KOC awards Petrofac Burgan contract worth $1.3bn

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KUWAIT CITY, March 28, (Agencies): British oilfield services company Petrofac Ltd said on Tuesday Kuwait Oil Co had awarded the company a $1.3 billion engineering, procurement and construction contract for the Burgan oil field in south-east Kuwait. Petrofac’s shares rose as much as 2.33 percent.

The company will develop a gathering centre to process crude oil and gas recovered from Arifjan, Marat, Minagish Oolite and Burgan Wara high hydrogen sulphide fields, with work scheduled to be completed by 2020. Petrofac said in February that it saw an uptick in bidding activity in its core middle eastern markets.

A number of contracts that were deferred in 2016 were seen coming back in 2017, CFO Alastair Cochran had told Reuters then. “Kuwait is one of our core markets in the Middle East and we have been executing projects in the country since the early 1980s. We are proud to continue our association with KOC and look forward to working closely with them to deliver the project,” Marwan Chedid, Group Chief Operating Officer at Petrofac, said in the company statement. Petrofac has been operating in Kuwait since 1982, with current projects in the country exceeding $4 billion. Elsewhere in the Middle East, Petrofac has ongoing projects in Oman, Iraq, and Abu Dhabi.

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