KOC - JPF 5 Off-Plot Works & Production Facilities

General Information
Owner Kuwait Oil Company
Masterplan Project (Parent Profile) KOC – Jurassic Non-Associated Phase 2: JPF IV & V Off-plot Works & Production Facilities – Kuwait
Location Al-Jahra Governorate, Kuwait
Status --
Sector Gas, Upstream, Gas Extraction
Contract Type Engineering Procurement Construction (EPC)
Onshore/Offshore Onshore
Greenfield/Brownfield Greenfield
Progress 1
Estimated Budget Value ---
Contract Value 423
Net Value $423m
Award Date November 2021
Completion Date March 2025
Last Updated On November 2021
ProjectId (Old, New) 44244, 268602

Kuwait Oil Company (KOC) is planning the development of the Jurassic Gas Production Facility in Kuwait.

Tender No. RFQ-2047019

JPF-5 is an Onshore Surface Production Facility and shall be implemented on a Build-Own-Operate basis by the contractor. Additionally, KOC has an option to buy back the facility after a period of five years as detailed in Contract Specifications.

Accordingly, the contract period is divided into “Execution Phase” and “Operation & Maintenance (O&M) Phase”.

The project aims to produce Fifty Thousand Barrels of Stock Tank Oil Per Day (50 STMBOPD) of treated sweet crude (Jurassic Light Oil with 40° – 50° API) and one hundred and fifty Million Standard Cubic Feet per Day (150 MMMSCFD) of sweet and dehydrated rich gas by processing /handling of sour and wet gas reservoir fluids from NK Jurassic Fields as specified in relevant sections of Technical Specification. Produced Water Treatment unit, Sulphur Recovery Unit along with associated utility/supporting systems are also part of this Facility.

The US$500 million project includes the following:

I. The Facility consists of the following sections:

1. Oil inlet, Separation, Oil Treatment, and Export section

2. Sour Gas Compression section

3. Gas Treatment (conditioning, sweetening & dehydration) and Export section

4. Effluent Water Treatment and Disposal Section

5. Sulphur Recovery Unit and Sulphur Transport Section

6. Utility & Supporting Systems for the above

7. Facility infrastructure like Buildings, Roads, etc.,

II. Sour and wet hydrocarbon reservoir fluids are received to the Facility through a flow line gathering network or through trunk lines. Combined feed passes through the inlet production headers and test header and is routed to MP /LP separators which operate

III. Separated sour and wet crude is processed in desalter and stabilizer sections to meet the required crude export specifications (Salt content, Bottom Sediments, and Water-BS&W, Reid Vapor Pressure-RVP & Hydrogen Sulfide- H2S). Treated on spec. crude is exported to the Company crude transit line network by crude export pumps with the necessary flow measurement system.

IV. Crude Rerun Tank and transfer system is provided to handle unit upset, start-up, and shutdown scenarios by reprocessing the off-spec crude.

V. Sour Gas Compression consists of four levels as given below:

1. Vapor Recovery Unit (VRU): Hydrocarbon gases from Very Low-Pressure systems (near to atmospheric pressure like Tanks, Closed drain systems, etc.) are compressed in the Vapor Recovery Unit (VRU) to Low Low Pressure (LLP) level (50 PSIG).

2. Low Low Pressure (LLP) Compression: Gas streams from Desalters, Stabilizer column, and Gas treatment section (at 45-50 PSIG) is combined with gas coming from Vapor Recovery Compression Unit (VRU) and compressed to LP level (160 PSIG).

3. Low Pressure (LP) Compression: Separated gases from LP Separator (at 140-160 PSIG) are combined along with gases from Low Low Pressure (LLP) compressor and compressed to MP level (450 PSIG).

4. Medium Pressure (MP) Compression: Separated gases from MP Separator (at 425-450 PSIG) are combined with gases from LP compressor to High Pressure (HP) level (1100 PSIG).

