Petrofac, the international oil and gas services provider, has been awarded a joint venture (JV) contract with Samsung Engineering Co Ltd and CB&I Nederland BV (CB&I) to build an oil refinery in Kuwait
This contract has been given by Kuwait National Petroleum Company's (KNPC) Clean Fuels Project, Mina Abdulla (MAB1) and is worth US$3.7bn and will be located in Southern Kuwait. Petrofac's share alone is US$1.7bn, and the project is likely to be completed over a period of four years.
The lump sum engineering, procurement and construction scope of work includes the provision of 19 new refining units at Mina Abdulla, revamping of five existing units at the Shouaiba refinery site and the accompanying inter-refinery transfer lines.
The Clean Fuels Project is one of KNPC's major investment projects to upgrade the Mina Abdulla and Mina Al Ahmadi refineries, in order to reach a daily production target of around 800,000 bpd of oil.
Subramanian Sarma, managing director of onshore engineering and construction business, Petrofac, said, "This will be our ninth project in Kuwait and I am delighted we have secured the opportunity to work with KNPC, who is a new customer for us. Along with our partners, Samsung and CB&I, I look forward to strengthening the relationship with KNPC as we deliver the project."
This is the second substantial refinery project to be awarded to Petrofac within recent months; the first being the US$2.1bn Sohar Refinery improvement project for Oman Oil Refineries and Petroleum Industries Company in Oman and further underpins the Group's appetite in the downstream sector.
