Kuwait said it will refer its planned joint-venture with Dow Chemical to its legal advisors after parliamentary opposition to the multi-billion dollar deal, state news agency Kuna reported.

State-run Petrochemical Industries Company (PIC) said on Wednesday it was going ahead with the venture, which triggered anger among some lawmakers who said it was no longer viable in light of the global financial crisis and slumping petrochemicals sales.

The government had also referred the deal to the state Audit Bureau, which monitors state spending and revenue, on Sunday, Faisal al-Hajji, a deputy prime minister, told Kuna late on Wednesday.

"The issue will be referred on Thursday to the government's Fatwa and Legislation Department to take all necessary measures," Kuna cited Hajji as saying, without elaborating.

The Department advises the government on legal matters and look into proposed bills before they are sent to parliament. Its recommendations are not binding but the government usually implements them.

KPC, meanwhile, said it had enough funds to finance the multi-billion-dollar deal with Dow Chemical and will not have to liquidate any assets.

Petrochemical Industries Company (PIC), a unit of KPC, signed a deal earlier this month with Dow, the largest chemicals maker in the United States, to launch K-Dow Petrochemicals.

PIC is to pay Dow $7.5 billion for its stake in the joint venture, of which $6 billion will be made as a net payment.

K-Dow itself will pay both Dow and PIC a special cash distribution of $1.5 billion each, according to a joint statement by both companies.

'KPC would like to confirm that it does not have the intention to liquidate any of its investment assets considering that  it has the sufficient liquidity to finance the deal,' managing director for Financial and Administrative Affair Ali Al-Hajiri said in a statement.

Local newspapers said earlier KPC will liquidate some of its assets to finance the deal, which could inflict a loss of about $1.4 billion in view of the global economic slowdown.-Reuters