The Duqm Refinery project, the largest project in the field of refineries and petrochemicals, will start its commercial operation by the end of next year, Shafi al Ajmi, the CEO of Kuwait Petroleum International (KPI) told Kuwaiti news agency KUNA on Monday.
The project, occupying 900 hectares, is being constructed in the Special Economic Zone of Duqm (SEZD) and is a 50-50 joint venture between state-owned Oman’s OQ Group and Kuwait Petroleum International.
The main construction of the site, which was budgeted at $6 billion, started in 2016, with 95% of the works completed, the CEO of KPI said. The refinery was meant to come online in Q3 of 2020 but works were delayed due to the pandemic.
The construction phase comprises three major packages being implemented by different consortiums and contractors.
In addition to the main components of the complex, the construction phase also includes storage and export facilities for liquid and bulk petroleum products at Port of Duqm, crude oil storage facilities at Ras Markaz and a 80-kilometre crude oil pipeline line from Ras Markaz to the refinery.
When operational, Duqm refinery will enhance the country’s refining capacity by refining 230,000 barrels of crude oil products per day, which will serve demand growth in the region and globally, as well as add to the SEZ’s investment appeal.