By: Ahmad Awad
Kuwait-Mubasher: Kuwait National Petroleum Company (KNPC) has signed, on Thursday, an agreement for banking facility worth KWD 1.2 billion ($4.97 million).
KNPC inked the deal with an 11-bank consortium led by Kuwait Finance House (KFH) and National Bank of Kuwait (NBK) to fund Tier 1 of Kuwait’s Clean Fuel Project, CEO of NBK Salah Al Fulaij said on the sidelines of a press conference held Thursday.
The loan has maturity period of 10 years; however, the Al Fulaij did not reveal the interest expected from the loan.
The CEO clarified that NBK’s share is KWWD 400 million ($1.32 billion), while KFH has a share standing at KWD 275 million ($910.96 million), and the remaining share is distributed among the other banks.
International banks collaborated in funding Clean Fuel by a total of $6 million (KWD 1.81 million), said acting CEO of KNPC Ahmed Al Jimaz.
Contracts are expected to be signed by the end of 2016, Al Jimaz said, said that the international banks include Japan, Korea, and Italy.
Clean Fuel Project will be financed internally by about KWD 1.3 billion ($4.31 billion).
