International oil and gas services provider Petrofac has been awarded manifold group trunkline (MGT) system contract for first phase of Kuwait Oil Company’s (KOC) Lower Fars heavy oil development programme, located in the northern region of the country
The scope of work covers greenfield and brownfield facilities and includes engineering, procurement, construction, pre-commissioning, commissioning (EPC), start-up and operations and maintenance work for the main central processing facility (CPF) and associated infrastructure as well as the production support complex. This includes a 162-km pipeline, which will transport the heavy crude from the CPF to South Tank Farm located in Ahmadi, from where KOC has the option to send it to the proposed Al-Zour Refinery situated in the south of Kuwait.
The EPC element of the project, which includes 10 months commissioning and ramp-up work, is expected to be completed in approximately 52 months following which the plant will be given over to KOC. When fully operational, it is expected that the initial phase of the Lower Fars heavy oil project will produce around 60,000 bpd.
Subramanian Sarma, managing director of Petrofac’s Onshore Engineering & Construction (OEC) business, added, “This is a significant award for Petrofac in one of our core markets and complements the ongoing projects we have in hand for both KOC and Kuwait National Petroleum Company.
“With a track record extending over the last 14 years, it represents our eleventh project in the country and reinforces the strategic importance of Kuwait as part of our OEC portfolio. We look forward to working closely with CCC and KOC to deliver the project safely and on time.”
The EPC project, valued at approximately US$780 million, is integral to KOC’s plans to increase and maintain crude production over the next five years.
