<%@LANGUAGE="VBSCRIPT" CODEPAGE="1252"%> WorldTribune.com: Mobile Ñ Kuwait deal will quadruple flow of oil to China

Kuwait deal will quadruple flow of oil to China

Monday, May 18, 2009   E-Mail this story   Free Headline Alerts

ABU DHABI Ñ Kuwait intends to provide a major increase in the supply of crude oil exports to China.

Kuwait has concluded a joint venture with China that would quadruple oil exports to Beijing. Under the deal, the Gulf Arab sheikdom would increase oil exports to China from the current 118,000 to 500,000 barrels of oil per day by 2013.

In May 2009, Beijing and Kuwait signed an accord for the construction of a refinery and a petrochemicals facility in China's Guangdong province.

Royal Dutch Shell and Dow Chemical would be allocated a 10 percent stake each in the joint venture.

Under the deal, Kuwait would own 30 percent of the $9 billion refinery, with a capacity of 300,000 barrels per day. The Gulf Cooperation Council state has been the eighth largest crude oil supplier to China.

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