South Korean builder SK Engineering Construction Co. said Wednesday it has clinched a USD 160 million deal to modernize oil facilities in an area shared by Kuwait and Saudi Arabia, the Seoul-based Yonhap News Agency reported. Under the contract with Wafra Joint Operations, the builder will upgrade the main crude-oil gathering center at the Wafra field in the Neutral Zone between the two countries, SK EC said.
Wafra Joint Operations is a joint venture between Kuwait Gulf Oil Co., a subsidiary of state-owned Kuwait Petroleum Corp., and Saudi Arabian Chevron. SK EC said it is scheduled to complete the turnkey project by September 2015 after work begins next month. Some of the 400,000 barrels of crude oil produced at the Wafra oil field per day will be collected in the main gathering center before being sent to Kuwait City, roughly 85 kilometers north of the oil field, according to the builder.