Gulf Petroleum to invest in Malaysian refinery

Kuwait’s Gulf Petroleum Investment Co. has announced that it will continue with a plan to invest US$5 billion in a new refinery and petrochemical complex in Malaysia’s north-western state of Perak, despite the financial crisis and the drop in oil prices. About US$1.5-2 billion is earmarked for an oil refinery with a capacity of 100,000 to 150,000 barrels per day (bpd), another US$1.5-2 billion for a petrochemical plant and US$1 billion for storage facilities. Gulf has already secured crude oil supplies and product off-take agreements for the project and plans to undertake an environmental impact assessment soon. The complex will boost Malaysia’s refining capacity to between 700,000 and 750,000 bpd. (January 28, 2009)