VI. Gas treatment section consists of sour gas conditioning:

1. Sour gas conditioning

2. Gas sweetening

3. Solvent regeneration, solvent storage & transfer, gas dehydration, and TEG (Tri Ethylene Glycol) regeneration

4. TEG storage & transfer sections

VII. Acid gases/sour gases from solvent regeneration/other sources are sent to the Sulphur Recovery Unit (SRU) for removal of Sulphur and to meet the required emission levels

VIII. Effluent water from the separators section, desalting section, gas section, SRU, and other sources is routed to an effluent water treatment section for removal of oil, TSS (Total Suspended Solids), H2S and Dissolved Oxygen by passing through primary treatment, secondary and tertiary treatment equipment

IX. Primary treatment of effluent water system consists of oily water degasser, effluent water settling tank systems. Secondary Treatment consists of Induced gas Flotation and H2S stripper systems. The tertiary treatment system consists of nutshell media with backwash systems

X. Treated water is stored in a storage tank and sent to disposal wells through the Effluent water pumping system

Second Section

28 November 2021

The client is planning to sign contracts for the Jurassic production facilities (JPF) projects known as JPF-5 before the end of the second week of December 2021. (Source: MEED)

14 November 2021

The client has awarded the main contracts for China’s Jereh Gorup for the project. The project is divided into two phases, including a 26-month EPCC construction period and a 60-month operation and maintenance service period.

02 November 2021

The client is preparing to award the contracts and Spetco and China’s Jereh have emerged as the lowest bidder in the second round of bidding.

12 October 2021

The following companies have submitted the bids for the second round of bidding: Spetco International Petroleum Company (JPF-5: US$428.2 million), Naser Al Baddah & Partners General Trading and Contracting Co.(JPF-5: US$448.3 million), Jereh (China) with Napco (Kuwait)(JPF-5: US$426 million), Alkhorayef Group (JPF-5: US$449.4 million). Spetco and China’s Jereh have submitted the lowest bid in the second round of bidding. (Source: MEED)

20 September 2021

The bid submission date for the second round of bidding has been extended to October 6, 2021.

05 September 2021

The bid submission date for the second round of bidding has been extended to September 22, 2021.

18 August 2021

CAPT had approved pre-qualified companies for the second round of bidding and set the bid submission deadline on September 1, 2021.

11 July 2021

The main contract bids are under evaluation.

17 June 2021

Contractors are waiting for the client to issue an invitation to submit bids in the second round of the tender for this project. The client had informed the contractors that the invitation to submit bids for the second round will be issued soon. The deadline is likely to be around two weeks from the date that the invitation is issued. (Source: MEED)

23 May 2021

Clarification meetings are currently under way between the client and contractors that have submitted the bids. All of the bidders are involved, but each contractor is having separate meetings with the client. The client is using the mumarasa system for the tendering process for the JPF projects. The system operates as a reverse auction with several rounds. Companies are required to lower their prices or keep the same price for each round and all of the prices are revealed to the bidders after every round. As the bids get lower, bidders drop out until one company remains for each contract. (Source: MEED)

06 April 2021

The following companies have submitted the bids: Spetco International Petroleum Company (JPF-5: US$489.45 million), JV of Alliances National Projects General Trading (NAPCO), and Jereh Oil &Gas Engineering Corp (JPF-5: US$490.65 million), Gas & Oilfield Services Co.(JPF-5: US$529.21 million), Alkhorayef Group (JPF-5: US$530.12 million), and Nasser Mohammed Al-Baddah & Partner Co. (NBTC) (JPF-5: US$549.17 million). Spetco submitted the lowest price for both projects and Jereh and Napco is the second-lowest bidder. Samsung Engineering declined to bid due to unknown reasons. (Source: MEED)

21 March 2021

The bid submission date has been further extended to April 4, 2021.

07 March 2021

Industry sources indicate that Spetco, Al-Khorayef Group, Samsung Engineering, and Gofsco among others are likely to submit bids on March 21, 2021. (Source: MEED)

04 March 2021

The bid submission date has been extended to March 7, 2021. (Source: MEED)

28 January 2021

The bid submission date has been extended to February 28, 2021.

