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Kuwait's offshore exploration programme is yielding results. (Image source: Adobe Stock)

Exploration & Production

Kuwait makes new offshore gas discovery

Kuwait Oil Company (KOC) has announced a new discovery in the Al-Jazah offshore natural gas field

According to a KOC statement, the initial exploration well recorded the highest production rate from a vertical well in the Minagish formation in Kuwait’s history.
Initial tests at the Jazah-1 well indicate production exceeding 29 million cubic feet per day (mcf/d) of natural gas and more than 5,000 barrels a day of condensate, according to the statement.

With an area estimated at around 40 sq. km, the field is estimated to hold potential reserves of around one trillion cubic feet (tcf) of gas and more than 120 mn barrels of condensate, which may be revised upwards with further exploration in surrounding areas.

KOC said the reservoir has low CO2, no hydrogen sulfide and no associated water.

The new discovery follows other offshore discoveries including the Nokhatha field discovery last year, which is estimated at about 2.1bn barrels of oil and 5.1 trillion cubic feet of gas, and the Julaiah field early this year, described by KOC CEO Ahmad Jaber Al Eidan as a “strategic breakthrough.”

This is a result of KOC’s push to develop its offshore resources as it seeks to boost gas output and reduce its dependence on imported LNG. Phase 1 of its offshore exploration programme, consisting of the drilling of six wells, is underway, with planning for Phase Il also underway, with nine additional locations identified for further exploration and appraisal, according to Al Eidan.

Kuwait is the fifth-largest producer in OPEC, currently producing approximately 2.7mn bpd of oil, with plans to increase its production capacity to 4mn bpd by 2035. Al Eidan commented in an earlier interview with Oil Review Middle East, “Our strategy focuses on optimising production from mature assets, accelerating the development of high-potential reservoirs, and unlocking new growth frontiers, both onshore and offshore, to ensure sustainable and resilient capacity growth.”

He said the new offshore discoveries “significantly expand Kuwait's hydrocarbon frontier beyond the onshore legacy and add a new dimension to our long-term production sustainability,” adding that offshore development will play an increasingly vital role in KOC’s production mix in the coming decade.

The KM250 will add 250 mn standard cu/ft per day of new processing capacity.

Industry

Dana Gas, Crescent begin gas sales from Iraq's KM250 project

Middle East-based natural gas company, Dana Gas PJSC, and exploration and production company, Crescent Petroleum, have started commercial gas sales from the KM250 gas expansion project (KM250) at the Khor Mor facility in the Kurdistan Region of Iraq 

The KM250 will add 250 mn standard cu/ft per day of new processing capacity, a 50% increase, boosting Khor Mor’s total output to 750 mn stamndard cu/ft per day. This can support Iraq’s burgeoning power demand by delivering significant new volumes of clean-burning natural gas.

The US$1.1bn project was backed by financing from the Bank of Sharjah, the US Development Finance Corporation (DFC), and proceeds from Pearl Petroleum’s US$350mn senior secured bond issued in 2024 and listed on Nordic Alternative Bond Market. The project generated employment for more than 10,000 people and involved the delivery of more than 6,000 tonnes of steel and 6.2 mn man-hours, making it one of the largest private-sector infrastructure builds in Iraq in recent years.

Majid Jafar, CEO of Crescent Petroleum and board managing director of Dana Gas, said, “Delivering KM250 ahead of schedule marks a significant achievement for Crescent Petroleum, Dana Gas, and our Pearl Consortium partners. This accomplishment highlights our ongoing dedication to the Kurdistan Region of Iraq, demonstrates our capacity to unlock its vast energy resources, and reinforces our commitment to generating jobs, enhancing local services, and providing cleaner, more reliable energy for the Region and the Country.”

“I am especially grateful for the strong support of the KRG and local authorities, whose cooperation helped us overcome challenges and sustain momentum throughout the project. I would also like to recognise the outstanding leadership of Richard Hall, CEO of Dana Gas, who navigated the complex dynamics and guided the project to successful completion eight months ahead of schedule.”

Richard Hall, CEO, Dana Gas, said, “Completing KM250 early is a huge milestone for Dana Gas and reflects the hands-on approach we brought to the project in the absence of the main contractor. By assuming operational oversight, Dana Gas and Crescent Petroleum were able to focus delivery, resolve issues quickly, and restore momentum – yielding real results on the ground.

“The additional capacity strengthens our production profile and is expected to deliver substantial annual revenue for Dana Gas. It also supports our mission to deliver stable, cleaner energy to KRI communities, reduce diesel dependence and advance the region’s ambition for 24-hour electrification.”

The inauguration of the new plant. (Image source: Farabi Petrochemicals)

Petrochemicals

Farabi Petrochemicals Company opens fourth Saudi LAB plant

Farabi Petrochemicals Company has inaugurated its fourth integrated Linear Alkyl Benzene (LAB) plant in Saudi Arabia

The US$950mn state-of-the-art facility, located in Yanbu Industrial City, adds 120,000 metric tons per year of LAB capacity. Built adjacent to Aramco’s refineries, the plant leverages locally produced kerosene and benzene feedstocks, ensuring world-class integration, efficiency, and sustainability performance.

The new plant underlines Farabi’s commitment to Saudi Arabia’s Vision 2030 objectives of downstream diversification, localisation and GDP growth.

The company also signed a new Memorandum of Understanding (MoU) with Unilever to expand their 20-year strategic partnership. Unilever is the world’s largest buyer of LAB, a key ingredient in household and industrial cleaning products.

