The Abu Dhabi Oil Refining Company (Takreer) said it has formally signed with Dodsal Pte Ltd a Dh1.47 billion contract for the inter-refineries project (IRP).
The single engineering, procurement and construction (EPC) contract on a lumpsum turnkey basis was awarded in early April.
"The project kickoff meeting was held on April 13 and detailed engineering activities have commenced," a statement from UAE-based Dodsal said.
"This project is being implemented to optimise the inter-refineries operations between Abu Dhabi and Ruwais refineries and will eliminate shipment of oil products by sea. It will also address the increased product requirements at Abu Dhabi International Airport and Al Ain," said the statement.
Project completion is expected by first quarter 2007 and the scope of work includes state-of-art instrumentation and control, telecom, supervisory control systems, storage facilities and pipelines that will be in line with the best available technology in the world.