The US' Parsons Engineering Corporationsigned on 20 November an extension to its existing contract for the provision of project management consultancy (PMC) services to Kuwait Oil Company (KOC). The 18-month contract is worth an estimated $45 million-50 million (MEED 9:11:01).
Parsons was awarded the initial, five-year contract, worth $84 million, in 1996. The contract is due to expire on 12 December (MEED 1:11:96).
In early May, KOC issued a tender for a new PMC contract. However, Parsons was the sole bidder for the five-year assignment.
Two other US firms were prequalified to bid for the PMC work - Fluor Danieland Foster Wheeler Corporation. One of the main reasons why they did not participate was a clause in the tender stating that the successful bidder would be barred from bidding for any other KOC work.