US urges Iraq to resolve dispute over Kurdish oil
18 August 2022
The US State Department has urged Iraq’s federal government and the Kurdistan Regional Government (KRG) to find a way to support “existing and future” investments and resolve their ongoing disputes.
“We have been and we encourage the parties to determine a way forward that supports existing and future investments,” spokesperson Ned Price said during a briefing on 16 August.
"Any dispute between Baghdad and Erbil has the potential to set back those interests and the interest that we do share with the people of Iraq and Kurdish people as well,” he added.
US engagement
His remarks came a day after the US Senate Foreign Relations Committee called for the “highest-level” US engagement in Iraqi Kurdistan.
“We urge you immediately to engage at a high level with the KRG and the Iraqi government to safeguard the economic stability of the [Kurdistan Region of Iraq],” it said in a letter to President Joe Biden’s administration.
The senate’s letter was written in the wake of an announcement by Iraq’s oil ministry that said three US energy companies will have to stop tendering for projects in Iraqi Kurdistan in compliance with a decision made by Iraq’s Supreme Court in February.
Exiting Kurdistan
On 4 July, Iraq’s oil ministry said Schlumberger, Baker Hughes, and Halliburton are in the process of liquidating and exiting existing tenders and contracts in the region.
The US Senate Foreign Relations Committee said it was concerned about the oil ministry’s “selective application” of the court’s ruling to “certain” American companies.
Iraq's Federal Supreme Court in February found the Kurdistan Region’s oil and gas law to be “unconstitutional", therefore striking down the legal basis for the independence of the region’s oil and gas sector.
The KRG responded to the decision by saying that the court’s ruling was “unconstitutional” and “unjust".
Exclusive from Meed
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Local contractor bids low for $629m Kuwait oil project20 November 2025
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Wood Group wins Iraq oil contract20 November 2025
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Local firm wins contract for Kuwait power project19 November 2025
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UKEF issues $3.5bn interest letter for Al-Maktoum airport19 November 2025
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Riyadh gives Expo infrastructure bidders more time19 November 2025
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Local contractor bids low for $629m Kuwait oil project20 November 2025
Kuwait-based Mechanical Engineering & Contracting Company (MECC) has submitted the lowest bid on a contract to develop oil and gas facilities at the Sabriya and Bahra oil fields.
The scope of the project is focused on developing a water separation facility next to Gathering Centre 23 (GC-23) and GC-24.
It also includes developing an injection facility at GC-31.
The full list of bidders for the project is:
- Mechanical Engineering & Contracting Company (MECC) – KD193m ($629m)
- Spetco – KD229m
- Alghanim International – KD239m
The tender was issued on 15 December 2024, with an initial bid submission deadline of 16 March 2025.
The bid deadline was extended more than 10 times before prices were submitted.
The client on the project is state-owned upstream operator Kuwait Oil Company (KOC).
The scope of the project includes:
- Installation of a high-integrity pressure protection system
- Installation of chemical injection systems
- Installation of effluent water transfer pumps
- Installation of a low-pressure (LP) gas pipeline from the new LP gas knockout drum (KOD) to existing LP separator gas crude accumulator (inside GC-23 & 24)
- Installation of interconnecting piping, instrumentation, electrical and civil works
- Installation of a new oil recovery system with pumps, flowmeter and analyser
- Installation of the substation and its equipment/systems
- Installation of tie-ins for process and utilities from/to existing GC-30 to new injection facility
- Installation of sludge collection, treatment and disposal system
- Associated facilities
Kuwait is trying to boost project activity in its upstream sector.
The country’s national oil company, Kuwait Petroleum Corporation, aims 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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Wood Group wins Iraq oil contract20 November 2025
Aberdeen-based Wood Group has won a contract to deliver project management and engineering services for PetroChina at the West Qurna-1 oil field in southern Iraq, according to a statement from the company.
Under the terms of the contract, Wood will manage engineering, procurement and construction (EPC) projects at the field.
