Kuwait Petroleum Signs LNG Deal With BP, Shell

Kuwait Petroleum Corporation (KPC) has signed four year contracts with BP and Shell to import LNG.

According to Kuwait News Agency (KUNA), state owned KPC will buy one million tons a year from each company, company’s marketing chief, Nabil Buresli, said Thursday.

Buresli did not give details about the value of the deals.

The company also signed a contract to buy half a million tons of LNG from Qatargas. The LNG will be supplied by Qatargas 2 and will be delivered onboard Q-Flex LNG vessels, chartered by Qatargas, to KPC’s Mina al-Ahmadi LNG receiving terminal in Kuwait.

In the future, the company is also planning to sign long-term contracts for up to 15 years to receive six to seven tonnes of LNG per year, Buresli KUNA.

Last month, a consortium of Hyundai E&C, Hyundai Engineering and KOGAS won the contract to build a large-scale LNG plant in Kuwait. The Al-Zour LNG import terminal project includes the construction of a regasification facility and eight LNG storage tanks and the civil works for coastal facilities in Al-Zour, 90 kilometers south of Kuwait’s capital, Kuwait City.

Construction will take 58 months and is scheduled to be completed in 2020.