State entities Export-Import Bank of Korea and the Korea Trade Insurance Corporation have packaged a total of $2.3 billion to back a Korean consortium in the order to build Kuwait`s first terminal for LNG imports

Exim Bank supplies $1.15 billion ($630 million in loans and $520 million in credit guarantee), and the rest by the state insurance company, the Exim Bank said on Sunday.

The LNG import terminal project costing a total of $3.6 billion has been commissioned by the Kuwait Integrated Petroleum Industries Company (KIPIC), an affiliate of state-run Kuwait Petroleum Corporation (KPC). The payment is guaranteed by KPC.

The policy institutions supply the bulk $2.3 billion of the $2.6 billion the three Korean builders - Hyundai Engineering, Hyundai Engineering & Construction and state-run Korea Gas Corp. (KOGAS) - need to complete the project.

The mega project involves over 130 Korean small and medium parts suppliers and subcontractors.

Kuwait plans to inject a total of $114 billion into its oil refining and petrochemical industries by 2022 based on a mid-and long-term strategic plan from KPC.

In May 2013, the Exim Bank provided $1.1 billion to KPC in its investment in an oil refining project in Vietnam. In October 2015, the Exim Bank signed a $5 billion financing agreement with KPC.

By Lee Seung-yoon and Minu Kim

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