Work begins on new Karbala oil refinery

The Iraqi Oil Ministry has reported that construction work has begun on a crude oil refinery in Karbala province which is expected to have an output capacity of 140,000 barrels per day.

The government had earlier awarded the project to a consortium of South Korean companies led by Hyundai.

According to ministry undersecretary Ahmed al-Shamaa, the refinery will be built on six square kilometres south of Karbala and will cost about $6 billion, with construction expected to take approximately four and a half years to complete.

Al-Shamaa added that the refinery will use modern technology to produce high quality oil products that will also conform to environmental standards which lower the gases emitted by the production process.

The Oil Ministry plans to build three other refineries in addition to the new Karbala refinery. Al-Shamaa said the planned refineries will help to meet the need for "oil products such as gasoline, kerosene and cooking gas, as well the fuel needed to operate electricity stations."

For the original January 15, 2014 piece from, a service of Al-Shorfa referenced in this summary, click here.