Eesti Energia and Outotec have signed the agreement for delivery of oil shale preparation plant

Eesti Energia Õlitööstus signed the agreement with international engineering company Outotec for the design and delivery of oil shale preparation plant. The facility will be used for feeding the two existing oil production plants and the new Enefit-280 plants. Additionally, the capacity can be increased to feed new power plants in the future.

"The oil shale preparation plant is a very important unit for us. Therefore we are happy to recognize that the best offer was made by our partner Outotec, who has experience in designing corresponding systems and is well aware of the quality of oil shale that our new technology needs," said Igor Kond, the CEO of Eesti Energia Õlitööstus.

The new shale oil production plant in Narva is scheduled for completion together with the new Enefit-280 plant in the spring 2012. In the first stage, the oil shale preparation facility will produce annually over 4.5 million tonnes of crushed oil shale - the capacity can be increased in the future.

According to Igor Kond, the procurement of the oil shale preparation plant civil works will be announced in March. „It should once again provide a good opportunity for the local construction companies to get employed," he added.

Construction of the new Enefit-280 is going according to the plan; construction of the trubine hall and substation will start soon and the installation of the structual steel of the retort building will continue. Two storage tanks are already in operation and soon the new products truck loading station will be completed. The construction work in the Enefit-280 areas is being performed by Skanska EMV, YIT AS, Merko Ehitus AS, Kohimo AS. The industrial gas unit will be established by Elme Messer Gaas.

The first Enefit-280 oil plant will be commissioned in 2012 and will provide employment to 80 people residing primarily in Ida-Viru County. There will be jobs available for engineers as well as for mechanics. The recruitment has already started and the team will be staffed by the end of this year. In order to find eligible personnel, Eesti Energia Õlitööstus is cooperating with public institutions and trade education centers. Additionally, in cooperation with Estonian Unemployment Insurance Fund training will be provided for 25 unemployed following by the internship in production units. In the end of the internship eligible people will be offered to start working in the company.

The construction of the new oil plant is an important step taken by Eesti Energia toward establishing an Estonian industry engaged in the production of high-quality liquid fuels. By 2016, Eesti Energia plans to develop an oil shale liquid fuels production complex that produces fuels which are of a higher quality than the shale oil produced today and which meet current motor fuel standards.