Kuwait has pre-qualified seven consortia for a giant petrochemical complex that could cost nearly 2.6 billion Kuwaiti dinars ($8.58 billion), a local newspaper has reported. 

The Central Agency for Public Tenders approved the pre-qualification of the groups, most of which were involved in the construction of the nearby Al-Zour oil refinery that has an output capacity of more than 600,000 bpd, the Arabic language daily Al-Rai said. 

The project comprises two packages, including one for the production of gasoline, olefins and aromatics and another for the construction of an export terminal. 

The government-owned Kuwait Integrated Petroleum Industries Company (KIPIC) owns the complex which has been on the cards for several years, the report said. 

“The pre-qualified consortia were involved in the construction of Al-Zour Refinery and the clean fuel project except one company that was excluded,” the paper said without identifying those consortia or the ousted firm. 

The petrochemical complex has been in the pipeline for several years and is part of the Gulf emirate’s plans to develop the downstream industry to diversify its economy, which is heavily reliant on crude oil sales. 

KIPIC said in late 2019 it has named Sumitomo Mitsui Banking Corporation (SMBC) of Japan as a financial advisor to arrange a $4.9 billion loan from global banks for the project. 

(Writing by Nadim Kawach; Editing by Anoop Menon)

(anoop.menon@refinitiv.com)

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