Kuwait awards $28bn worth of contracts in 2015
KNPC recently awarded four out of the five packages for the construction of the Al Zour refinery
The total value of contracts awarded by Kuwait in 2015 has reached $28bn, a recent report has said.
According to the latest Economic Update from the National Bank of Kuwait (NBK), the value of Kuwait’s projects market grew to more than $235bn by the beginning of August.
Kuwait National Petroleum Company (KNPC) awarded four out of the five packages for the construction of the Al Zour refinery.
According to senior officials at KNPC, the al-Zour refinery will now be delayed until early 2019, as the company awaits additional funds to finance construction packages.
Estimated cost for the refinery is expected to increase by around $3.31bn, with the project's total cost exceeding $16bn. The signing of all contracts is expected to take place in early October.
In July, Kuwait Oil Company (KOC) awarded a $733mn contract to UK-based Petrofac for the construction of a liquid transport system to gathering centres.
Kuwait’s total spending on energy projects is expected to reach $100bn (KWD30.3bn) over the next five years, according to research from Ventures.
International Monetary Fund (IMF) figures show that energy projects constituted 40% of all construction projects in Kuwait, as of May 2015.
The implementation of the Kuwaiti government’s 2030 strategy looks set to drive investment in the country’s energy infrastructure during the coming years, according to dmg events, the organiser behind The Big 5 Kuwait.