Bapco Refinery Modernisation: Bahrain’s largest strategic milestone
• The project is a historic achievement in the field of oil refining in Bahrain.
• The project contributes to the development of the Kingdom's energy strategy.
Manama, Dec. 19 (BNA): Mark Thomas, Group Chief Executive Officer of Bapco Energies, an integrated energy group spearheading the energy sector’s transformation in the Kingdom of Bahrain, and Dr. Abdulrahman Jawahery, Chief Executive Officer of Bapco Refining, highlighted during a joint press conference held on the sidelines of the inauguration of the Bapco Modernisation Project (BMP), that the initiative marks a significant step towards enhancing Bahrain’s production capacity in oil refining. They noted that the project is expected to substantially support the national economy and increase revenues, representing a strategic step to strengthen Bahrain’s economy by creating new jobs and improving the quality of petroleum products, with a focus on employing Bahrainis in the project.
During the press conference, the speakers expressed their optimism about the strategic project, which will serve as a foundation for launching new initiatives to enhance Bahrain's position as a leading investment destination. It is expected that production capacity will reach 400,000 barrels per day, representing a 42% increase.
The speakers noted during the press conference, held after His Majesty King Hamad bin Isa Al Khalifa patronised the inauguration ceremony of the BMP, that the project is the largest strategic initiative in the history of Bahrain and the energy sector. The project coincides with Bahrain’s National Day celebrations and the 25th Anniversary of His Majesty’s Accession to the Throne, along with accompanying national occasions.
The speakers emphasised Bahrain’s commitment to sustainability and development, pointing to the alignment of this historic event with the national celebrations underway in Bahrain. They stated that this strategic project contributes to the development of the Kingdom’s energy strategy, highlighting the importance of cooperation among local and international stakeholders to achieve the project’s goals.
They affirmed that the project represents a significant step towards achieving sustainable development and serves as a successful model for public-private sector collaboration, demonstrating the importance of partnerships in achieving progress.
The speakers described the project as a historic milestone in oil refining in Bahrain. Bahrain's oil history dates back to 1930, when initial production was 10,000 barrels per day, gradually increasing over the years.
They elaborated on the increase in production capacity in the new project, which is expected to reach 400,000 barrels per day, a 42% increase, adding substantial economic value to the national economy by improving efficiency and increasing financial returns.
Dr. Jawahery highlighted the historical cooperation between Bahrain and Saudi Arabia, commending the partnership between Bapco and Saudi Aramco. He stated, "We currently import 220,000 barrels per day of Saudi crude oil, and with the project’s completion, imported quantities will exceed 320,000 barrels per day. This sustainable cooperation spanning more than 70 years serves as a model for Gulf integration."
Dr. Jawahery explained that the project, the largest investment initiative in Bahrain, aims to enhance the performance of the oil industry through new technologies. He noted that over 500 Bahraini engineers have been employed so far, with plans to achieve a 90% Bahraini workforce over the next five years. He added that each job within the company creates around 10 additional jobs in the private sector to support maintenance and services.
Mark Thomas stated that the project reflects the commitment to implementing large-scale future programmes aimed at achieving economic diversification and ensuring the sustainability of the energy sector.
He noted that Bahrain is pursuing a strategic transformation in the energy sector, currently relying primarily on domestically produced natural gas for electricity generation. The Kingdom seeks to diversify energy sources and reduce reliance on gas by exploring solar, wind, and potential nuclear energy technologies by 2030, in collaboration with other countries to integrate networks and import energy.
Thomas explained that the new refinery project represents a pivotal step in addressing energy security challenges and tackling inflation, noting that 85% of the refinery’s production will be allocated for export, thereby supporting the national economy, increasing government revenues, and providing high-quality products for the local market.
Thomas also emphasised the importance of collaboration with Saudi Arabia on a large-scale solar energy project and joint ventures for trading refinery products, which will enhance economic integration and expand access to global markets.
During the press conference, it was noted that the project focuses on improving the quality of petroleum products while reducing waste generated during the refining process. Six main products will be produced, including LPG, jet fuel, kerosene, and diesel. The project is expected to form the backbone of Bahrain’s economy in the coming years and contribute to government efforts to diversify income sources and reduce reliance on oil.
The press conference concluded by highlighting the importance of investing in new equipment and technology, reflecting the company’s desire for innovation and efficiency improvement. The project marks the beginning of a new phase of innovation and sustainability in Bahrain’s energy sector and supports the Kingdom’s economic vision, which aims to diversify income sources and ensure a sustainable energy future.
