Duqm Refinery Achieves Major Milestone with Successful Lender Reliability Test

Strategic Joint Venture Between KPI and OQ Group

Kuwait Petroleum International (KPI), in partnership with Oman’s OQ Group, announced the successful completion of the Lender Reliability Test at the Duqm Refinery. This milestone enables the refinery to secure over $4 billion in shareholder guarantees, highlighting the project's financial credibility and operational excellence.

A Testament to Operational Readiness

KPI CEO Shafi Al-Ajmi emphasized that this achievement confirms the refinery’s ability to meet all requirements set by international lenders. The Lender Reliability Test is a vital checkpoint in a refinery’s journey toward commercial readiness, validating sustained performance and adherence to global standards.

“Completing this test within just 10 months of mechanical completion demonstrates our readiness for full-scale operations,” Al-Ajmi noted. He described the moment as pivotal in the refinery’s development.

Exceeding Design Capacity

One of the most impressive aspects of this milestone is the refinery’s ability to surpass its design output. Originally built for 230,000 barrels per day, Duqm Refinery now operates at 110% capacity, processing around 255,000 barrels daily. It has already exported over 4.1 million tons of refined products to global markets.

Al-Ajmi praised this accomplishment as a reflection of the refinery's industrial excellence and operational flexibility, making it a benchmark in the Middle East’s refining sector.

Strong Support from Kuwait Petroleum Corporation

The success of the Duqm Refinery is deeply rooted in the continued support of Kuwait Petroleum Corporation (KPC). According to Al-Ajmi, KPC played a critical role in the project’s success, providing the strategic backing required to navigate both technical and financial challenges.

Collaboration Was Key to Success

Imad Al-Hadlaq, Executive Vice President of Manufacturing at KPI, shared his pride in this major achievement. “This success required the exceptional cooperation of all stakeholders—partners, financiers, and suppliers. We overcame many challenges together, and today we celebrate this milestone as a shared victory,” he stated.

Strategic Location and Global Reach

Located in Oman’s Special Economic Zone at Duqm, the refinery benefits from a strategic position that allows easy access to both regional and global markets. Its location enhances supply chain efficiency and positions it as a key player in the international energy sector.

Part of KPI’s Broader Global Strategy

Duqm Refinery represents a core component of KPI’s global expansion strategy. Since its founding in 1983, Kuwait Petroleum International has grown into a major international energy player. It operates over 4,700 retail fuel stations across Europe, including more than 2,800 in Italy, and supplies aviation fuel at over 70 airports worldwide.

In addition to the Duqm project, KPI holds stakes in refineries in Italy and Vietnam through strategic partnerships, further strengthening its presence in the global market.

Pioneering Independent Refining in the Middle East

As the first independent commercial refinery of its kind in the region, Duqm Refinery showcases the potential of cross-border energy partnerships. Its high operational standards, environmental responsibility, and innovative design position it as a model for future refinery projects in the Middle East and beyond.

Looking Ahead

With the successful completion of the Lender Reliability Test, Duqm Refinery is now poised to lead the next phase of regional energy transformation. The project not only enhances the global standing of Kuwait’s energy sector but also reinforces the strategic partnership between Kuwait and Oman.

This milestone is more than just a technical achievement—it is a statement of readiness, resilience, and a shared vision for a sustainable energy future.