26 September 2019
Kuwait has selected a local investment firm as a financial advisor to seek loans for its giant petrochemical project near its multi-billion-dollar Al-Zour oil refinery in the South, a local newspaper reported on Thursday.

The Kuwait Integrated Petroleum Industries Company (KIPIC), which manages downstream industries in the OPEC member, awarded the contract to NBK Capital, the investment arm of the Kuwait National Bank, the Arabic language daily Alseyassah said, quoting responsible oil sources in the Gulf emirate.

Tenders for engineering work and construction of the petrochemical project are expected to be issued in the second quarter of 2020 and total cost of its three phases is estimated at around 3 billion Kuwaiti dinars ($10 billion), the paper said.

"NBK Capital will present financial consultancy plans to KIPIC and arrange loans from banks to partly fund the project," it said.

The paper quoted the sources as saying KIPIC would fund 30 percent of the project while 70 percent would be financed through loans from local and international banks.

(Writing by Nadim Kawach; Editing by Anoop Menon)

(anoop.menon@refinitiv.com)

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