Kuwait, Total forge alliance for China refinery
KUWAIT CITY - Kuwait Petroleum Corp. and France's Total on Tuesday signed a Memorandum of Understanding to be partners in a Kuwait-China oil refinery joint venture, the French energy giant said.
The joint venture will develop a refinery with a processing capacity of 300,000 barrels per day, in addition to a petrochemical complex, Total said in a statement issued on the sidelines of the International Energy Forum in Kuwait.
The complex to be built in Zhanjiang, in China's southern Guangdong province, will process Kuwaiti crude oil.
Kuwait Petroleum International (KPI), KPC's international arm, and China's state-owned Sinopec signed an agreement more than two years ago to build the $9 billion (6.9 billion euro) complex.
KPI has been negotiating with international oil majors to sell 20 percent of its 50 percent stake, or 10 percent of the total project.