The Higher Petroleum Council (HPC) has approved a draft agreement covering the development of the proposed Project Kuwait scheme. The decision paves the way for further debate within the National Assembly (parliament) and the release of request for proposals (RFP) documents for the project, which calls for international oil companies (IOCs) to assist in doubling oil output from five northern fields to about 1 million barrels a day (b/d). The client is Kuwait Petroleum Corporation (MEED 31:10:03).
Three groups of IOCs submitted development plans in October for the estimated $4,000 million scheme. They are: ChevronTexaco Corporationof the US, with France's Total, Petro-Canada, Russia's Sibneft and Sinopec of China; BPof the UK, with the US' Occidental Petroleum Corporationand ONGC Videshand Indian Oil Corporation, both of India; and ExxonMobil Corporationof the US, with the Royal Dutch/Shell Group, Conoco-Phillips, also of the US, and Denmark's Maersk Oil & Gas. The successful consortium will develop the project through the implementation of an operating service agreement. Kuwait is producing close to its sustainable capacity of 2.3 million barrels a day of crude. The government expects to earn more than $25,000 million from oil exports in 2004 (see Economy).
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