Combined Group Contracting Company (CGCC), a Kuwait-listed construction and engineering firm, has announced it has secured a major contract to construct a new gas export pipeline for the Wafra Joint Operations project, a venture jointly owned by Saudi Arabia and Kuwait.
In a recent disclosure to the Kuwaiti stock exchange, CGCC confirmed it has received the official letter of award, securing the project with an estimated value of 12.7 million Kuwaiti Dinars (approximately $42 million). The contract was awarded by the Kuwait Oil Company (KOC), a key player in the country’s energy sector.
The project scope involves the construction of a critical pipeline that will facilitate the export of natural gas from the Wafra oilfield, supporting broader energy integration between Kuwait and Saudi Arabia. CGCC stated that the project is scheduled for completion within 30 months, reinforcing its commitment to delivering high-quality infrastructure projects on time and within budget.
This development is closely linked to regional efforts to boost gas production capacity. In late 2022, Saudi Aramco and Kuwait Oil Company signed a memorandum of understanding to jointly develop the Durra Gas Field (also spelled Durrra) located in the Neutral Zone, a shared territory between the two Gulf nations. The Durra project is designed to produce up to 280 million cubic meters of gas and approximately 84,000 barrels of liquefied natural gas (LNG) per day, marking a significant milestone in enhancing the region’s energy security.
The Wafra gasline project is a vital part of these broader ambitions, aiming to optimize gas resources, strengthen bilateral cooperation, and support Kuwait’s strategy of diversifying its energy mix.