Kuwait Prohibits Local Agents in Oil Sector Contracts

As part of the restructuring under Decree-Law No. 67 of 2026, Kuwait has prohibited the use of local agents or commission agents in contracts involving Kuwait Petroleum Corporation (KPC) and its wholly owned subsidiaries. This measure aims to reduce costs and mitigate legal risks associated with mandatory intermediaries.

Key Provisions

• Direct Engagement: Foreign contractors and service providers can now engage directly with KPC and its subsidiaries without the need for local intermediaries.
• Operational Efficiency: The prohibition is expected to streamline procurement processes and enhance operational efficiency within Kuwait's oil sector.

These reforms are part of Kuwait's broader efforts to modernize its energy sector and attract international partnerships.