Low bid submitted on Kuwaiti gas terminal

02 February 2016

Consortium submits price of $2.9bn

A consortium of South Korea’s Hyundai Engineering and Hyundai Engineering & Construction (E&C) have submitted the low bid on Kuwait National Petroleum Company’s (KNPC’s) planned liquefied natural gas (LNG) import terminal.

On 2 February, Kuwait’s Central Tenders Committee (CTC) announced the team had submitted a price of $2.9bn.

The second-lowest bidder was a consortium of Spain’s Tecnicas Reunidas and South Korea’s GS E&C. It submitted a price of $3.1bn.

Two other teams also submitted bids, but were disqualified from the bidding process.

These were:

  • Fluor (US) and Daewoo E&C (South Korea)
  • Petrofac (UK), Entrepose (France) and Vinci (France)

The exact reason for the disqualification of the two consortiums is not known.

Bids were submitted on 31 January. KNPC has extended the bid deadline for the project three times. The original bid deadline for the scheme was 29 September 2015.

Originally, a total of 13 bidders qualified to submit prices.

The LNG import terminal will be located near the town of Al-Zour in the Kuwaiti half of the Divided Zone, which is shared with Saudi Arabia.

According to KNPC’s plans, the terminal will have a capacity of 1.5 trillion BTUs a day and will include two berths for the simultaneous unloading of large LNG carriers.

The terminal will also include four full containment LNG tanks, each with a working capacity of 225,500 cubic metres.

It is due to be constructed on reclaimed land formed by hydraulic filling.

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