The refinery project aims to reduce Mongolia’s vulnerability to international oil market fluctuations.

Hyderabad-based Megha Engineering and Infrastructures Limited (MEIL) has clinched a significant deal in Mongolia. The company received a Letter of Agreement (LOA) for constructing a state-of-the-art crude oil refinery plant valued at USD 648 million from Mongol Refinery State Owned LLC.

Today, MEIL hydrocarbons president P. Rajesh Reddy and Dr. Altantsetseg Dashdavaa, executive director representing the Mongol Refinery State Owned LLC, inked the new project in a contract signing ceremony at Ulaanbaatar in Mongolia. MEIL Managing Director P.V. Krishna Reddy, top officials, dignitaries, and representatives from both countries attended the event.

Speaking at the signing event, MEIL Managing Director P.V. Krishna Reddy said, “For MEIL, which holds a prominent position in the global hydrocarbon sector, with a presence across upstream, midstream, and downstream operations and a track record of delivering onshore and offshore projects worldwide, the new venture marks the company’s third foray into the region.”

MEIL’s inaugural venture in Mongolia involves the construction of the country’s first greenfield Mongol Oil Refinery project, a significant undertaking. Within this refinery, MEIL is overseeing the construction of EPC-2, which encompasses Open Art Units, Utilities, Offsites, and plant buildings valued at USD 598.90 million. Additionally, MEIL is constructing captive power plants for the EPC-3 phase, valued at USD189.72 million. The company is using cutting-edge technology in the construction of all the projects. The value of the new EPC-4 project is USD 648 million. The total value of the three projects now is USD 1.436 billion.

P.V. Krishna Reddy added, “MEIL has a robust and comprehensive presence in all the sectors that form the backbone of modern society and deliver end-to-end solutions. The projects we undertake are instrumental in shaping economic and social outcomes. As we embark on the EPC-4 construction of the crude oil refinery at the Mongol refinery, it signifies India’s commitment to supporting Mongolia’s economic growth and energy security. It showcases the collaborative spirit between India and Mongolia.”