O&G low bidder for Kuwait pipeline

29 April 2008

The local O&G Engineering General Trading & Contracting is the low bidder at KD5.7m ($21m) for the contract to build an oil pipeline linking transit line 3 and the Doha water and power generating complex in the north of Kuwait.

O&G’s bid is 28 per cent lower than the next best price of KD7.3m ($27m) from the local KCC Engineering & Contracting Company. Thge local Alghanim International General Trading & Contracting Company came third on price at KD7.9m ($29.3m).

Ten other local contractors priced the work.

The lump-sum engineering, procurement and construction job involves the installation of a 20-inch-diameter, 25-kilometre-long crude pipeline running between the new main crude export pipeline and the oil-fired Doha East power and desalination plant. The pipeline is expected to be operational for 30 years (MEED 17:1:08).

The client, state-upstream operator Kuwait Oil Company (KOC), is expected to take about three months evaluating the bids before making an award.

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