OREANDA-NEWS. The Gazprom Neft Moscow Refinery has entered into a preliminary agreement with NIPIGazpererabotka (NIPIGAZ) under which the latter will undertake extensive construction and installation works for the commissioning of the refinery’s Euro+ combined refining unit (CRU). Initial costs of these works are expected to be in the order of RUB21 billion (excluding VAT), with final costs to be confirmed following presentation of full project documentation by NIPIGAZ as general contractor.

Construction of the Euro+ CRU represents a key project in the second phase of Gazprom Neft’s full modernisation of the Moscow Refinery. The Euro+ facility is intended for primary oil refining, for the production of high-octane Euro-5 fuels, and for the production of vacuum gas oil. The facility is expected to be commissioned in 2018.

Commissioning of the Euro+ facility is expected to increase refining capacity at the Moscow Refinery to 12 million tonnes per year. In addition to improving energy efficiency and workplace safety the plant continues to reduce its environmental emissions. Construction of the new facility will allow Gazprom Neft to decommission several obsolete installations and increase running time between repairs from two to four years, ensuring the further stabilisation of the fuel market around the capital.

Russian enterprises and companies remain actively involved in the modernisation of the Gazprom Neft Refinery; AEM-Technology, in particular (part of the machine-building division of state enterprise Rosatom) has already begun production of major plant for the Euro+ facility.

The Gazprom Neft Moscow Refinery, a subsidiary of Gazprom Neft, is today one of the key fuel suppliers for the Moscow region, with a market share of 34 percent. Producing more than 30 branded oil products, its main lines include Euro-5 motor fuels, road and construction materials, polymer-modified bitumens, and condensed (liquid) gas for use by municipal and public utility providers.