Iraq breaks ground on $6 billion Karbala refinery
Iraqi Prime Minister Noori Al-Maliki and his government have an agreement with a South Korean consortium to build a new refinery in Karbala. Costs are expected to be in the $6 billion range, resulting in a facility that produces 140,000 bpd. Hyundai Engineering and Construction will be the
"We are late in the building of this refinery, which was not our desire, but it is a consequence of the circumstances that faced the country, like the inheritance of the previous Baath regime policies of sabotage," Mr. Al-Maliki said at a groundbreaking ceremony.
Today we are putting the corner stone to build the refinery which is considered as the newest and most developed in Iraq and has a production
power that can meet the needs of the governorate and the other Middle Euphrates areas, said Iraqi Deputy Prime Minister for Energy Hussain Al-Shahristani.
The facility is expected to produce a refined products slate of gasoline, liquefied petroleum gas, gasoil, jet fuel, kerosene, fuel gas, hard sulfur and paving asphalt.
The Karbala refinery is a centerpiece of the Al-Maliki governments stated goal to convert Iraq from a country that imports most of its oil products to a country that supplies its domestic market
and still has quantities allowing it to become a net exporter.
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