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KOC’s AI Innovation Center ushers in a new era of operational efficiency in Kuwait’s oil sector

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KUWAIT CITY, Sept 13: The launch by Kuwait Oil Company of its Artificial Intelligence Innovation Center (AIIC) represented a milestone in the process of digital transformation in the country’s oil sector. The Center, supported by the Kuwait Direct Investment Promotion Authority (KDIPA), is meant to keep abreast of the world’s latest technological trends through making use of AI and innovative technologies to reduce costs, ensure quality, and speed up decision-making.

Under the auspices and in the presence of Minister of Oil Tarek Suleiman Al-Roumi, AIIC was inaugurated on August 7, 2025, in collaboration with Microsoft, Halliburton Co, and Ghaia.ai, KOC’s CEO Ahmad Jaber Al-Eidan said in statements to KUNA on Saturday. The Center, supervised by KOC’s division of South and East Kuwait, opened a new chapter in digital transformation in Kuwait. It is part of KOC’s strategic partnership with Microsoft, one of the world’s top five technology conglomerates; Halliburton, the world’s second-largest oil service provider; and Ghaia.ai, a leading developer of autonomous artificial intelligence systems (Agentic AI), he said.

Ghaia.ai, as strategic partner of Microsoft, is in charge of operating the AIIC on its G Agent platform. “G Agent, the fruit of cooperation between Microsoft, Halliburton and Ghaia.ai, deploys smart digital agents that think, act, and evolve—working for humans to unlock new levels of efficiency and innovation,” Al-Eidan pointed out.

More than automation, G Agent provides a dynamic mesh for collaboration between agents and humans across departments and teams, which will help enhance the operating capacity of KOC and facilitate the decision-making process. From oil and gas to retail and government, it delivers impactful outcomes in the most complex environments.

Agentic AI, one of the pioneering projects in autonomous AI systems, is capable of setting goals, making decisions, and performing complex tasks with minimal human intervention, acting independently to achieve objectives, he affirmed. “It will give a momentum leap to KOC in the areas of data analysis and provision of precautionary solutions and support the realization of the goals of Kuwait Vision 2035,” Al-Eidan went on.

AIIC will keep abreast of innovations and the latest changes around the globe, and give guidance relating to the development of the oil sector in Kuwait, he said. He voiced hope that cooperation between KOC and its partners will open new horizons for digital transformation of the energy sector not only in Kuwait but in the entire region as well.

On his part, Naim Yazbek, President of Microsoft Middle East and Africa (MEA), said that KOC leads a bold vision for the future of the energy sector in Kuwait, where AI and human innovation work towards a speedier digital transformation. Microsoft maintains a firm commitment to helping Kuwait develop the skills of its national cadres and leading the transformation to a smarter and more sustainable future in the oil sector, he said in a similar statement to KUNA.

Expressing Microsoft’s pride in its partnership with KOC, Yazbek said the AIIC is not only a training center but also an integrated platform for joint innovation. The Center serves as a strategic cornerstone in the drive to achieve a distinctive operating capacity, provide innovative solutions in energy, and meet the unique aspirations of the State of Kuwait, he added.

The center, supported by the Kuwait Direct Investment Promotion Authority (KDIPA), aims to accelerate the adoption of artificial intelligence technologies within KOC, which will contribute to raising operational efficiency, reducing costs, and improving productivity, while ensuring quality and speed of decision-making through investing in the latest innovative digital solutions.

The Artificial Intelligence Innovation Center is being established in cooperation with Microsoft, Halliburton, and Ghaia.ai. It represents a qualitative pioneering step within the digital transformation path of the company’s operations in this vital sector.

In this regard, KOC CEO Ahmad Al-Eidan told KUNA on Saturday that the South and East Kuwait Directorate supervises the center at the company, and its launch embodies a new phase of digital transformation in the State of Kuwait.

Al-Eidan added that the center comes within the context of the strategic partnership with Microsoft, which is among the top five technology companies in the world; Halliburton, a leading oil and gas services company; and Ghaia.ai, a leading partner in the field of agentic artificial intelligence (AI).

