AL-DOWAILAH TASKS MAJOR TOWNSHIP WORK
The local Al-Dowailah Engineering Consultants & Construction Manager has signed an estimated KD 4 million ($13.8 million) contract with the Public Authority for Housing Welfare to carry out detailed designs for the giant Sabah al-Ahmed township in the south.
The estimated KD 8.000 million ($27,600 million) development will house more than 110,000 people over an area of at least 40 square kilometers. Some 20 per cent of the township will consist of high rise towers for employee housing. The reminder, comprising more than 150 different types of villa, will be for Kuwaiti families.
The project, which is split into five separate sectors, will also include more than 45 schools, 70 mosques, a football stadium,15 hospitals and clinics and an extensive road and sewerage network. The construction work is due to be tendered in two years, once the design work is complete. The private sector will be invited to invest in the project, which was formerly known as the Arifjan urban development, through build- operate-transfer concessions covering the scheme’s retail elements.
BIDDERS TOLD TO WAIT FOR REFINERY GO-AHEAD
Kuwait National Petroleum Company (KNPC) has told bidders for its 615,000-barrel-a-day new refinery project, the largest in the region, that it will make a decision within a month on whether or not to proceed with the scheme.
Officials from KNPC met the contractors in a series of meetings in London in late January. The bidders were asked to explain how they arrived at their prices for each of the four main processes packages on offer, which collectively came in at more than $15,000 million, more than two-and-a-half times the original budget.
The bidders, which consist mainly of South Korean firms, were also asked to provide reference prices if the contracts were revised to make them more appealing to contractors.
At the meetings, KNPC said that it will make a decision on the project before the bid validity expires on 17 March. However, it appears more likely that the refinery will be retendered. The client has approached a number of US, Japanese and European contractors to gauge their interest in a potential retender if it made the terms more flexible.
JAPANESE/LOCAL TEAM WINS FIFTH RING-ROAD.
The Japanese/local team of Pacific Consultants International (PCI) and Al-Dowailah Engineering Consultants & Construction Managers has been selected for the long-awaited fifth ring-road upgrade consultancy contract.
The 18-month contract covers the upgrade of 14 kilometers of the fifth ring-road to expressway status. it also includes the design of a major intersection with Jahra road. Once designs are complete, the client-the Ministry of public works-will issue tenders for the construction work.
PCI and Al-Dowailah were one of five groups competing for the contract when proposals were submitted more than 18 months ago. Awards are still awaited on the new eighth ring-road, and consultancy contracts for the second and third ring –roads.
For the latter, the US/local team of parsons Brinckerhoff and Gulf Consult is understood to be the frontrunner after submitting the strongest technical proposal.
On-site construction work is also due to start soon on the initial phase of the first ring-road, which is being carried out by a Greek/local team of Aktor and Copri Construction Enterprises.
RAITH BIDS LOW FOR WELLS
The local Raith Engineering & Manufacturing Company is low bidder at $20.8 million for the contract to provide well completion, equipment and associated services for Kuwait oil Company. The US’ Halliburton is ranked second at $22.6 million. Gulf International Trading is third at $48.7million.
DISCUSSIONS ON LPG TRAIN PLANS BY KNPC
Kuwait National Petroleum Company (KNPC) held discussions with various contractors regarding the contracting strategy for the fourth Liquefied Petroleum Gas (LPG) Plant in Mina Al-Ahmadi Refinery.
ABB (Europe), AMEC (UK), Hyundai Engineering (Korea), GS Engineering (Korea),SK Engineering (Korea), Snamprogetti (Italy), Techint (Italy), Tecnicas Reunidas (Spain) and Technip (France) have participated in the discussions.
Discussions were mainly on the strategy whether to tender the contract on a lump sum turnkey basis or cost reimbursable basis. However, no decisions were taken during the meeting and KNPC will, in due course, inform the contractors of their decision.
The cost of the project is estimated to be in the range of US$600 to 700 million and the project will be a Engineering. Procurement and Construction (EPC) contract.
BURGAN WINS RIG WORK
The local Burgan Company for well drilling, Trading & Maintenance has won a contract worth KD 20.6 million ($71 million) to supply pulling units for well work over operations. Under the terms of the contract, Burgan will supply the units-also known as work over rigs-for remedial operations on older wells. The client on the contract is state upstream operator Kuwait Oil Company.
OIL SERVICES WORK BIDS IN
Local contractors Ahmadiah Contracting & Trading Company and Mushrif Trading & Contracting company are low bidders for two oil field services contracts from Kuwait Oil Company. Ahmadiah is low bidder at K.D 5.6 million ($19.3 million) to upgrade and install air-assisted flare stacks at gathering centres 17, 27, 28 and gas booster station 170.mushrif has submitted a low bid of K.D. 3.2 million ($11 million) to improve header ESD systems at gathering centres 3,4,6,7,8 and 21.
SAUDIS BUILD SUBSTATIONS
Saudi Arabia’s National Contracting Company (NCC) has been awarded three contracts, totaling KD 15 million ($51.7 million), to build and extend substations for Kuwait Oil Company. NCC was law bidder for each package when bids were submitted last October. The work includes the supply and installation of two 132/11-KV substations at the Magwa and Sabriya oil fields.
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