Kuwait $2.3bn Awards Boost Ambitious Output Plans

Kuwait Oil Company (KOC), the onshore upstream subsidiary of Kuwait Petroleum Corporation (KPC) has awarded $2.3bn in contracts to three separate companies to build new crude gathering centers. Kuwait currently has 26 gathering centers.

The awards appear part of a $15bn plan to invest in conventional oil production in North Kuwait (as opposed to the heavy oil projects also planned for North Kuwait) through 2020, outlined this week in a letter sent to MEES by KOC CEO Hashim Hashim.

KOC plans to increase total onshore production capacity to 3.65mn b/d by 2020, a figure that reaches 4mn b/d if output from the Neutral Zone shared with Saudi Arabia is included. A large chunk of the increment will come from three North Kuwait conventional developments, which will push production capacity in the region to 1mn b/d, according to Mr Hashim. This represents a 300,000 b/d boost over current capacity in the region. (CONTINUED - 269 WORDS)