He explained that Ghaia.ai, as a strategic partner of Microsoft, will lead and operate the AI Innovation Center, which will be built on the G Agent platform, developed by Microsoft to serve as an integrated platform for developing and applying agentic artificial intelligence solutions in the company’s operations and future projects.

He stated that G Agent is the fruit of this collaboration between Microsoft, Halliburton, and Ghaia.ai, as it allows the company to benefit from advanced AI solutions to develop the management of drilling rig resources and achieve a qualitative leap in system integration and real-time data analysis, in addition to enhancing operational efficiency and accelerating decision-making.

He pointed out that this cooperation has resulted in one of the most important pioneering projects in this field, namely the Agentic AI project for rig scheduling, which has achieved tangible results in increasing productivity and improving the quality of planning and operation, representing a qualitative leap in enhancing the company’s capabilities to manage and analyze operational data in real-time, in addition to providing proactive solutions that contribute to improving operational efficiency. It also supports the achievement of the New Kuwait 2035 vision.

Al-Eidan stated that the center is the first fruit of the strategic partnership between the State of Kuwait and Microsoft, and at the same time, it is the first of its kind in Kuwait and a fundamental pillar in the application of artificial intelligence, as it helps train national cadres on the latest technologies and how to use and apply them to daily work, contributing to their better implementation.

He explained that the center is dedicated to innovation, keeps pace with continuous changes around the world, and provides guidance on how to innovate and export the latest technologies from Kuwait to serve the oil sector and other commercial sectors.

He explained that the center aims to innovate and implement advanced solutions that enhance operational efficiency and accelerate decision-making, while providing specialized training programs to transfer technical knowledge to national cadres.

Al-Eidan expressed hope that this cooperation between KOC and its partners will constitute a pivotal step towards a promising digital future that enhances the company’s position in leading the digital transformation in the energy sector, not only in Kuwait but also in the entire region.

Yazbek affirmed the firm commitment to developing national skills to ensure the empowerment of Kuwaiti competencies to lead the transformation towards a smarter and more sustainable future for the Kuwaiti oil sector, indicating that by investing in developing the capabilities of engineers, analysts, and technical experts, the company is establishing the foundations of a flexible digital economy supported by local capabilities.

He expressed Microsoft’s pride in its partnership with KOC in this journey, noting that through their cooperation, an integrated innovation center for artificial intelligence was established, which is not just a training center but an integrated platform for joint innovation.

He added that the center is considered a strategic pillar for achieving operational excellence and developing smart energy solutions in line with the unique and ambitious aspirations of the State of Kuwait, explaining that the partnership with Kuwait Oil Company (KOC) is based on empowering national competencies, enhancing collaborative innovation, and improving the efficiency of operational networks.

He pointed out that by combining KOC’s operational expertise with Microsoft’s advanced capabilities in the field of artificial intelligence and data analysis, “we are working together to develop smart solutions that enhance the speed and accuracy of decision-making and improve the efficiency of resource management.”

He stated that Microsoft, in cooperation with its partners, is turning ambition into tangible reality, starting from adopting artificial intelligence technologies to enhancing entrepreneurship and from using technology to innovating it.

He reiterated Microsoft’s commitment to supporting the digital transformation process in the State of Kuwait and contributing to unleashing the full potential of artificial intelligence to shape a brighter and more innovative future.

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CAPT sets Oct 27 for price talks on Jaber Al-Ahmad entrances project

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KUWAIT CITY, Oct 13: The Central Agency for Public Tenders (CAPT) has approved the request of the Ministry of Public Works to set Oct 27 as the date for negotiating prices with the four companies bidding for the establishment of entrances and exits at Jaber Al-Ahmad City. CAPT decided during its meeting last Wednesday. All bidders have been required to include detailed price and quantity tables in their bids. The agency excluded two companies for not meeting the conditions and specifications, and the bidding process closed on Feb 18.

