Kuwait Finance House, Bahrain has formally announced plans for the development of a groundbreaking $1.3 billion industrial project – the first of its kind in the region – in Bahrain.

According to general manager Abdulhakeem Alkhayyat, the project will involve the construction of a combined petrochemical and power and water generation complex.
A suitable location for the project will be finalised shortly with the Ministry of Industry and the project is expected to be completed by the first quarter of 2008, he said.
“At least 50 studies have gone into the project development phase of the project and we have submitted an official application with the Ministry of Industry for an industrial licence,” he said.
Successful feasibility studies on the project were carried out in conjunction with an international consortium consisting of partners including General Electric (GE) Energy, Weir International and Stone & Webster, in cooperation with Uhde and Chicago Bridge & Iron Company – global leaders in their respective areas.
This project is expected to substantially contribute to Bahrain’s downstream development and produce numerous infrastructural and economic benefits for the kingdom as well as local and international companies. “With the support and participation of world-class partners, we look forward to moving ahead with the next phase of this first of a kind regional project, he said.
“The integrated nature of this world-class complex – which will be designed according to the highest international safety and environmental standards and using the latest technologies – is aimed at ensuring maximum efficiency and cost-effectiveness,” said Alkhayyat.
The planned facility will generate about 1,000 MW per hour of power and 30 million gallons of water per day while simultaneously producing six key petrochemical products. These include: 315,000 tonnes of ethylene dichloride (EDC), 500,000 tonnes of caustic soda, 167,000 tonnes of liquefied petroleum gas (LPG) and 44,000 tonnes per annum of gasoline stream, in addition to some quantities of hydrogen and sulphur.
“Approximately 255 million standard cu ft per day of natural gas will be required to operate the complex at full capacity and the fact that the raw material is available in plenty in the region has prompted us to start up such a facility.”
This is a unique project and a compelling investment opportunity, which we intend to maximise for the benefit of the Bahrain economy and our stakeholders,” said Alkhayyat.
KFH, Bahrain is a leading provider of Islamic commercial and investment banking services.