The joint venture submitted a bid of $1,295 million, about 6 per cent lower than the second lowest offer of $1,381 million from Paris-based Technip. South Korea's GS Engineering & Construction - formerly known as LG Engineering & Construction - was the only other prequalified contractor to bid, submitting a price of $1,471 million.

The client, the Kuwait Aromatics Company (Karo) - a joint venture of the local Petrochemical Industries Company (PIC) and recently incorporated public investment vehicle Al-Qurain Petrochemical Company- is expected to take three-four months evaluating bids (MEED 12:11:04).

The planned plant, to be located at Shuaiba, will have capacity of 770,000 tonnes a year (t/y) of paraxylene and 330,000 t/y of benzene. State-owned Kuwait National Petroleum Companywill supply the plant with 2.5 million t/y of naphtha feedstock. The plant's technology has been licensed from the US' UOP. SocieteGenerale (SG)is Karo's financial adviser. The US' Fluor Corporationhas completed the front-end engineering and design (FEED) and is providing project management services.

The benzene produced from the aromatics complex facility will be used as feedstock for the planned styrene unit, under the estimated $2,000 million Olefins II complex, which is being developed by a joint venture of PIC and the US' Dow Chemical Company(Kuwait, MEED Special Report, 4:2:05, pages 43-45).

Both Tecnimont and GS have been prequalified to bid by 7 July for the ethylene oxide/ethylene glycol (EO/EG) unit on Olefins II. Other companies invited to compete for the estimated $350 million scheme include US-based FosterWheeler, Japan's Toyo Engineering Corporation, Spain's Tecnicas Reunidasand Samsung Engineering Companyof South Korea. The client is The Kuwait Olefins Company (TKOC - MEED 15:4:05).

SG is again financial adviser and has begun a market-sounding exercise with banks.