Located approximately 50 kilometres northwest of Basra, West Qurna-1 holds more than 20 billion barrels of recoverable reserves.
Ellis Renforth, Wood’s president of operations for the Europe, Africa and Middle East region, said: “This contract award deepens our decade-long partnership at West Qurna-1 and reflects the continued trust placed in Wood to deliver complex energy solutions in Iraq.
“We’re proud to combine our global expertise with a strong local workforce to help support Iraq’s energy ambitions.”
The contract will be delivered by nearly 200 Wood employees based in Iraq and the UAE, the company said.
On 17 November, in a vote, 88% of Wood Group’s shareholders backed the company’s takeover by Dubai-based Sidara.
The vote came after months of delay, while Wood struggled to agree its accounts with its auditor.
The company’s accounts were eventually published on 30 October, showing a pre-tax loss of more than £2bn and evidence that the auditor was still not satisfied with the figures going back several years.
Wood Group accepted a $292m conditional takeover bid from Sidara in August.
As of February, Wood Group employed 35,000 people across about 60 countries, many in consulting and engineering roles.
In the Middle East, the company has project contracts in Iraq, Kuwait, Oman, Qatar, Saudi Arabia and the UAE, where it has opened its third office in Sharjah.
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Local firm wins contract for Kuwait power project19 November 2025
Local firm Alghanim International has won a contract to provide engineering services at the Subiya power and water distillation plant.
Kuwait’s Central Agency for Public Tenders approved the award following a request from the Ministry of Electricity, Water & Renewable Energy.
The contract, valued at $286m, covers engineering, supply, installation, operation and maintenance services to convert the 250MW second phase of the plant’s open-cycle gas turbines to combined-cycle gas turbines.
The upgrade is intended to increase efficiency and provide additional generation capacity during periods of high demand.
In July, MEED reported that Alghanim had submitted the lowest bid for the tender ahead of local firms Al-Daw Engineering General Trading & Contracting and Al-Zain United General Trading & Contracting.
In 2024, US-based GE Vernova completed separate upgrades of four GE Vernova 9F.03 class gas turbines at the 2GW Sabiya combined-cycle power plant. Alghanim International acted as GE’s local engineering partner for that work.
The Subiya power and water distillation plant is the largest power and water plant in Kuwait, with a power generation capacity of 7,046.7MW, accounting for 35% of the country’s installed capacity.
It has a water desalination capacity of 100 million imperial gallons a day.
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UKEF issues $3.5bn interest letter for Al-Maktoum airport19 November 2025
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The UK’s export credit agency UK Export Finance (UKEF) has issued a $3.5bn expression of interest letter to support the participation of UK businesses in the $35bn expansion of Al-Maktoum International airport, which is also known as Dubai World Central (DWC).
Chris Bryant, UK minister for trade, handed the letter to Khalifa Al-Zaffin, executive chairman of Dubai Aviation City Corporation and Dubai Aviation Engineering Projects (DAEP), and Paul Griffiths, CEO of Dubai Airports.
Letters of interest from UKEF, although not binding commitments, help ensure that UK exporters are given every opportunity to bid for contracts on a project. This is typically achieved by providing financial solutions in exchange for an agreed level of UK content used on the project.
Previous letter
It is not the first time UKEF has issued a letter of interest for the expansion of Al-Maktoum International airport. In 2014, it issued a $2bn letter of interest. In a statement at the time, UKEF said five prime UK-based contractors were being supported, along with UK suppliers across the supply chain.
The five prime contractors were Carillion, Kier, Balfour Beatty, Laing O’Rourke and Interserve. Of those five companies, Carillion entered liquidation in 2018 and Interserve entered administration in 2019. Balfour Beatty sold its shareholding in Dubai-based Dutco Balfour Beatty in 2017.
Although some progress was made on the project after the UKEF offer in 2014, the scheme stalled and was revived again in April 2024, when Dubai approved new designs for the airport.
