State-owned Kuwait Oil Company (KOC)has invited engineering, procurement and construction (EPC) contractors to submit bids by 17 October for a contract to install a telemetry system for its southern oil fields.

Prospective bidders include Spain’s Tecnicas Reunidas, Sharjah-based Petrofac Internationaland SK Engineering & Constructionand Daelim Industrial Company, both of South Korea.

The estimated $50 million-70 million contract calls for the installation of a supervisory control and data acquisition (SCADA) system, a management information system (MIS) and control systems to be able to detect oil and gas leaks along the company’s network of pipelines.

KOC’s insurers have requested that the upstream operator install the system in order to prevent accidents of the kind that occurred at the Rawdhatain oil field in early 2002. An explosion on a main oil pipeline reduced Kuwait’s oil production by about 600,000 barrels a day and caused damage estimated to have cost $160 million (MEED 12:4:02).