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Foster Wheeler, Amec win Kuwait refinery work

National oil refining company Kuwait National Petroleum Co. said Wednesday it has selected Foster Wheeler and Amec as consultants for two mega oil projects estimated to cost around $30 billion.

KNPC said in a statement that London-based international engineering and project management company Amec was awarded the consultancy contract for building a new 615,000 bpd refinery.

US firm Foster Wheeler was appointed as consultant for the so-called clean fuel project, under which two of Kuwait's three existing refineries at Al-Ahmadi and Mina Abdullah will be upgraded.

Each of the two projects is estimated to cost around $15 billion.

Spokesman for KNPC, Mohammad al-Ajmi, said the value of the Amec contract is $528 million and $502 million for the Foster Wheeler contract.

He told AFP that both projects are due for completion by 2018.

The two projects have been repeatedly delayed due to political disputes between parliament and the government.

The refinery project was scrapped by the government around three-and-a-half years ago, months after awarding contracts to five Japanese and South Korean companies.

MPs had opposed the plan, complaining of a lack of transparency in the tendering process.

The two projects are projected to raise Kuwait's refining capacity to 1.4 million bpd from the current 930,000 bpd. When the two projects are complete, Kuwait plans to shut the Shuaiba refinery.


Dow Jones Newswires

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