Contractors of oil rig tender complain about KOC

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KUWAIT CITY, Jan 10: According to reliable sources, the contractors participating in the oil rig tender, which was floated last April, affiliated to the Kuwait Oil Company (KOC), complained about lack of transparency and fair competition, reports Al-Qabas daily.

According to the information received by the daily, this tender, which has large question marks and has been pending for more than six months, is directly related to production. The delay in completing the drilling rigs may lead to a decline in the company’s production.

The contractors expressed their great surprise that KOC changed its strategy for the gearing mechanism, as the 30 drilling rigs were supposed to be installed by ten companies. Surprisingly, after the tender closed and the offers were viewed, the companies were reduced to three only, and one of them was given more than half the number of platforms. Such a measure would negatively affect the competition and violate the regulations, as it harms the reputation and credibility of the company with international oil companies.

They said, “The participants in this tender had submitted bank guarantees, which had to be extended. This led them to bear additional burdens. We wonder if it is reasonable for a company of the size of KOC, after the closing of the tender and having been informed of the prices, to change its awarding strategy. We demand the regulatory authorities to intervene to stop any practices or potential manipulation in awarding this tender”.

This news has been read 21878 times!