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Production Ramps Up at the Khafji Field in the Divided Zone

Production is ramping up at the Khafji field, which is located in the Divided Zone that is shared by Saudi Arabia and Kuwait.

 

The field is producing 240,000 barrels a day (b/d) of oil and is aiming to increase production to 300,000 b/d.

 

The Khafji oil field suspended operations for several weeks after a fire, which broke out on 10 August.

 

In March 2022, Saudi Arabia and Kuwait released details about a masterplan for the Khafji area, which included plans for the construction of an industrial city for logistics, an airport, a connection to the GCC rail project, tourism projects and oil and gas projects.

 

One of the schemes outlined in the masterplan was the development of the Dorra offshore gas field.

 

The re-validation of the front-end engineering and design (feed) work for the project to develop the disputed Dorra gas field is 30 per cent complete. France’s Technip Energies is undertaking the feed re-validation.

 

Kuwait and Saudi Arabia are cooperating to develop the offshore field, which was originally discovered in 1965.

 

The original feed for a project to develop the field was created more than a decade ago. It needs to be updated due to changes in technology before the project can reach a final investment decision.

 

Regional disputes have delayed the field’s development. Stakes in the field are claimed by Saudi Arabia, Kuwait and Iran, where it is known as the Arash field. Saudi Arabia and Kuwait both claim that Iran has no legal basis for its claim and they are planning to jointly develop the resource without Iran’s involvement.

 

It is understood that Saudi Arabia and Kuwait expect to produce about 1 billion standard cubic feet a day of gas from the asset and have agreed to split gas from the field equally between themselves.

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