KOC - Ratqa Lower Fars Heavy Oil (LFHO) Handling Facilities
o. Laying of the trunklines and pipelines
p. Construction of the storage tanks
q. Construction of a new oily water collection system and transfer system
r. Construction of a new CFI based rim seal fire protection system
s. Construction of a new F&G/H2S monitoring system
t. Construction of a new lightning protection system for the new LFHO storage tanks
3. Construction of the area substation (72MW, 60-SUBST-701):
a. Installation of 50-SUBST-001 plant substation
b. Installation of 52-SUBST-301 plant substation
c. Installation of 52-SUBST-302 plant substation
d. Installation of 52-SUBST-303 plant substation
e. Installation of a new crude oil control center pumps in the South tank farm
Latest News
Title
EXCLUSIVE: Kuwait heavy oil project enters final phase
Kuwait reveals expected production from the Ratqa Lower Fars
project
Kuwait Oil aims to produce 200,000 barrels per day of light crude in
October
KOC to start Lower Fars operation in Aug
Kuwait awards $4.2bn heavy oil contract(Phase I)
Kuwait plans US$7b heavy oil fields
07/Feb/2022 08:50:31
Description
Contract is worth $4.1bn and was awarded to Petrofac and
Consolidated Contractors Company in 2015
Phase one of Kuwait’s Ratqa Lower Fars heavy oil megaproject is
expected to produce 11,000 barrels of oil a day (b/d) in August,
according to a statement released by state-owned upstream operator
Kuwait Oil Company (KOC).
KOC's Executive Vice President for Planning and Trade Imad Sultan
said the company aims to reach 200,000 barrels of light crude per day
in October.
Sultan pointed out that the company has exported 5 million barrels of
excellent light oil since last July, considering that this step constitutes "a
new historic breakthrough for the oil industry in Kuwait.
Kuwait Oil Company (KOC) announced on Thursday that the initial
operation of its heavy crude oil development project will commence in
the north of the country next August.
KOC will increase the project's production gradually until reaching its
maximum capacity of 60,000 barrels of oil per pay (bpd) as required,
KOC spokesman and deputy CEO for administrative and financial
affairs Ahmad Al-Hamad said in a press statement, carried by state
news agency Kuna.
Kuwait has awarded a $4.2 billion contract to develop heavy oil fields in
the north of the country, the central tenders committee announced
yesterday (January 8).
The project, called Lower Fars Heavy Oil Development Phase 1, was
awarded to UAE-based Petrofac International and the Athens-based
Consolidated Contractors Company, the largest construction firm in the
Middle East, said a report in the Gulf Daily News (GDN), our sister
publication.
The first phase of the Lower Fars heavy oil project will cost US$4.2
billion, with contracts to be awarded by the end of this year, Hashem S.
Hashem, chief executive officer (CEO) of state-owned Kuwait Oil Co
(KOC), said at a conference, here, yesterday.
KOC, which plans to drill 900 wells and pump 60,000 barrels a day by
2018 in the project’s first phase, targets output of 180,000 barrels a day
by 2025 and 270,000 by 2030, Hashem said.
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KOC - Ratqa Lower Fars Heavy Oil (LFHO) Handling Facilities

Kuwait Oil Company evaluates bids on Lower Fars Phase-1 project
British progressing the lowest prices in the development project
Kuwait plans to award $4.3bn oil project deal
The wholly state-owned Kuwait Oil Company (KOC) is planning to drill
more than 900 wells to develop the heavy crude oil lying in the Lower
Fars field in the north of Kuwait.
Discovered in 1978, the Lower Fars formation belongs to the Ratqa
field, a reservoir saturated by crude oil.
The British company Petrofac has provided the lowest prices in the
main contract to build the project to develop heavy oil field in the bottom
of Persia, which dates back to the interest of the Kuwait Oil Company.
The magazine added that the price put forward by the British company
in the tender, which will be implemented system engineering,
procurement and construction reached 1.
Kuwait plans to award a KD1.2 billion ($4.3 billion) contract later this
year for the first phase of a project to produce heavy oil at its northern
Ratqa field, the head of state-owned Kuwait Oil Company (KOC) said.

The project is part of efforts to meet Kuwait's target of producing 4

Kuwait Oil Company completed FEED on Lower Fars phase 1
million barrels of oil per day (bpd) by 2020.
The national upstream Kuwait Oil Company (KOC) is considering to
move into the engineering, procurement and construction (EPC)stage
for the Lower Fars phase-1 project since WorleyParsons completed the
front end engineering and design (FEED) work in 2012.

