What we do
What we do
Kuwait technical consortium
Partner Sourcing; Structuring
Kuwait Integrated Petroleum Industries Company (KIPIC) is a newly established subsidiary of Kuwait Petroleum Corporation (KPC) set up by the State of Kuwait to manage refinery, petrochemicals and LNG import operations in the Al-Zour complex. The creation of the KIPIC was announced after Finance Ministry claimed the state budget relied too heavily on oil revenue thus hurting the Kuwaiti economy. KIPIC was established, in part, therefore, to redress that balance whilst becoming a leader in integrated refining and petrochemicals operations and LNG supply, maximizing shareholder value, achieving operational excellence, unlocking the potential of its workforce while caring for the wider local and international community.
To achieve this vision, KIPIC's seeks to manufacture refined petroleum and petrochemicals products and supply LNG in a reliable, efficient, safe and environmentally responsible manner to meet Kuwait's energy demand, maximize profit through integration, develop a professional and competent workforce and enable the development of the local economy. KIPIC will have the production capacity of approximately 615,000 barrels per day (bpd) and has been allocated US$6 billion of development capital, of which one-quarter, or US$1.5 billion, has already been spent on developing the various capabilities described above. In line with the Finance Ministry’s assertions regarding diversification, it has been rumored that KPC plans to place half of the KIPIC’s new shares on the Kuwait Stock Exchange.
In an ever-more competitive global market, Cassia seeks to connect new projects with the suppliers and expertise they need to succeed. Where in traditional, developed markets, capital, supply and opportunities often co-exist in close proximity, in emerging economies, this is seldom true. Cassia has made a business of connecting capital, opportunities and supply. In the case of the State of Kuwait, the country has historically sought to invest capital outside the country, preferring the safety of more liquid international investments over domestic development. In recent years, however, with falling oil prices and regional instability, Kuwait has sought additional diversification.
In order to assist the State of Kuwait in the development of KIPIC, a consortium has been formed comprising of Reliance (Kuwait), Cassia Group (Dubai) ) for the purpose of providing both essential equipment supply, and EPC to KIPIC to facilitate the development of the projects and complexes outlined above. The consortium has already engaged a series of service providers which provides critical equipment for oil, gas and petro-chemical plants, as a supplier for the new KIPIC projects. The EPC contracts are set to begin in mid-2018. Finally, by adding broad-based strategic value to KIPIC, Cassia and its consortium partners seek to cement and build on their existing relationships in Kuwait to become an invaluable partner and advisor in oil and gas services.