Kuwait is expected to launch its $28-billion Al-Zour complex involving a 615,000-bpd (barrels per day) refinery and a massive petrochemical plant in February, a report said.

An international consultancy is carrying out a feasibility study on the project to integrate the petrochemicals plant into the refinery project and it would be completed this month, reported Emirates 24/7, citing the Arabic language daily Al-Seyassah.

Investments include $16 billion for Al-Zour oil refinery, $10 billion for the petrochemicals complex and $2 billion for gas supply facilities, the report said.

The project involves building of a grassroots refinery at Al-Zour area, south of Kuwait City. The refinery has a strategic goal of supplying low sulfur fuel (less than 1 per cent compared to current 4 per cent sulfur fuel) to the local power plants.

Al-Zour Refinery, which will be one of the largest  oil refining plant worldwide, will fulfill the downstream strategy of Kuwait. In addition to its domestic  benefits as the prime supplier of feedstock to power plants, the refinery will enhance competitiveness of Kuwait petroleum products on the world markets due to its ability to meet the stringent requirements of those markets.

In October, Fluor Corporation announced that its joint venture team was selected by Kuwait National Petroleum Company (KNPC) as the preferred bidder for two engineering, procurement and construction (EPC) packages of the refinery project.

Facilities in the two packages will include a variety of key process units, utilities and infrastructure for the new Al-Zour oil refinery.

Fluor is leading the joint venture, known as FDH JV, which consists of Fluor, Daewoo Engineering and Construction, and Hyundai Heavy Industries.