OPEC member Kuwait has completed front end engineering designs (FEED) for the planned giant petrochemical complex that will be constructed near Al-Zour oil refinery in South Kuwait, the official news agency Kuna has reported.

The Kuwait Integrated Petroleum Industries Company (KIPIC), the Gulf emirate's downstream investment arm, said the designs include the petrochemical plant, adjoining buildings, control centre, an export jetty and other facilities.

"We have completed FEED and this will allow us to avoid any delay in the timetable for the execution of the project," said Abdullah Al-Osaimi, project manager at KIPIC.

He said the project would be completed by the end of 2026 and would produce olefics, aromatics, polypropylene, gasoline and other fuels.

The petrochemical complex near the $16-billion Al-Zour refinery has been on the cards for several years and is part of the emirate's plans to develop its hydrocarbon downstream industry to diversify its oil-reliant economy.

KIPIC said in late 2019 it has named Sumitomo Mitsui Banking Corporation (SMBC) of Japan as a financial advisor to arrange a $4.9 billion loan from global banks for the project.

KIPIC said it would fund 30 percent of the $10-billion project while 70 percent would be raised through bank loans.

(Writing by Nadim Kawach; Editing by Anoop Menon)

(anoop.menon@refinitiv.com)

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