Saipem will build clean petrol units at two of Pemex’s refineries under a new contract worth $345m.

Saipem will build equipment at Pemex’s Salamanca and Tula oil refineries to reduce the sulphur content of petrol produced at the plants, reports Reuters.

Mexican environmental regulations require Pemex, a state-owned company and the monopoly supplier of oil products in Mexico, to reduce the amount of sulphur in motor fuels to cut pollution.

Saipem won the contract against bids by Samsung Engineering and a consortium of Mexican engineering group ICA and Fluor Corp.