Arabi Enertech wins $98m Kuwait pipeline deal

17 February 2013

More than $761m-worth of upstream deals signed in January

State upstream operator Kuwait Oil Company (KOC) has awarded a KD27.7m ($98.3m) contract to the local Arabi Enertech for the installation of flowlines and associated works in the southeast of Kuwait.

The deal was signed on 15 January and is part of a raft of contracts signed last month totalling more than $761m, according to the latest figures released by KOC.

These include two deals worth more than $172m each signed with US oil field services firms Halliburton Overseas and Dowell Schlumberger for cementing services for KOC’s drilling and workover operations. Two smaller contracts valued at $120m each were awarded to Canada’s BJ Services Company and the local National Petroleum Services Company (Napesco).

Arabi Enertech will build a series of six-inch flowlines that will transport crude oil, water and waste from drilling wells to oil and gas gathering centres across South East Kuwait by the end of 2016.

The company was also awarded a $59.2m contract for the construction of high-pressure flowlines at Kuwait’s northern Jurassic wells, as part of KOC’s $400m worth of deals in December.

KOC signed a total of $3.6bn of upstream contracts in 2012 covering oil field services, engineering, procurement and construction and support services. This was up from $2.6bn in 2011, but significantly below Kuwait’s high of $11.6bn in 2010.

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