18 January 2021

The client has not yet responded to contractor requests for the technical clarification and the bid deadline is expected to extend further. (Source: MEED)

13 January 2021

KOC has announced the extended bid submission date of January 26, 2021. (Source: MEED)

27 November 2020

The tendering process is facing delays due to the travel restrictions in the region. (Source: MEED)

08 November 2020

The bid submission date is expected to be extend further as the qualified contractors need more time to prepare their bids. (Source: MEED)

16 October 2020

On 5th October 2020, ten companies have attended the pre-tender meeting for the development of the project. (Source: MEED)

15 September 2020

ITB has been issued with the bid submission due on December 22, 2020 and Al Manafea General Trading & Contracting, Spetco, Alliances National Projects General Trading, Gas & Oilfield Services, Black Cat, Al Omar Center for General Trading & Contracting, Alkhorayef Group, Samsung Engineering, Saipem, SNC Lavalin, Nasser Mohammed Al-Baddah & Partner, Daewoo E&C, KBR, Tecnicas Reunidas, JGC Corporation, and Schlumberger are the pre-qualified shortlisted companies.

04 September 2020

The project has been revived with a new pre-qualifiers list. Naser Mohammad Al Baddah & Partner Gen. Trading & Contracting (NBTC) & Gas & Oil Field Services are shortlisted to represent international firms and we are in the process to find the international companies for whom they have been shortlisted.

25 June 2020

The project continues to be on hold.

05 May 2020

The project continues to be on hold.

31 January 2020

The project has been placed on hold and the revival time is unknown at this juncture.

06 January 2020

KOC is the process of finalising the list of bidders and the tender is expected to be issued by January 2020. (Source: MEED)

23 December 2019

ITB is still not yet issued.

20 November 2019

ITB is expected to be issued by the end of December 2019.

14 October 2019

ITB is expected to be issued in the first week of November 2019.

23 September 2019

ITB is expected to be issued by the end of 2019.

28 August 2019

KOC is re-evaluating the list of prequalified companies which has lead to delay in the ITB process.

09 July 2019

The following are the pre-qualified companies for undertaking the main contract: Daewoo Engineering & Construction, JGC Corporation, Kellogg Brown & Root LLC, Petrofac International Ltd, Saipem SP, Samsung Engineering Co. Ltd, SNC Lavalin UK Limited, Tecnicas Reunidas S.A, Schlumberger Oilfield Eastern Limited, Spetco International Petroleum Co. WLL and Al-Khorayef Group Co. The main contract tender is expected to be issued in August 2019 and the duration to execute the project is 22 months.

22 May 2019

KOC has prequalified 17 companies for a contract to supply, design and engineering services. The following is the list of prequalified companies: National Petroleum Construction Company (NPCC), Tebodin, Engineers India, Toyo Engineering Corporation, PL Engineering, Mott MacDonald, Technip, Triune Energy Services, Asprofos Engineering, EPC Constructions, Process Unlimited, Tecnicas Reunidas, Enereco, L&T Hydrocarbon Engineering, Gulf Spic General Trading & Contracting Company, Petrofac International, Engineering for the Petroleum & Process Industries (ENPPI). (Source: MEED)

21 May 2019

The tender documents have been submitted to the Central Agency for Public Tenders (CAPT) for issuing the tenders, KOC is yet to publish a list of prequalified bidders as ITB is expected to be issued after Ramadan. (Source: MEED)

13 May 2019

Tender is yet to issued.

09 April 2019

KOC has delayed the new list of prequalified contractors (Source: MEED)

18 January 2019

It is understood that project was expected to be tendered in December 2018 or, at the latest, February 2019 and the timeframe is unknown at this juncture. PETROCIL Engineers & Consultants has been appointed as the detailed engineering design consultant for the project.

11 October 2018

Tender documents have been submitted to the Central Agency for Public Tenders (CAPT) to issue the tenders. However, it is getting delay due to confusion over the prequalified companies and expected to be tendered before the end of 2018. (Source: MEED)

03 September 2018

Subject to the start of construction construction expected to last for 22 months before completion. (Source: MEED)