UAE-based Dodsal has been awarded a KD265m ($868m) contract to construct feed pipelines at Kuwait Oil Company’s (KOC’s) New Refinery Project, according to sources.

Any possibility of retendering had been “ruled out”, says a source.

The project had been tendered in 2014, was approved for retendering by KOC in 2015, and was awaiting the green light from Kuwait’s Central Tenders Committee.

The retender had faced delays due to disagreements on which companies would be eligible for it.

Dodsal, along with Indian firm Larsen & Toubro and UK-based Petrofac, had earlier been given approval by KOC to bid on the scheme.

The project comprises a series of pipelines with a total length of 350 kilometres to supply 615,000 barrels a day of crude and 300 million cubic feet a day of gas feedstock for the New Refinery Project.

Work on the scheme is under way, with feed pipelines package the last to be awarded. Kuwait National Petroleum Company is developing the New Refinery Project, located north of Al-Zour power station, to meet growing demand from the power sector. It is set to produce low sulphur fuel oil by processing heavy crude.