This phase-1 is part of the Lower Fars heavy crude oil scheme planned
by KOC to meet its oil production targets for 2018.

News and Updates

Published Date Description

03/02/2022 The project was in the On Hold stage as per the last update in August
2021. Since then, neither information has been procured related to its
progress, nor obtainable from contact with key stakeholders. We believe
the project to still be On Hold and have amended the project dates
accordingly. We will continue our efforts to obtain information on this
project.
04/08/2021 The Phase 3 project is still on hold and the time frame of revival is
unknown at this juncture.
06/03/2021 Phase 3 continues to be on hold.

22/12/2020 The Phase 3 continues to be on hold.

12/02/2020 Worley has been appointed as the FEED consultant for Phase 2 and 3.
FEED works are progressing on phase 2 whereas phase 3 is kept on hold
due to unknown reasons.
09/10/2019 The drilling package has been completed. Phases 2 & 3 are in study
phase.
19/08/2019 The phase-I of the LFHO project is completed.

19/06/2019 Construction works are nearing completion on Phase 1 and Drilling while
study activities are underway on phases 2, 3.
(Source: MEED)
17/04/2019 Construction works are underway on the first phase and Drilling package,
while study activities are underway on phases 2, 3. (Source: MEED)
21/02/2019 Construction works are underway on the first phase and Drilling while

07/Feb/2022 08:50:31

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KOC - Ratqa Lower Fars Heavy Oil (LFHO) Handling Facilities

study activities are underway on the second and third phases.

(Source: MEED)
12/02/2019 Sayed Hamid Behbehani & Sons (SHBS) was awarded as the Design-
Build (DB) contractor with US$405 million contract value. The contract is
yet to be signed officially
16/12/2018 Nine companies have participated for LFHO Phase II project.

Venesco International General Trading & Contracting Company

Naser Al-Baddah & Partners General Trading and Contracting Company
Sayed Hamid Behbehani & Sons Company (lowest bidder)
Alghanim International General Trading & Contracting
Combined Group Contracting
Mechanical Engineering & Contracting Company
Arabi Enertech
Gulf Spic General Trading & Contracting Company
Al-Dar Engineering & Contracting (Source: MEED)
29/11/2018 Study activities are underway on Phase 3.

10/09/2018 Ratqa Lower Fars Heavy Oil Handling Facilities:Drilling : Drilling has
progressed up to 930 wells and 86 percent construction has been
completed.
22/07/2018 Construction works are underway on the first phase and scheduled to be
completed by August 2018.
18/02/2018 KOC is in the process to issue a tender for selecting a service provider for
enhanced oil recovery technology this year. Glasspoint is expected to bid
when the tender is issued.
25/01/2018 Production Facilities/Support Complex/Tank Farm (Phase I): The project
is expected to be complete by end of 2018. The construction works are
ongoing on the project and is expected to be complete by mid-2019 for
drilling works.
09/10/2017 Phase III is in the early stage.

09/10/2017 Production Facilities/Support Complex/Tank Farm (Phase I) The project

will be operational at the end of 2018.
09/10/2017 The construction works are underway as per schedule and expected to
complete by end 2018.
13/06/2017 Production Facilities/Support Complex/Tank Farm (Phase I) - The project
will be completed in August, 2018 and will be operational by May, 2019
13/02/2017 Drilling- The construction works are underway on the project and
completion is expected in 2017. Phase II& Phase III - The project is in
study stage.
12/10/2016 Production Facilities/Support Complex/Tank Farm (Phase I): The project
is expected to be completed in 2019.
11/07/2016 Phase II and III continues to be in study stage.

24/05/2016 Phase II and III are still in study.

01/12/2015 Phase II and III are still in study.

18/11/2015 Production Facilities/Support Complex/Tank Farm (Phase I): Combined

Group has been appointed for civil works on the project.
21/09/2015 Production Facilities/Support Complex/Tank Farm (Phase I): The work is
underway on the project and duration of the project is 52 months.

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KOC - Ratqa Lower Fars Heavy Oil (LFHO) Handling Facilities

06/08/2015 Phase II and III are still in study.

