Engineering News

Venezuela Plans $4.3B Refinery In Cuba - Report
Monday, July 14, 2008

Venezuela aims to build a new refinery in Cuba to process 150,000 barrels a day with the technology necessary to handle heavy crudes.

The new plant project, now in the pre-commissioning phase, would make it the third refining venture led by Petroleos de Venezuela SA, or PdVSA, in the island nation, according to PetroCaribe's first-half management report obtained by Dow Jones Newswires.

Venezuelan President Hugo Chavez, who keeps close political ties with Cuba's Fidel and Raul Castro, has made it clear his administration intends to keep up economic and energy cooperation with the Castro government. The strengthening ties between the two countries in energy matters suggest that Cuba will serve as Venezuela's key energy distribution hub in the region in years to come.

Construction of the new deep-conversion refinery would take place in the Cuban city of Matanzas and would cost an estimated $4.3 billion, the document shows. The plant would become operational in 2015. The refining initiative is part of Venezuela's PetroCaribe program, a plan that includes energy infrastructure investments in Central America and the Caribbean. PetroCaribe also offers member countries generous financing terms for their oil purchases. Buyers can finance up to 50% of their oil bill payable in 25 years with a 1% fixed interest rate.

As part of its infrastructure plans for Cuba, PdVSA has already invested $166 million to revamp a former Soviet refinery in Cienfuegos so it can process 65,000 barrels a day. A second phase is planned to upgrade that facility to process up to 150,000 barrels a day.

Similarly, PdVSA is also increasing the processing capacity of Cuba's Hermanos Diaz refinery in Santiago, to 50,000 barrels a day from 22,000 barrels a day, with a deep-conversion unit as well. Investment in the Hermanos Diaz plant would run $855 million, according to the PetroCaribe report, and it's expected to begin operations in 2013.

Source: Dow Jones Newswires

Engineering News Archive

 
// CAREER RESOURCES

Applicant Procedures
Job Seekers
Resume Help
Professional Organizations
Engineering Career Information
Engineering Colleges

// WHAT WE DO
Recruiters for
Professionals in the Chemical
& Pharmaceutical Industries
We recruit exclusively for Engineers and Operations/Maintenance Management Personnel in the following areas:
Specialty chemicals
Bulk chemicals
Commodity Chemicals
Petrochemicals
Fine chemicals
Agrochemicals
Industrial gases
Surfactants
Fertilizers
Solvents
Coatings
Polymers
Pharmaceuticals
Refinery
Career Center | FAQs | Privacy
SESI Corporate Headquarters (954)755-3121 ext 109
© Search Enterprises, Inc. All rights reserved.
Industry News Career Center FAQs Submit a Job About Search Enterprises Submit a Resume Candidates Job Opportunities Search Enterprises Home