Fluor Corporation recently announced that it has received notification from Kuwait National Petroleum Company (KNPC) to stop work on the utilities and offsites for the al-Zour refinery. The remaining contract value of approximately US$2.1 bln will be removed from the company's backlog in the first quarter. As per the media reports, Kuwaiti prime minister announced that the 615,000 bpd refinery project, which was expected to complete by 2012, was technically and economically not feasible and thus cancelled.
The project envisaged construction of more than fifteen process units including three 205,000 bpd crude distillation units (CDUs), diesel, naphtha and kerosene hydrotreaters, hydrogen production, gas treatment, and amine treatment units. It also included the off-sites and utilities (O&U) covering infrastructure, control systems and an auxiliary unit along with construction of a tank farm and marine export facilities.