Halliburton Company and state-owned Kuwait Oil Company have signed a 181.4 million dinar which is approximately $597 million contract to explore for oil off the coast of Kuwait. This marks the Gulf state’s first foray into offshore services.
Gulf News reported that the development of the country’s offshore area will add an estimated 100,000 barrels to Kuwait’s daily production capacity. This was explained by KOC Chief Executive Officer, Emad Sultan said after signing the three-year agreement as the country is targeting a daily capacity of 4 million barrels by 2020.
Also, Kuwait Oil will use two rigs in the first stage of the project to drill six exploratory wells, he added.
Meanwhile, Kuwait is currently OPEC’s fourth-biggest producer as they can pump as much as 3 million barrels of oil a day from its wholly owned fields.