05 August 2019
Kuwait has approved plans to build 11 petroleum products tanks as part of a project to expand the existing storage facility in Matla in the Northern Jahra governorate, a Kuwait oil official was quoted on Monday as saying.

The project has a cost of around 66 million Kuwaiti dinars ($218 million) and it will increase the number of storage tanks at the facility to 18, said Walid Al-Buaijan, marketing manager at the state-owned Kuwait National Petroleum Company.

"KNPC has received land for the project and is in the process of preparing engineering designs...the project has been approved by the Company's Board and tenders will be issued once it is approved by the Kuwait Petroleum Corporation," Buaijan told the Kuwait Arabic language daily Alseyassah.

He said the project is intended to face rising production at Kuwait's refineries, adding that it will have a total capacity of 220 million litres.

Buaijan said KNPC is also pursuing other plans to construct 58 petrol stations to cater for a steady increase in domestic petrol demand.

He said the project comprises three phases, the first of which include the building of 18 stations that will be completed in early 2020.

Phase 2 includes 15 stations to be commissioned in early 2021, while Phase 3 includes building 25 stations that will be ready by early 2024, he said, adding that Phase 1 will cost nearly 30 million dinars ($100 million).

Buaijan said the Kuwait-based Pan Arab Consulting Engineers company has been selected for consulting and engineering services for phases 1 and 2.

(Writing by Nadim Kawach; Editing by Anoop Menon)

(anoop.menon@refinitiv.com)

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