Foster Wheeler Ltd., an industrial and energy services company, based in Bermuda has been awarded a contract to upgrade one of Europe's largest and most complex refinery.

Foster Wheeler announced yesterday that Milan-based Foster Wheeler Italiana SpA, part of its global engineering and construction group, was awarded a contract by Saras SpA. for the revamp of the mild hydrocracking unit at the Sarroch refinery in Sardinia, Italy. This project is part of an important refinery upgrade.

The terms of the contract, which will be included in Foster Wheeler's first-quarter 2008 bookings, were not disclosed.

Hydrocracking is a complicated process where complex organic molecules are broken down into simpler molecules.

Major products from hydrocracking are jet fuel, diesel, relatively high octane rating gasoline fractions and LPG. All these products have a very low content of sulphur and contaminants.

The revamp includes major modification to the reaction section, including installation of a new pretreat reactor, as well as upgrading the gas compression circuit and installing a new high-pressure amine wash section.

"The upgrading of our refinery at Sarroch, one of Europe's largest and most complex refineries, is proceeding at a fast pace," said Dario Scaffardi, general manager, Saras SpA. "This latest award to Foster Wheeler demonstrates our continued satisfaction with its professionalism and expertise and our confidence in its ability to maintain a successful relationship with Saras."