The project includes the establishment of entrances and exits in two locations in Jaber Al-Ahmad Residential City — one is the southern entrance and exit linking to Jahra Road, and the other is the eastern entrance and exit linking to Doha Road. It is worth noting that the ministry has been holding negotiation sessions with the winning companies to determine the best and most cost-effective bid.

By Mohammad Ghanem Al-Seyassah/Arab Times Staff

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Companies and funds can own real estate in Kuwait under strict controls

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KUWAIT CITY, Oct 13: As part of the State’s efforts to regulate the ownership of investment and commercial real estate and ensure balance between attracting foreign investment and preserving the privacy of the local market, Decree No. 195/2025 on the controls for real estate ownership by companies, real estate funds, and investment portfolios was issued. This is in implementation of the provisions of Decree-Law No. 74/1979 regulating real estate ownership by non-Kuwaitis. Article One of the decree, which was published in ‘Kuwait Al-Youm’ recently, stipulates that subject to the provisions of the aforementioned law, companies with non-Kuwaiti partners and listed on licensed stock exchanges in Kuwait, as well as real estate funds and investment portfolios licensed by the competent authorities, may own real estate within the country, subject to specific controls. The decree indicates that one of the basic conditions is that the purpose of the company, fund or portfolio must include dealing in real estate.

It prohibits any form of dealing in real estate, plots or land designated for private housing in any location or within any project, in a move aimed at protecting the residential character and preventing speculation in this vital sector. Article Two of the decree clarifies that its provisions do not prejudice the right of entities subject to the supervision of the Central Bank of Kuwait or others to own real estate in accordance with the law. It affirmed that citizens of the Gulf Cooperation Council (GCC) countries shall continue to be treated the same as Kuwaitis regarding ownership of land and built property in the State of Kuwait. Article Three states that the ministers—each within their respective jurisdiction—shall be responsible for implementing the provisions of the decree, which shall take effect from the date of its publication in the official gazette.

By Marwa Al-Bahrawi Al-Seyassah/Arab Times Staff

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Factors behind the reversal of losses and profitability

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KUWAIT CITY, Oct 12: Kuwait Integrated Petroleum Industries Company (KIPIC) aims to raise its profits for fiscal 2025/2026 by increasing its sales in local and international markets, which have been robust since the beginning of the year, say reliable sources. Sources pointed out that KIPIC recovered from the losses it suffered in previous years through the growth of its net profits, which amounted to about KD52.2 million in the 2024/2025 budget. They cited five main factors behind this growth.

First is the increase in the refining capacity of Zour Refinery, which reached 615,000 barrels per day in May 2024, ranking seventh globally in terms of production quantities. They explained that the refining capacity of the refinery in the years prior to its operational opening ranged between 205,000 and 410,000 barrels per day. The second factor behind KIPIC’s profit growth over the past year is the commencement of the merger of oil companies, particularly the merger of KIPIC into the Kuwait National Petroleum Company (KNPC), to shake off the losses.

The third factor is the result of the implementation of the spending rationalization policy pursued by the CEO of KNPC, who also serves as the acting CEO of KIPIC, Wadha Al-Khatib. The KNPC spending rationalization committee implemented spending rationalization last year, achieving financial savings for KIPIC estimated at KD27 million through this approach. Sources explained that the implementation of rationalization coincided with the provision of better products. The fourth factor is the focus on stimulating KIPIC’s sales in global markets by opening new markets. In the first half of 2025, the company was able to expand its sales of sulfur and diesel, in addition to producing the best type of low-sulfur jet fuel, and then exporting all of its products that comply with international requirements.

The fifth factor is the company’s interest in digital transformation, focusing on developing all aspects related to global technologies, including artificial intelligence, as these technologies are extremely useful in detecting and anticipating errors before they occur, which contributes to stable production. Sources added that there are other important factors behind KIPIC’s profitability, such as the signing of numerous contracts with international companies specializing in smart energy, renewing contracts with the largest global platforms related to technological development in the field of oil refining, and strengthening relationships with major refining companies to mutually benefit from each other’s expertise.

By Najeh Bilal Al-Seyassah/Arab Times Staff

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