Kuwait Oil project advances as MECC secures a crucial trunk line contract, aiming to boost northern field production. This development is pivotal for the country’s long-term energy strategy.
Kuwait Oil Co. (KOC), part of state-owned Kuwait Petroleum Corp. (KPC), is focused on maximizing recovery and output from the northern oilfields. Meanwhile, Mechanical Engineering & Contracting Co. (MECC) recently won the Manifolds and Group Trunk Lines (MGT) project, valued at KWD34.7 million ($113 million). Consequently, local expertise will play a central role in achieving national energy targets.
Following the award, MECC will construct manifold pipelines to transport crude from wells to Gathering Centres (GCs) 29, 30, and 31. These GCs, originally contracted in 2014 to Petrofac, Larsen & Toubro, and Dodsal, each handle 100,000 barrels per day. Therefore, the MGT project is essential to link these high-capacity facilities and improve operational efficiency.
Furthermore, the project aligns with KPC’s strategy to increase total production capacity to 4 million barrels per day (bpd) by 2035. KPC plans capital expenditure of up to $410 billion by 2040. As a result, the Kuwait Oil project forms a cornerstone of the kingdom’s long-term investment in upstream infrastructure.
The northern fields, including Raudhatain, Sabriyah, and Bahra, remain a priority. The region produced nearly 700,000 bpd in 2022, while Wood Mackenzie estimates remaining reserves at 13.2 billion barrels. To maintain output, KOC is also advancing enhanced oil recovery projects.
In addition, the Sabriyah-Bahra (SA/BA) water injection network is approaching the award stage. This Engineering, Procurement, and Construction (EPC) project will maintain reservoir pressure and maximize extraction rates. Moreover, it is expected to complete by Q1 2028, supporting fields such as Bahra, which KOC aims to raise to 145,000 bpd by 2040.
KOC CEO Ahmed Jaber Al-Eidan emphasized that Kuwait’s maximum sustainable capacity (MSC) currently stands at 2.9 million bpd. Production averaged 2.55 million bpd in August 2024. He expects MSC to reach 3.2 million bpd by 2025 or 2026. Thus, northern field investments are essential to achieving the kingdom’s production targets.
Experts highlight that the Kuwait Oil project strengthens national energy security and reinforces Kuwait’s role in global oil markets. In addition, the project demonstrates the increasing capability of local contractors in handling large-scale infrastructure projects.
Looking ahead, successful completion of the trunk lines and related networks will enable KOC to optimize resource recovery and meet ambitious production goals. Overall, the Kuwait Oil project positions Kuwait as a key energy player in the Middle East, while also fostering local expertise and economic growth.
