'Our board has approved our latest strategic direction and the main targets established are for the upstream sector to reach crude oil production capacity of 4 million-5 million barrels a day [b/d] by 2020,' said Sultan. 'We put a proposal to the Supreme Petroleum Council [SPC] with a target of 4 million b/d. The SPC asked us to look at a target of 5 million b/d, and over the next 18 months-two years we will conduct detailed studies to see if 5 million b/d is achievable and sustainable.'

One of the mainstays of the programme is Project Kuwait, which calls for up to $7,000 million to be invested in five northern fields by consortia of international oil companies (IOCs), with the aim of doubling capacity to 900,000 b/d.

'There are three parallel tracks on Project Kuwait. The first is the development of documentation for the bidding process; the second is obtaining the necessary approvals from the SPC; and the third is finding the right legal framework to take the plan to the National Assembly [parliament],' said Sultan. 'We are working on the first, and within weeks will be getting guidelines from the SPC for the legal approach to parliament, the finalised fiscal terms and a timeframe for moving forward. We feel confident that the government will work with parliament to get the necessary approvals.'

Senior IOC executives agree. 'The issue is going to be brought before the National Assembly before the summer and the government is confident,' said one. 'There will be the usual noises of opposition, but 60-70 per cent of the assembly will support the proposal.'

Sultan stressed that one of the main themes of KPC's strategic plan will be the creation of domestic job opportunities for Kuwaiti nationals. 'First, we will incorporate into the different service and maintenance contracts an obligation for the contractors to have a minimum percentage of Kuwait employees: at the first stage the target is 25 per cent, to be achieved within five years,' he said. 'The next step is to include a similar obligation within construction contracts. In addition, there will be a separate obligation for international and local contractors to spend a certain value of the project on local goods and services. '

Sultan also outlined measures being adopted for greater efficiency in project implementation. 'We in the Kuwait oil industry definitely face a problem in our ability to implement projects on time. our projects are usually two-three years behind schedule,' he said. 'A taskforce has recommended actions to improve this.'

The proposed measures include: the development of a common bank of information on contractors; more focus and expenditure in the design and pre-engineering phase; development of common policies in the prequalification of consultants and contractors; work with an international project management consultant to assist in the engineering design phase; and, in bid assessments, a focus on 'techno-economic evaluation covering the lifecycle of the project and not simply the lowest bid'.