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Construction of Kuwait's Al-Zour oil refinery 76% complete, ministry says

Fluor is working as EPC contractor for the project, which will deliver 615,000 bpd of oil upon launch

Work is well under way on the Al-Zour refinery in Kuwait.
© Kipic
Work is well under way on the Al-Zour refinery in Kuwait.

Kuwait’s under-construction Al-Zour oil refinery is 76% complete and is expected to start operating in 2020.

Upon completion, the massive oil refinery will among the largest in the world, producing up to 615,000 barrels per day.

Kuwait’s Ministry of Oil said there is scope to increase production capacity of the Al-Zour refinery if there is a requirement to do so, such as a rise in demand for crude oil exports.

READ: SNC-Lavalin bags $180m Al Zour Refinery contract in Kuwait

State-run Kuwait Integrated Petroleum Industries Company (Kipic) is managing all aspects of the Al-Zour development plan, which includes the Al-Zour refinery, a liquefied natural gas import terminal, and a petrochemical plant.

Al-Zour will produce low-sulphur fuel oil to replace the high-sulphur gradient currently used in local plants, according to one of project’s engineering, procurement, and construction contractors, Fluor.

Providing an update on oil and gas projects in Kuwait’s Al-Zour region, located in the south of the Gulf country, the Ministry of Oil confirmed plans were also progressing on a petrochemical complex under development in the area.

READ: Kuwait-backed $9bn oil refinery completed in Vietnam

It is still in the front-end engineering design phase and is expected to be completed this year. The EPC phase of the project is due to be completed in Q3 2023 and the petrochemical plant will start operations in Q1 2024, according to Kipic.

Meanwhile, the gas import terminal is expected to be commissioned in September 2020, Kipic said.

Kipic was created in 2016 as a subsidiary of Kuwait Petroleum Corporation, and is expected to support the New Kuwait Vision 2035 roadmap for economic diversification.

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Construction Week - Issue 759
Feb 22, 2020