- Kuwait | 30 June 2023
What is Al Hajri Gulf’s role in Kuwait’s energy sector?
Al Hajri Gulf, established in 2005, plays a significant role in Kuwait’s energy sector. The company focuses on two major areas: the industrial sector, including energy, water, and power, and the analytical, scientific, and education (ASE) sector. Initially starting as a general trade house, Al Hajri Gulf has matured over the years and identified its areas of strength based on competitive advantages gained over its rivals.
In the industrial sector, the company’s supply domain revolves around pipes. It provides a wide range of products linked to pipes, including fasteners, stud bolts, and control valve actuators. Al Hajri Gulf excels in industrial services related to marine operations, particularly in Kuwait’s industrial sector. They have an experienced diving team that offers subsea maintenance and construction services. The company serves refineries, such as the Al Zour Refinery, and works with the jetties of the Kuwait Ports Authority. Additionally, Al Hajri Gulf supplies specialized products to the industry.
In the ASE sector, Al Hajri Gulf is a key player in supplying scientific and testing laboratory equipment in Kuwait. They cater to refineries, research facilities, environmental laboratories, and general testing laboratories. The company positions itself as a one-stop-shop, delivering turnkey projects by supplying consumables, equipment, furniture, and software solutions for laboratories.
Furthermore, apart from its core focus areas, Al Hajri Gulf’s business development team actively promotes Kuwait’s thriving business opportunities on a regional and international level. We provide support services to international companies interested in bidding for projects or establishing a long-term presence in Kuwait.
What is Al Hajri Gulf’s client outreach in the industrial sector?
Al Hajri Gulf engages with clients in the industrial sector either as a main supply contractor or as a subcontractor to the main contractors. The company’s specialized team collaborates with clients from the budgetary stage to delivering the required materials within the specified timeframe. Key clients in Kuwait include the K companies, their contractors, and the Ministry of Electricity & Water & Renewable Energy for power and water plant requirements. Al Hajri Gulf also operates in Qatar, where their primary client is QatarEnergy. They also work with Qatar Gas and TotalEnergies. The company plans to expand its operations in Qatar in 2023 and further into the region. Al Hajri Gulf aims to target clients like Saudi Aramco in Saudi Arabia, where we have existing partners who appreciate their capabilities and are interested in collaboration.
What is Al Hajri Gulf’s operational strategy in the laboratory business?
Al Hajri Gulf has established itself as a renowned supplier in the ASE sector in Kuwait. This sector has experienced steady growth over the past two decades, and the company anticipates a 15% expansion per year for the next five years. The demand for laboratory equipment, especially environmental testing, is on the rise in Kuwait due to various environment-related initiatives, clean energy projects, and industrial pollution control requirements.
Al Hajri Gulf’s strategic growth in the laboratory business follows a horizontal approach. The company continually promotes its products and services to potential clients who can benefit from them. The ASE sector contributes to approximately 15-20% of Al Hajri Gulf’s annual business. One of the primary competitive advantages of the company in this sector is the extensive after-sales support they provide. Al Hajri Gulf has a service team twice the size of its sales team, setting them apart from many other market players who solely supply equipment without offering proper after-sale support. This commitment to customer support has earned the confidence of their clients.
Which industrial marine services contracts is Al Hajri Gulf currently targeting in Kuwait?
Al Hajri Gulf has been involved in various projects in Kuwait’s industrial marine services sector. We have worked on the artificial island for Al Zour, providing subsea work. The company is now targeting upcoming projects in Kuwait, including the upgrade of KNPC’s Marina, the renovation of the Kuwait Ports Authority’s ports, and the Halliburton project. Al Hajri Gulf also aims to play a role in the new offshore drilling campaign, which is considered a new era in Kuwait’s oil and gas sector. This campaign will require specialized technology, experience, and services. While a limited number of international companies are currently present in Kuwait for such services, more companies, including Al Hajri Gulf, are preparing to enter this market.
How does Al Hajri Gulf select its targeted principals?
Al Hajri Gulf selects its targeted principals based on whether they are vendors of products we aim to associate with or providers of services they require. When identifying opportunities within our reach and domain, the company leverages its extensive international network to identify the right partners to work with. This collaboration can take the form of being the partner’s agent or establishing a joint venture. Al Hajri Gulf stays proactive by using market intelligence to identify potential partners, monitor market trends, and seize unfolding opportunities.
In our trade division, Al Hajri Gulf focuses on continuous preventive maintenance and upgrades due to the vital demand for their offerings. Kuwait’s significant consumption of pipes throughout the country makes providing high-quality commodities and sophisticated products crucial. The company works closely with its international partners, actively engaging its experienced engineering team, to improve their products continuously. Al Hajri Gulf aims to establish long-term strategic alliances with their partners.
What are Al Hajri Gulf’s key goals for 2023?
Al Hajri Gulf’s key goals for 2023 revolve around various aspects of their operations. In 2022, the company prioritized improving and achieving the desired level of quality. We introduced IT solutions that facilitated complete integration and interconnection of their organizational divisions through an app. This platform enhanced reporting, control, evaluation, precision, and overall quality.
Looking ahead to 2023, Al Hajri Gulf approaches the year with both excitement and caution. The ongoing global unrest and the resulting financial implications, along with an unstable supply chain, are expected to affect the company. However, these challenges also bring opportunities, as many projects that were on hold are likely to be reactivated. For instance, Al Hajri Gulf expects the expedited development of KIPIC’s Al Zour Petrochemicals complex, which represents a significant investment of USD 10 billion and is scheduled to begin commercial operations in 2026. Additionally, as Kuwait aims to reach a production capacity of 4 million barrels per day, there will be substantial growth in the demand for midstream facilities such as gathering centers and flowlines. Al Hajri Gulf is well-positioned to supply materials and services for these projects. The company also targets contract agreements with their clients in 2023, particularly in relation to the offshore drilling campaign, which will drive the demand for marine services and materials.
Another important goal for Al Hajri Gulf in 2023 is to offer integrated solutions that add value to their offerings. We plan to establish a specialized fabrication and service center to support clients with maintenance and after-sale support. For example, we aim to provide services such as refurbishment, calibration, and testing for valves.