International arm of state oil firm says it will use funds to support global operations
The international arm of Kuwait's state oil company said on Wednesday it had signed a $750m, five-year syndicated loan which it will use to increase liquidity and support its global operations.
Kuwait Foreign Petroleum Exploration Company (Kufpec) said five banks - Bank of Tokyo-Mitsubishi, HSBC, JP Morgan Chase, National Bank of Kuwait and Royal Bank of Scotland - had arranged the loan, according to a statement cited by state news agency KUNA.
No other details about the facility were provided.
Kufpec is active in exploration, development and production of crude oil and natural gas in Africa, Middle East, Asia and Australia. It is planning to increase production capacity to 200,000 barrels of oil equivalent per day and boost its reserves to 650 million barrels by 2020, the KUNA statement said.
OPEC member Kuwait produces around 3 million barrels of oil per day. It wants to increase that to 4 million by 2020.
Kufpec began marketing the loan in April, offering to pay 140 basis points over the London interbank offered rate (Libor).