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Erbil Refinery is located in khabat district, at kawrkosek, 40 km west of Erbil city, and it occupies a land of 2.5km² to the left of upper Zab River. The refinery is composed at this stage of three production lines for crude oil refining and the production and storage and distribution and supply of petroleum products as per applied standards, which represent the 1st plant for crude oil refining in Kurdistan region. The actual construction works in this refinery started in 2005 as per a contract between the ministry of oil and the ministry of industry & minerals, and the planned schedule was to complete all the work in June 2006, but due to many financial and technical obstacles, the work was delayed, and the percentage of completion reached only 80% by Nov. 2008, which persuaded the government of Kurdistan region to terminate the construction works as per this contract and initiate a new contract with KAR Group to finish the works on the basis of national investment principles. Accordingly a new time schedule was fixed including also the import and supply of the remaining equipment.