OREANDA-NEWS. State Oil Company of Azerbaijan (SOCAR) and Korean Samsung Engineering Co. Ltd. signed a contract for designing, procurement and construction of a urea plant.
 The document was signed by SOCAR President Rovnag Abdullayev and President and Chief Executive Officer of Samsung Engineering Co Ltd, Ki-Seok Park. The sides highly estimated the prospects of the contract. It was stated that within the contract Samsung Engineering Company will administer due testing works after completion of plant construction and turn over the plant operationally ready. Under the contract, Samsung Engineering Company will also conduct construction and assembling operations, organize special trainings to prevent difficulties to occur during the plant exploitation.

During the event, SOCAR President Rovnag Abdullayev stated that the funds for the plant construction will be allocated from the state budget, as it will be built within the State Programme on Reliable Food Supplies for the Population of the Republic of Azerbaijan in 2008-2015. The construction will be completed within 2013-2015 years. Daily design capacity of the plant, to produce ammonia, urea liquid and commodity urea, will make 2,000 tonnes. 24 ha area has been allotted for the construction.

It was mentioned that an open international tender was announced to select a contractor for the construction of a urea plant on August 5, 2011. 14 companies applied for participation in the tender. 10 of them - Saipem S.p.A., Technip Italy S.p.A., Toyo Engineering Corporation, Samsung Engineering Co. Ltd, ThyssenKrupp Uhde GmbH, Kawasaki Heavy Industries, Ltd., Petrofac International LLC, Mitsubishi Heavy Industries, Ltd., Hyundai Engineering & Construction Co. Ltd. and Tecnimont S.p.A. got right to receive the “package of main terms and conditions” and became main pretenders. On December 14, 2012, at the final meeting of the Tender Commission, Samsung Engineering Co. Ltd was announced the winner of the tender considering all assessments.

In the course of the event, the participants spoke about the importance of the urea plant in the economy of Azerbaijan and as a reliable food supplies for the population. All the products to be produced at the plant will both meet the domestic demand and be exported.