
The Second phase
Meanwhile, for the second phase, he explained, another contract will be negotiated to carry out installation works and final tests for the refinery, and Honeywell UOP will supervise the installation process.
South refinery project part of NOC’s new vision
Abuslayana said the signing of the contract for the implementation of the South Refinery comes among other steps within the new vision adopted by the NOC. It is also a translation of the promises made by the NOC Chairman to expedite the establishment of the South Refinery to alleviate the suffering, provide fuel, and assist in the spatial development of the regions of the south.
Refinery to be constructed in Ubari near power station
He confirmed that the South Refinery will be constructed in Ubari, located about 6 km east of the Ubari power station.
30,000 barrels per day
The refinery will be designed to process about 30,000 barrels per day of crude oil, and produce traditional petroleum products such as regular, unleaded, and low-sulphur petrol. It will also produce recycled and traditional gasoline for the local markets, jet fuel, diesel, liquefied petroleum gas (LPG) for domestic and industrial uses, power generation fuel, and asphalt.
How will the refinery be fed with raw material?
On supplying the refinery with raw material, Abuslayana said there are many pipelines of crude oil and main products in the region, in addition to the use of trucks equipped and prepared for this purpose.
Social responsibility policy in region
Abuslayana said Zallaf had developed a strategy related to social responsibility in the vicinity of the refinery. He stressed that the safety and quality of life of citizens in the communities surrounding operations and employees is the main focus of operations in Zallaf Company. For this reason, Zallaf strives to always work in a safe, reliable and environmentally sound manner, he added.
The refinery will create direct and indirect jobs
The refinery will provide direct jobs at the facility, and it will also open prospects for jobs and businesses in direct and indirect forms in the region, he explained. This will be reflected in the overall economy of Libya as well as on the well-being and prosperity and development of the region. He said Zallaf will conduct an extensive socio-economic study of the impact of the refinery on the economic and social life in the south in general.
Zawia and Ras Lanuf refineries will also be assessed
In a previous statement, NOC chairman, Farhat Bengdara, said that through the contract with Honeywell UOP, the NOC seeks to increase the production capacities of the refineries in Zawia, as well as find suitable solutions available for the Ras Lanuf refinery.
Self-sufficiency in fuels
He said Libya hoped to reach self-sufficiency in fuels and stop importing them from abroad, in view of their high cost.
Refinery will be commissioned 36 after signing of contract
The South Refinery will be commissioned after 36 months from the date of signing the contract, Bengdara had said.
