Local firm submits lowest bid for Kuwait substations

03 January 2019
Local firm emerges as lowest bidder for two contracts covering substations at Kuwait Oil Company’s oil field development clusters

Heavy Engineering Industries & Shipbuilding Company (HEISCO) is the lowest bidder for two contracts to build substations for Kuwait Oil Company (KOC) in the South and East Kuwait (SEK) oil field area with prices totalling $94m.

HEISCO submitted a price of $51.41m for the contract to build an 11KV substation serving electrical submersible pump (ESP) facilities in SEK areas 1, 2 and 3, according to a notification published by Kuwait’s official Central Agency for Public Tenders (CAPT).

The firm quoted $42.29m for another 11KV substation for ESP facilities in SEK areas 4 and 5, as per the CAPT notice.

Bids for the contracts, for which only Kuwaiti contractors are competing, were submitted on 16 December last year.

HEISCO's bid for the first contract covering SEK areas 1, 2 and 3 was about 3.5 per cent lower than the second-lowest bid of $53.1m submitted by Alghanim International General Trading & Contracting.

The full list of bidders and prices is:

  • HEISCO - $51.41m
  • Alghanim International General Trading & Contracting - $53.18m
  • Arabi Enertech - $62m
  • KCC Engineering & Contracting - $63.03m
  • Naser al-Baddah & Partners General Trading & Contracting Company - $69.45m
  • Al-Ahlia Contracting Company - $71.89m
  • Bader al-Mulla & Bros Company - $72.08m

HEISCO's bid for the second contract covering SEK areas 4 and 5 was about 6.5 per cent lower than the next lowest bid of $45.21m submitted by Alghanim.

The full list of bidders and prices is:

  • HEISCO - $42.29m
  • Alghanim International General Trading & Contracting - $45.21m
  • NBTC Group - $53.12m
  • Arab Power & Technology Company - $54.62m
  • Al-Ahlia Contracting Company - $57.43m
  • Bader al-Mulla & Bros Company - $64.79m
  • KCC Engineering & Contracting - $70.55m

The contracts also involve the installation of transformers, generators, transmission lines and safety systems.

A MEED Subscription...

Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.