KUWAIT CITY (Realist English). Kuwait’s Central Agency for Public Tenders (CAPT) has extended the bidding deadline for a key Kuwait Oil Company (KOC) project aimed at enhancing oil production capacity in the country’s southern region, Zawya reported.
Originally due on June 22, the deadline for bids has now been pushed back to July 22. The tender includes the construction and installation of the Third Oil Separation Gathering Center and Third Water Injection Station in South Kuwait — a region that hosts some of the country’s most critical hydrocarbon assets.
According to sources cited by Zawya, the project is a strategic component of KOC’s broader initiative to modernize and integrate its production infrastructure across key oil fields in the south. The objective is to ensure both sustained and increased output from reservoirs that remain central to Kuwait’s long-term energy strategy.
The southern region includes the Burgan oil field, the world’s second-largest, as well as associated fields such as Maqwa, Al-Ahmadi, Managish, and Umm Qadir. The area was further strengthened by the 2025 discovery of the Al-Julaia offshore field, which holds an estimated 800 million barrels of medium-grade oil and 600 billion cubic feet of associated gas.
A core feature of the new development is the third water injection station, a critical facility that uses high-pressure injection techniques to maximize oil recovery by stabilizing pressure within reservoirs. This method is essential in extending the productive life of mature fields like Burgan.
The gathering and injection stations will be connected via a new network designed to link KOC’s wells across the southern cluster. “This infrastructure will allow for the consistent and synchronized feeding of oil into processing centers, especially important given the interconnectivity of many wells in the area,” Zawya quoted sources as saying.
The current initiative is part of a broader series of tenders planned for 2025, aimed at ramping up production across all major regions, including the underperforming northern fields. KOC has reportedly signed cooperation agreements with international firms to accelerate output recovery in those areas.
KOC is working to restore national production to around 2.4 million barrels per day, up from the current estimate of 1.7 million barrels per day. Despite recent declines, Burgan remains one of the most productive oil fields globally, and Kuwait continues to rely on it as a cornerstone of its energy security and export capacity.
This extended tender signals both the technical ambition and strategic urgency of Kuwait’s energy policy. While global oil markets remain volatile, KOC’s infrastructure upgrade — especially in the Burgan region — underscores the state’s bet on optimizing legacy assets while gradually modernizing production. The outcome of this project will likely shape the country’s export capacity and fiscal balance for years to come.