UPDATE 1-Sinochem builds new refinery, eyes Kuwait, Total tie

* 240,000-bpd plant in Quanzhou, aims completion 2012

* Eyes joint investment by Kuwait, French Total

* Sinochem, Kuwait in deal for crude supply

(Adds details, Kuwait's Guangdong plant)

By Chen Aizhu

BEIJING, Aug 13 (Reuters) - Chinese state oil trader Sinochem is quietly building its first wholly-owned major refinery in southern China, and is eyeing strategic partnerships with Kuwait's state oil firm and French major Total (TOTF.PA), industry officials told Reuters.

Sinochem aims to complete the 240,000 barrels per day plant in Quanzhou city, Fujian province in 2012. It is set to be China's next major greenfield refinery as the world's No.2 oil consumer adds refining capacity to fuel strong economic growth.

"The project is going smoothly," one official familiar with the plant's construction said on Thursday.

The refinery, estimated to cost close to $4 billion by a second industry executive, is awaiting Beijing's final approval after securing a preliminary go-ahead from the top energy agency, the National Energy Administration.

Sinochem hopes to partner OPEC member Kuwait, which in late 2007 agreed to supply 240,000 bpd of crude to the Sinochem plant now designed to treat Kuwaiti oil.

Sinochem also wants its long-time partner, French oil major Total, in the project, sources said.

Sinochem expects to hold a 51 percent stake in the project, while the other two parties would evenly split the remaining 49 percent.

A Total spokesperson declined to comment on her firm's participation.

TWEAK IN PLANT SIZE