Kuwait to make decision on four oil pipeline packages

18 November 2025

 

Kuwait is evaluating bids on four packages for a major pipeline project after prices were submitted earlier this month, according to industry sources.

The four separate packages cover pipeline work in the north, south, east and west regions of the country, sources said.

Although the total of all bids submitted by Kuwait-based Alghanim International General Trading & Contracting is the lowest at KD419m ($1.4bn), the company submitted the lowest individual bid on only one package, located in northern Kuwait.

Its bid for the north Kuwait package was KD149.8m ($488.3m).

Mechanical Engineering & Construction Company submitted the lowest bids for pipeline work on two packages located in the south and east of the country. 

Both of these bids were valued at KD97,868,394 ($319m).

Al-Dar Engineering & Construction Company is the low bidder on the fourth package, for pipe work in western Kuwait, submitting a bid of KD64,825,398 ($211.3m).

Together, all four contracts are expected to be worth about $1.4bn when awarded.

The scope of all four packages focuses on developing new flowlines and connecting pipelines for oil-producing wells and water wells.

In some cases, companies are also required to replace old flowlines.

The contracts are based on work orders, so when KOC needs to connect wells it will issue a request for work execution, industry sources said. 

Kuwait is trying to boost project activity in its upstream sector.

The country’s national oil company, Kuwait Petroleum Corporation, is aiming to increase oil production capacity to 4 million barrels a day (b/d) by 2035.

In August, Kuwait announced that it was producing 3.2 million b/d.

Earlier this month, KOC said it was planning to spend KD1.2bn ($3.92bn) on its exploration drilling programme through 2030.

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Wil Crisp
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