Project progress
Since then, the project client, DAEP, has been awarding and tendering contracts for the first construction packages. It has awarded a AED1bn ($272m) deal to UAE firm Binladin Contracting Group to construct the second runway at the airport.
The enabling works for the terminal building are being undertaken by Abu Dhabi-based Tristar E&C.
DAEP is also close to formally awarding a contract for the substructure works for the West Terminal and Concourse One, Concourse Two and Concourse Three.
Tendering is also ongoing for an automated people-mover (APM) system. The system will run under the apron of the entire airfield and the airport’s terminals. It will consist of several tracks, taking passengers from the terminals to the concourses.
Four underground stations will be built as part of the first phase. The overall plan includes 14 stations across the airport.
The airport’s construction is planned to be undertaken in three phases. Construction works on the project’s first phase are expected to be completed by 2032.
The airport will cover an area of 70 square kilometres (sq km) south of Dubai and will have five parallel runways, five terminal buildings and 400 aircraft gates.
It will be five times the size of the existing Dubai International airport and will have the world’s largest passenger-handling capacity of 260 million passengers a year. For cargo, it will have the capacity to handle 12 million tonnes a year.
Dubai has said the plan is for all operations from Dubai International airport to be transferred to Al-Maktoum International within 10 years.
This aviation package also includes:> Middle East invests in giant airports
> Broader region upgrades its airports
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Riyadh gives Expo infrastructure bidders more time19 November 2025

Saudi Arabia’s Expo 2030 Riyadh Company (ERC), which is tasked with delivering the Expo 2030 Riyadh venue, has extended the deadline for firms to submit commercial offers for the contract to undertake the initial infrastructure works at the site to 23 November.
ERC had initially set deadlines of 26 October and 9 November for the submission of technical and commercial bids, respectively.
The tender for the project’s initial infrastructure works was issued in September, as MEED reported.
In October, MEED revealed that 16 firms had been invited to bid for the contract to undertake the initial infrastructure works at the Expo 2030 Riyadh site.
The firms invited to bid include:
- Shibh Al-Jazira Contracting (local)
- Hassan Allam Construction (Egypt)
- El-Seif Engineering Contracting (local)
- Al-Ayuni Investment & Contracting (local)
- Kolin Construction (Turkiye)
- Al-Yamama Trading & Contracting Company (local)
- Saudi Pan Kingdom (local)
- Unimac (local)
- Mapa Insaat (Turkiye)
- Yuksel Insaat (Turkiye)
- IC Ictas / Al-Rashid Trading & Contracting (Turkiye/local)
- Mota-Engil / Albawani (Portugal/local)
- Almabani / FCC Construction (local/Spain)
The overall infrastructure works – covering the construction of the main utilities and civil works at Expo 2030 Riyadh – will be split into three packages:
- Lot 1 covers the main utilities corridor
- Lot 2 includes the northern cluster of the nature corridor
- Lot 3 comprises the southern cluster of the nature corridor
MEED previously reported that ERC was expected to issue the tender for some of the infrastructure packages in September.
In July, US-based engineering firm Bechtel Corporation announced it had won the project management consultancy deal for the delivery of the Expo 2030 Riyadh masterplan construction works.
The masterplan encompasses an area of 6 square kilometres, making it one of the largest sites designated for a World Expo event. Situated to the north of the Saudi capital, the site will be located near the future King Salman International airport, providing direct access to various landmarks within Riyadh.
Countries participating in Expo 2030 Riyadh will have the option to construct permanent pavilions. This initiative is expected to create opportunities for business and investment growth in the region.
The expo is forecast to attract more than 40 million visitors.
The Public Investment Fund (PIF), Saudi Arabia’s sovereign wealth vehicle, launched ERC in June as a wholly owned subsidiary to build and operate facilities for Expo 2030.
In a statement, the PIF said: “During its construction phases, Expo 2030 Riyadh and its legacy are projected to contribute around $64bn to Saudi GDP and generate approximately 171,000 direct and indirect jobs. Once operational, it is expected to contribute approximately $5.6bn to GDP.”
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