Phase one of the joint heavy oil project between Kuwait and Saudi Arabia in the city of Wafra will cost $5 billion, KUNA reported quoting a state oil official.
When completed the project is expected to produce around 80,000 barrels per day of oil, Kuwait Gulf Oil Company (KGOC) CEO Ali Al-Shemmeri said.
The first phase will include 288 producing wells — 133 injection wells, 67 observation wells and five storm water injection wells — and will require 100 megawatts of electricity used in operating steam turbines.
KGOC is currently working with its Saudi partner, Saudi Arabian Chevron, on a new deal that organizes the joint relationship between both sides in Wafra’s joint operations zone.
Al-Shemmeri said the current deal was signed back in 1956 and new developments urge the need for this change.
The initial stage of an agreement between the two sides on the project has been finalized, he added, and this will aim to enhance partnerships in the field of technologies used in the area.
Wafra joint heavy oil project’s phase 1 to cost $5bn
Wafra joint heavy oil project’s phase 1 to cost $5bn
Work suspended on Riyadh’s massive Mukaab megaproject: Reuters
RIYADH: Saudi Arabia has suspended planned construction of a colossal cube-shaped skyscraper at the center of a downtown development in Riyadh while it reassesses the project's financing and feasibility, four people familiar with the matter said.
The Mukaab was planned as a 400-meter by 400-meter metal cube containing a dome with an AI-powered display, the largest on the planet, that visitors could observe from a more than 300-meter-tall ziggurat — or terraced structure —inside it.
Its future is now unclear, with work beyond soil excavation and pilings suspended, three of the people said. Development of the surrounding real estate is set to continue, five people familiar with the plans said.
The sources include people familiar with the project's development and people privy to internal deliberations at the PIF.
Officials from PIF, the Saudi government and the New Murabba project did not respond to Reuters requests for comment.
Real estate consultancy Knight Frank estimated the New Murabba district would cost about $50 billion — roughly equivalent to Jordan’s GDP — with projects commissioned so far valued at around $100 million.
Initial plans for the New Murabba district called for completion by 2030. It is now slated to be completed by 2040.
The development was intended to house 104,000 residential units and add SR180 billion to the Kingdom’s GDP, creating 334,000 direct and indirect jobs by 2030, the government had estimated previously.
(With Reuters)
