Kuwait will soon award contracts for the supply of 63 oil drilling rigs with a combined value of around 1.4 billion Kuwaiti dinars ($4.6 billion), a newspaper reported on Monday. 

The state-owned Kuwait Oil Company (KOC), which manages the OPEC member’s upstream sector, is studying separate bids by 24 foreign companies and 2 local firms for the supply of the rigs within a period of 5 years, the Arabic language daily Alanba said. 

It quoted KOC sources as saying each company is allowed to bid for the supply of up to 8 rigs in order to give a chance to all bidders to compete for contracts. 

It is the largest rig deal to be finalized by KOC in many years and is intended to support its oil drilling operations within plans to expand output capacity, the paper said. 

“KOC intends to award all those contracts soon to the bidders who submit the lowest prices…supply contracts for all the rigs will be awarded at the same time,” it added. 

(Writing by Nadim Kawach; Editing by Anoop Menon)

(anoop.menon@lseg.com)