News Post
KNPC seeks $10 billion loan for Clean Fuels Project
Kuwait National Petroleum Company (KNPC) is seeking a $10bn loan from local and international banks for its Clean Fuels Project.
The state oil refiner is due to receive $3bn from local banks in March, with the remaining amount set to come from international lenders in South Korea, according to Ahmad Al Jemaz, deputy CEO of KNPC.
“We have seen a good response to our request for loans to finance the project,” Jemaz told reporters in Dubai on Monday.
KNPC’s Clean Fuels Project involves the upgrade of Mina Abdullah and Mina Al Ahmadi refineries to produce cleaner diesel and jet fuel for export and domestic consumption.
Mina Abdullah’s refining capacity will be increased to 454,000 bpd from 270,000 bpd currently, while production at Mina Al Ahmadi will drop to 350,000 barrels a day from 466,000 bpd due to the closure of one of its main processing units, Al Jemaz said.
“The Clean Fuel Project is aimed at upgrading existing refineries into merchant refining complex with total capacity of 800,000 barrel of oil per day (bpd) meeting the future diversified market requirements,” Mohammad Al-Mutairi, CEO of KNPC, told ArabianOilandGas.com in an interview last month.
After the upgrade both refineries will be able to produce low sulphur content fuels compliant with the highly stringent Euro-V equivalent specification.
The fuels will be supplied mainly to European and US markets in addition to buyers in Africa and Asia.
According to Al-Mutairi, the projects is 39% complete and is due for commissioning in mid-2018.
For subscriptions or a demo:
Sam Hassaniyeh
Subscription Executive
Phone: +44 203 4092242
For questions or to give feedback:
Thad Pittman
Senior Researcher
Phone: +1 (713) 525-4605
Download our brochure today!
Project News