Renowned in Kuwait and the surrounding region for its integral role in revolutionising the oil & gas industry, SPETCO is placing a concerted focus on its pioneering early production facility (EPF) expertise and other world-class technical knowhow that will help to expand the application of its service offering in the surrounding region.
TURNKEY PROJECT EXECUTION
Previously operating under the guise of Safwan Trading & Contracting Company (SAFWAN) when first established in 1963 – prior to the eventual divisional spin-off in 2001 known today as SPETCO International Petroleum Company (SPETCO) – the family-owned Company is now reaping the subsequent benefits of this earlier diversification strategy; fulfilling the products, services and technology requirements of the industrial, commercial and oil & gas sectors in Kuwait.
“We initially established ourselves as trading Company in the early 1970 to cater to the requirements of the oil & gas sector in Kuwait, but quickly realised that the sector required more local service companies, which led to SPETCO expanding its range of services in a continuous and phased manner,” recalls Tariq Qaddumi, Deputy General Manager (GM). “Today, these services are housed under three divisions; namely Oil & Gas Services, Oil & Gas Projects and a Commercial Division under which sits our fabrication and miscellaneous services.”
Differentiated by its turnkey offering and specialist niche value-add services, SPETCO’s proven ability to resolve complex problems across the upstream and midstream value chain – as well as the development and production of hydrocarbon reserves – is reflected in its portfolio of major projects both completed and underway in the region today; including the North Kuwait Jurassic Production Facility (JPF) for Kuwait Oil Company (KOC).
“Earning a reputation for incredibly high standards of service delivery across its core mainstays – EPC and lease contracts, artificial lift systems, well testing services and production facilities – SPETCO now has the depth and width to undertake the most complex oil & gas projects seamlessly; from inception through to implementation, including after-sales service and support,” says Qaddumi. “Our ability to cater for projects big and small as well as provide many niche services – fast track oil & gas production projects being our core focus in the latter – has seen us obtain a leading position locally.”
Supported by more than five decades of experience working exclusively in the region, with a skilled workforce, QHSE focus, reliable equipment and proven systems, SPETCO remains committed to solidifying its position as a total solutions provider.
COMMERCIAL VIABILITY
With future oil & gas contracts hinging on the stability of international oil prices going forward, SPETCO is closely monitoring several wider industry trends to stay one-step ahead of the competition and match its services to the exacting specifications of its clients.
“As a local Company, we like to operate a short decision-making hierarchy so that the experienced executive team can make fast and accurate decisions, resulting in a faster turnaround time when executing projects. Similarly, our localised procurement capabilities also give us the edge in terms of speed and cost-effectiveness,” highlights Qaddumi. “Completing projects at lower costs, as well as at reduced risk to the environment and our employees, vendors, subcontractors and the clients is absolutely vital during these uncertain times.”
With a staff compliment of around 500, SPETCO’s continuous commitment to its quality mandate has subsequently resulted in a strong track-record of successfully executing major projects in the region over the past several years without incident; including the first modular early production facility (EPF) in Kuwait in 2003. In addition to being technically compliant – utilising the latest technologies both in its equipment and modular engineering software solution platform – Qaddumi puts the Company’s prosperity down to keeping overheads low and the aforementioned faster decision-making process when compared to international market entrants.
He says: “Commercial viability makes working with us all the more appealing when bidding for contracts locally. Our reputation has spread to the surrounding region over the years as a result, and, in addition to our headquarters in Kuwait, we now have offices or bases in Abu Dhabi, and Erbil in Kurdistan to facilitate expansion of our regional footprint. We are also keeping a close eye on Abu Dhabi, Kurdistan and Iran in the immediate future; having recently entered the bidding process for a project in Abu Dhabi that has the potential to open doors for us.”
CONTINUOUS INVESTMENT
Central to SPETCO’s growth has been continuous investment in the research and development (R&D) of its products and services to keep on-top of the latest industry developments, and allow time to implement new innovations and provide the relevant training to its local and internationally-procured staff on an ongoing basis.
“Complex projects require R&D and without this, we would not have so many pioneering industry achievements under our belt,” confirms Qaddumi. “Currently, we are working on pilot projects in KOC for a few new technologies, particularly on a solution for viscosity reduction in heavy oil production, oil & gas sweetening, and the introduction of micro turbines for improved power generation. Elsewhere, we have invested in two new pieces of equipment, hydraulic pumping units and linear rod pump systems to improve our artificial lift capabilities.
“These investments, combined with our modular engineering software solution platform – which offers a deeper understanding of today’s oilfield data through advanced application, automated engineering workflow, integration and proactive management – further compound our commitment to the region’s oil & gas needs.”
AMPLIFIED REACH
By offering its customers the highest quality of specialised solutions with a focus on performing various upstream oilfield services and customised design, construction and operations to streamline and fast-track oil & gas production facilities projects, SPETCO is keen to amplify the reach of its products and services across the entire MENA region. Scaling-up when the time is right, as determined by each individual/regional market’s wider economic stability factors, the Company wants to strike while the iron is hot.
Qaddumi explains: “SPETCO has worked on some high-calibre projects and the more big names we work alongside, the more traction we hope to gain in the MENA markets. This philosophy recently resulted in SPETCO being awarded the major contract for KOC’s Jurassic Production Facility in July, 2016. The project is now in the engineering phase, with construction expected to complete by the end of 2017; followed by an operation and maintenance contract running for five years.”
He concludes: “SPETCO has always been, and will continue to be, open to establishing business partnerships with the right companies across our whole service complement. Going forward, this is something we want to place further emphasis on to collaborate together during the oil downturn and emerge even stronger than before.”
