DUBAI Dec 29 Saudi Aramco's and French oil
major Total (TOTF.PA) awarded a construction contract for its
$12 billion joint-venture refining and petrochemical facility in
Saudi Arabia, the companies said on Monday.
The contract, which is required to support the construction
phase of the complex at Jubail, is an indication of the
companies commitment to push through the project.
The contract was awarded to the Saudi Arabian based
contractor, Contracting and Contruction Enterprise Ltd.
Under the agreement the construction company will develop
about 600 hectares with basic infrastrucutre allowing for the
accomodation of 30,000 workers, temporary offices, and 3,000
Construction of all facilities is to be finished by the end
of 2012, with commercial operations of the facilities set for
The contract award comes on the back of Kuwait's decision to
scrap a deal to form a $17.4 billion petrochemical joint-venture
company. The cancellation of the deal, was expected to pay off a
large part of the company's $13 billion debt.
Across the region, joint state and private ventures in
refining, petrochemical and power still looking for finance may
be delayed and see costs rise as they wait for credit conditions