The Shaw Group Inc. has been awarded a contract through the Republic of Iraq’s Ministry of Oil to study whether an oil refinery near Basra can be rehabilitated. The value of the contract was not disclosed.

Shaw will assess the current condition of the refinery, which has a daily capacity of 140,000 barrels, and estimate the engineering, equipment and construction work needed.

The study is funded by the United States Trade and Development Agency through a grant to the South Refineries Co., a part of Iraq’s Oil Ministry. The grant is the first the U.S. agency has provided directly to an Iraqi entity.

“This study will help to promote the development of Iraq’s oil business and modernize vital facilities,” James Glass, president of Shaw’s Energy & Chemicals Group, said in a news release.

The study is Shaw’s fourth refining project in Iraq. The company is also doing feasibility studies and engineering and design work for two new refineries near the cities of Maissan and Kirkuk, for the Republic of Iraq’s Ministry of Oil. Both refineries will have a capacity of 150,000 barrels per day.

Shaw is also partnering with Axens to design a catalytic cracking unit at the Midland Refineries Co. refinery in Daura.