Kuwait National Petroleum Company (KNPC) has signed a deal worth $400 million with South Korean Hyundai Engineering to upgrade a liquefied natural gas plant in Kuwait.

Work on the project will start in June and will be completed by the end of 2007, KNPC chairman Sami Al Rasheed said.
It aims at modernising the liquefied natural gas plant at Al Ahmadi refinery by enhancing the ethane recovery rate from the current 55 per cent to 96 per cent, he said.
The ethane will be sold to Petrochemicals Industries to be used as feedstock for the production of petrochemicals.
Hyundai Engineering is currently building a new oil export terminal at Al Ahmadi at a cost of $340 million.
Kuwait sits on 10 per cent of the world's proven oil reserves and it currently produces at full capacity of 2.7 million bpd. Kuwait plans to invest up to $40 billion in the next 15 years to modernise its oil sector which generates more than 90 per cent of public revenue.