12/05/2015 Production Facilities/Support Complex/Tank Farm (Phase I) - Engineering

design works on the project are underway.
16/03/2015 Drilling is underway and 900 wells which are planned to be drilled will be
done by 2018.
06/02/2015 Production Facilities/Support Complex/Tank Farm (Phase I): A formal
agreement has been signed with JV of Petrofac and Consolidated
contractor company. The works on the project is expected to be complete
by 2018.
09/01/2015 Production Facilities/Support Complex/Tank Farm : The main contract for
the project is awarded to the JV of Petrofac/Consolidated Contractors for
the total amount of US$4156 million.
27/11/2014 The number of wells drilled till now are 12, out of which six wells are
drilled for coal production and six for steam production, the project is
expected to be complete by October 2017.
26/11/2014 Production Facilities/Support Complex/Tank Farm Formal Agreement will
be signed by February 2015, with commissioning due to start in August
2018.
17/07/2014 Production Facilities/Support Complex/Tank Farm : Following companies
are the main contract bidders on the project. They are ranked as below : -
Petrofac (US$4.3 billion) -SK Engineering & Construction : (US$4.5
billion) -Eni Saipem : (US$6 billion) -GS Engineering & Construction :
(US$6.3 billion). Out of the total 1000 wells, 700 wells are drilled.
11/06/2014 Production Facilities/Support Complex/Tank Farm The main contract bid
submission date has been postponed to July 15, 2014.
03/06/2014 Production Facilities/Support Complex/Tank Farm The main contract bid
submission date has been postponed to June 15, 2014.
10/04/2014 Production Facilities/Support Complex/Tank Farm The main contract bid
submission date has been postponed to May 11, 2014. Currently, drilling
works are underway and 512 wells are already drilled each nearly 700
feet.
01/04/2014 KOC has invited contractors to prequalify for the operations and
maintenance of heavy oil production facilities. The contractors are
expected to submit the prequalification documents by May 18, 2014.
14/01/2014 The main contract bid submission date for steam injection facility,
production facilities, a support complex, tank farms and the pipeline has
been postponed from January 26, 2014, to March 20, 2014.
28/10/2013 A tender documents will be available from October 27, 2013. A pre-tender
meeting is planned for November 18, 2013, and bidding firms will have
until December 16, 2013, to submit any queries.
28/10/2013 Eni Saipem, Samsung Engineering, SK E&C, SNC Lavalin, Technip and
Tecnicas Reunidas
28/10/2013 The main contract tenders have been issued for steam injection facility,
production facilities, a support complex, tank farms and pipeline for which
the main contract bid submission date is on January 26, 2014. The
following companies are prequalified for the main contract tender: Aker
Solutions, Chiyoda Corporation, Consolidated Contractors Co, Daelim,
Dodsal, Foster Wheeler, GS E&C, Hyundai E&C, Hyundai Heavy
Industries, JGC Corporation, KBR, Lurgi(Acquired by Air Liquide),
Petrofac,
17/10/2013 KOC is expected to issue the main contract tender for Lower Fars heavy
oil development in October 2013. The company has appointed a project
management consultant and its announcement is yet to do.

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12/09/2013 Drilling works are underway. Alghanim International General Trading &
Contracting and HOT E&C are undertaking the civil work for the drilling
package whereas Weatherford International is undertaking the
mechanical part for drilling.
12/09/2013 WorleyParsons has completed FEED on the project and the main
contract tenders are likely to be issued in end Q4 2013.
17/01/2013 KOC will shortlist the consultants to bid for the contract, which includes
detailed engineering, technical support, procurement, construction,
commissioning, startup and turnover of facilities using cyclic steam
stimulation (CSS).
25/11/2012 KOC is planning to invite the international engineering firms to prequalify
for a deal to design new facilities for the development of heavy oil using
cycling steam stimulation (CSS) for which the interested firms have been
asked to submit prequalification documents by January 2, 2013.
09/12/2007 KOC announced plans to undertake the Lower Fars Heavy Oil Field
Development project.

Product & Capacities

Description Value

Pipeline (kilometer) 110

Companies and Contacts

Role Company Contact
Owner Kuwait Oil Company Phone:+965 2 398 9111

FEED WorleyParsons Phone:(+61) 2 89236866

PMC WorleyParsons Phone:(+61) 2 89236866

Related projects and packages

Project Name Status Industry Sector Net Value($m)
KOC - Ratqa Lower Fars Heavy Oil On Hold Oil Upstream 3,950
(LFHO) Handling Facilities
KOC - Ratqa Lower Fars Heavy Oil Complete Oil Upstream 450
Handling Facilities: Drilling
KOC - Ratqa LFHO: Production Complete Oil Upstream 4,100
Facilities/Support Complex/Tank
Farm (Phase 1)
KOC - Ratqa Lower Fars Heavy Oil On Hold Oil Upstream 2,000
(LFHO): Phase 3

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