Seven KOC contracts signal expansion in exploration and drilling operations

Kuwait is accelerating its efforts to strengthen oil exploration and production through a series of strategic tenders and contracts, aiming to enhance operational performance and diversify its petroleum output. These efforts are part of a broader strategy to solidify the country’s position in the global energy market and optimize the value of its natural resources.

According to local and international reports, Kuwait has recorded notable achievements in the oil sector, with increased production volumes and ongoing system improvements. The latest OPEC+ performance report ranked Kuwait among the top countries in drilling and exploration activity for May 2025.

In line with these efforts, the Kuwait Oil Company (KOC) awarded seven major tenders over the past two weeks, totaling KD 104.692 million. The contracts are aimed at expanding exploration and drilling capacity, supporting infrastructure, and ensuring a steady supply of critical materials and equipment.

Among the recently awarded tenders are:

Three contracts for exploration development, soil studies, and related services amounted to KD 49.196 million.

• A KD 33.7 million tender was granted to six companies for the supply of relief valve spare parts used in pressure systems and industrial tanks.
• Another contract, valued at KD 20.16 million, was awarded for the supply of casing pipes and accessories required for development drilling operations.
• A separate tender of approximately KD 70,000 was issued for submerged arc-welded straight-seam carbon steel pipes.

Kuwait’s downstream sector has also demonstrated strong performance. Official data show that the Mina Abdullah and Mina Al-Ahmadi refineries achieved a combined refining rate of 798,600 barrels per day during the 2024/2025 fiscal year. In addition, 100% of the gas extracted from oil fields was processed, reflecting Kuwait’s commitment to efficiency and environmental standards.

The Mina Abdullah Refinery reached a major milestone in risk engineering and safety by scoring 102.6 points in a global field survey conducted by Marsh, a leading risk management and insurance firm. The score ranks it first among 230 refineries worldwide.

Meanwhile, the Ahmadi Refinery earned a record 98.4 points, its highest score to date, placing it among the top-rated global refineries.

In another milestone, the Kuwait National Petroleum Company (KNPC) successfully loaded the first shipment of low-sulfur jet fuel (500 ppm) via the Shuaiba wharf, with a capacity of 13,400 tons to meet the requirements of Kuwait Petroleum Corporation (KPC) clients. During the fiscal year, 456 ships were loaded from the Mina Al-Ahmadi refinery—a historic high.

The company also produced 17,500 tons of marine fuel oil in line with international specifications limiting sulfur content to 0.5%, with 7,000 tons supplied to two ships as part of its environmentally compliant marine fuel strategy.

The rise in refining rates was partly due to the successful implementation of the CREEP pilot project at the Mina Abdullah Refinery, which increased the capacity of its distillation unit beyond planned targets.

These developments underscore Kuwait’s growing role in the global oil industry and its continued investment in exploration, production, and downstream excellence.