Register for MEED’s 14-day trial access
UK‑based Petrofac has submitted the lowest bid for a contract to install Water Injection Plant 4 (WIP‑4) in south Kuwait.
Petrofac submitted a bid of KD453,736,367 ($1.48bn), which is 7% lower than the KD488,378,247 ($1.59bn) submitted by India’s Larsen & Toubro, the only other company to bid for the project.
The project’s bid deadline was postponed at least 14 times before prices were ultimately submitted.
The main contract tender was originally issued by Kuwait Oil Company (KOC) on 11 August 2024, with a bid submission deadline of 10 November 2024.
The project includes:
- Construction of a water injection plant called WIP-4
- Installation of safety and security systems
- Laying of pipelines
- Installation of oil gathering systems
- Installation of the new well pads
- Construction of associated facilities
When it was first tendered in August last year, nine companies were qualified to bid. They were:
- Samsung Engineering & Construction (South Korea)
- Sinopec Luoyand Engineering Company (China)
- Hyundai Engineering & Construction Company (South Korea)
- Sinopec Engineering Incorporation (China)
- Larsen & Toubro (India)
- Petrofac International (UK)
- Saipem (Italy)
- Daewoo Engineering & Construction (South Korea)
- Tecnicas Reunidas (Spain)
Kuwait is currently trying to boost project activity in its upstream sector.
The country’s national oil company, Kuwait Petroleum Corporation (KPC), is aiming to increase oil production capacity to 4 million barrels a day by 2035.
