Kuwait Oil Company technology collaboration with Baker Hughes

Kuwait Oil Company (KOC) has signed a further technology collaboration contract related to its Ahmadi Innovation Valley initiative as it seeks to enhance upstream performance through the introduction of the most advanced technologies

Kuwait’s national oil company has signed a multi-year contract with Baker Hughes to accelerate technology innovation in the country’s upstream energy sector. It makes Baker Hughes a key technology collaborator in the Ahmadi Innovation Valley (AIV), KOC’s flagship initiative aimed at establishing an in-country research and innovation hub to address its strategic oil and gas development priorities, bringing together industry academic and technology providers to address upstream technical challenges.

Scalable technology solutions

Through the collaboration, Baker Hughes and KOC will focus on developing and deploying scalable, fit-for-purpose technology solutions that optimise production and flow assurance, while addressing other priorities across KOC’s technology roadmap. Baker Hughes will leverage its portfolio of digital and AI automation solutions that help operators increase recovery from existing wells, lower operating costs, reduce water production and minimise power consumption.

“Baker Hughes is committed to deeply understanding KOC’s development aspirations and providing the solutions needed to help achieve them,” said Baker Hughes Chairman and chief executive officer Lorenzo Simonelli. “Working together, we aim to deliver tailored technology solutions at scale that improve production performance and efficiency, supporting KOC’s goals to maximise value from their assets.”

As part of the agreement, Baker Hughes will build a dedicated research and technology development centre in the Ahmadi Innovation Valley to support the evaluation of new solutions, deliver technology solutions at scale and build local expertise.

It comes after KOC’s signing of a seven-year contract with SLB in June, which will see SLB establish a dedicated AIV facility and support applied research, technology deployment and digital innovation programmes focusing on AI, IIoT applications, production optimisation, reservoir technologies, water management and energy transition initiatives. That was followed by a contract with Halliburton in July which will see Halliburton deploy key technologies to execute a tailored programme of projects and engineered solutions with a focus on digital capabilities through the application of data, scientific analysis, and artificial intelligence for the full field lifecycle.

Shift to collaborative arrangements

These arrangements mark a shift from traditional field services to collaboration and co-creation of technology and innovation. They reflect KOC’s focus on innovation and scaling digital solutions, as it seeks to lift crude oil production capacity to 4mn bpd by 2035, positioning the centre as a platform for applied research and upstream technology development.