Indian Oil Corporation (IOCL) has awarded a $170m contract to a consortium comprising subsidiaries of Maire Tecnimont to support the expansion of the Barauni refinery in the state of Bihar state.

Under the contract, the consortium involving Maire’s subsidiaries, notably Tecnimont S.p.A. and Tecnimont Private, will engineer, procure, construct and commission the 200,000tpa polypropylene plant at the refinery.

The scope of the engineering, procurement, construction and commissioning (EPCC) contract also includes related product logistics facilities.

The installation of new polypropylene plant forms part of $1.9bn BR9 Expansion Project to increase the refinery’s crude processing capacity to 9Mtpa from 6Mtpa.

Planned to be completed in 2023, the expansion project involves installation of large grassroots units, as well as revamps and upgrades to other units.

Maire Tecnimont Group CEO Pierroberto Folgiero said: “This is our sixth strategic EPC contract with a market leader such as IOCL, along with our recent joint initiatives in the green energy arena: we are really honoured to be IOCL’s partner of choice to contribute to the sustainable development of India’s energy transformation industry.

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“We continue to expand the Group’s industrial footprint thanks to our unparalleled technological know-how, a deep knowledge of the local market through our Indian entity Tecnimont Private Limited, as well as our strong commitment to ensure environmentally best performing products and processes.”

Earlier this year, the state-owned firm awarded a significant EPCC contract to Technip Energies to install a new once-through hydrocracker unit (OHCU), a fuel gas treatment unit and the associated facilities at the Barauni refinery.

Built in 1964, the Barauni refinery is situated on a 3.59km² site in the Begusarai district of Bihar, approximately 140km away from Patna.

The refinery underwent multiple expansions and upgrades to reach a crude processing capacity of 6Mtpa in 2002.