Dodsal bids low for Kuwait water injection scheme

11 February 2014

Dubai-based group Dodsal submits bid of $948m for Kuwait water injection contract

Dodsal Group has submitted the lowest-priced proposals for a major deal for the construction of an effluent water treatment and injection plant to boost crude oil production from the north of Kuwait.

The Dubai-based firm submitted a price of KD267.5m ($948m) beating rival proposals from four other international engineering, procurement and construction (EPC) firms, which submitted bids on 10 February to state upstream operator, Kuwait Oil Company (KOC).

 

EFFLUENT WATER TREATMENT & INJECTION PROJECT BIDDERS
CompanyPrice (KD)Price ($)
Dodsal (Dubai-based)267,461,340947,845,544
Petrofac (UK)315,435,0191,117,857,546
Saipem (Italy)332,670,0001,178,935,906
Daelim (South Korea)410,129,3941,178,441,154
Hyundai Engineering & Construction (South Korea)426,156,5711,510,239,226
Source: MEED

If awarded, the deal would represent Dodsal’s first EPC contract in Kuwait.

The project aims to provide pressure support for the Sabriya and Raudhatain fields in the north of Kuwait by the end of 2017. It includes the construction of an injection facility with a capacity of 500,000 barrels a day (b/d) of water. Effluent water will be collected from four oil-gathering centres in the northern Kuwait area. After treatment, the water will be injected into 150 wells using approximately 250 kilometres of pipelines, ranging from six to 30 inches in diameter. It also includes storage tanks and pumps.

The deal is the latest in a series of major water injection projects. In August 2011, Kuwait awarded South Korea’s GS Engineering & Construction a $545m deal to build an effluent water collection, treatment and injection facility by the middle of 2014. The scheme aims to pump as much as 1 million b/d of water to the Wara oil formation to maintain pressure and production levels at Kuwait’s giant Burgan oil field in the southeast of the country.

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