The expanded agreement aligns Farabi’s capacity growth with Unilever’s constantly growing global demand in home care products, supporting innovation and sustainable growth. Both companies expressed confidence that this deepened collaboration will generate long-term value and advance their shared sustainability goals.

Eng. Mohammed Al Wadaey, CEO of Farabi Petrochemicals Group, said, “Farabi Petrochemicals is proud to be the world’s largest producer of LAB and NP which is the result of consistent growth, product diversification, advanced industrial infrastructure and dedication of our talented employees. We actively support Vision 2030 driving economic diversification, creating job opportunities, contributing to Saudi Arabia’s position as a global industrial hub, while maintaining a positive impact in the environment.”

Flir's products enhance safety, sustainability and operational efficiency. (Image source: Flir)

Technology

Teledyne Flir to showcase its diverse offerings at ADIPEC 2025

Highlighting products that enhance safety, sustainability and operational efficiency across critical industries, Teledyne Flir will be exhibiting their portfolio at ADIPEC 2025, scheduled from 3 to 6 November in Abu Dhabi 

Flir's condition monitoring solutions include the iXX, Assetlink, Si2 series, and Exx series. These come in a range of handheld and fixed monitoring tools as well as inspection software, all designed to make condition monitoring more efficient and help companies maximise their uptime.

Alongside condition monitoring solutions, Flir will also be showcasing its thermal imaging and sensing solutions at ADIPEC 2025.

Flir’s Early Fire Detection solutions harness advanced radiometric thermal imaging to identify heat anomalies before smoke or flames appear. Ideal for high-risk environments such as recycling centers, battery storage sites, and industrial facilities, these systems enable continuous monitoring and rapid intervention to prevent costly damage. The Flir A700f, a fixed-mount thermal camera with onboard analytics, delivers precise temperature measurements and intelligent alerts to enhance safety and operational continuity. Come talk to us on Flir stand XX and find out how our technology can protect your critical infrastructure.

Flir will also showcase its Optical Gas Imaging (OGI) technology, featuring the Gx320 and QL320 cameras. These advanced tools visualise and quantify gas leaks in real time, helping industries meet environmental compliance and reduce emissions. Powered by Flir’s ADGiLE solution, users gain automated detection, geolocation, and reporting capabilities—streamlining inspections and improving safety across oil & gas, chemical, and energy sectors.

 

The webinar will transform confined space inspections. (Image source: Flyability)

Webinar

Webinar: Transforming oil and gas operations with the Elios 3 drone

Despite advances in digital technology, many oil and gas sites across the Middle East still rely on manual entry for tank and vessel inspections, resulting in days of downtime, high scaffolding costs and risk to human life

What if you could change all that with drone technology?

Inspections drones such as the Elios 3 are revolutionising the world of confined space inspections, improving safety, reducing downtime and enhancing operational efficiency.

Join us for an exclusive live webinar hosted by Flyability in association with Oil Review Middle East on ‘Transforming oil and gas operations with the Elios 3 drone’ on Tuesday 2 September at 2pm GST. Industrial experts will explain how drones such as the Elios 3 are transforming confined space inspections, and how you can integrate this technology into your operations seamlessly.

Key highlights:

Drone integration: learn how to safety and effectively implement drones in confined space
Safety and training: understand essential safety protocols and training strategies for your team
ROI: discover how to measure and achieve a strong return on investment with drone technology
Real world use cases: hear from the engineers using drone tech in the field on the impact Elios 3 is having on in oil and gas inspections.

Speakers and host:

Fabio Fata – senior sales manager, Flyability (moderator)
Eralp Koltuk – inspection lead engineer, Tüpraş
Danijel Jovanovic – director of operations, ZainTECH

Take your operations to the next level! Don’t miss out on gaining valuable insights into how drones can make inspections safer, faster and smarter .

From making inspections in hazardous confined spaces much safer to streamlining the whole process and providing valuable real-time data, you will get to see exactly how the Elios 3 is changing the game.

Register for the free webinar here.

Fadi Al-Shihabi, sustainability solutions lead, KPMG Middle East. (Image source: KPMG)

Energy Transition

Decarbonising the lubricant oil industry

Fadi Al-Shihabi, sustainability solutions lead, KPMG Middle East, discusses how decarbonisation is transforming the lubricant oil industry and accelerating the Middle East’s journey to net zero

The lubricant (lube) oil sector is under growing pressure to minimise its environmental footprint as industries worldwide confront the realities of climate change. A rapidly growing industry in the UAE, it is currently estimated at 166.27mn litres, and is expected to reach a staggering 202.68mn litres by 2030. In the Middle East, where the current lubricant market is estimated at 2.94 billion litres and expected to reach 3.31bn litres by 2030, similar trends are evident in Saudi Arabia, Oman, and Qatar.

From the automotive industry to power generation, the lubricant oil sector is a widely growing area. It plays a critical role in keeping engines, machinery, and industrial systems operating efficiently, but its traditional production, packaging, and end-of-life management contribute significantly to greenhouse gas (GHG) emissions.

According to the International Energy Agency (IEA), oil and gas operations, including extraction, processing, and refining, account for approximately 5.1 Gt CO2e annually, or about 15% of global energy sector emissions. To remain on track for net-zero by 2050, these emissions must fall by over 60% by 2030.

The UAE has set itself enormous emissions targets – the UAE Net Zero by 2050 strategic initiative aims to achieve net-zero emissions by 2050 – with stakeholders in key sectors, including energy, implementing projects to decarbonise in line with their needs and growth requirements. Saudi Arabia’s Circular Carbon Economy framework and Oman’s Net Zero 2050 pledge echo similar decarbonisation ambitions.

The deployment and use of clean energy solutions is one of the UAE’s main pillars to address climate change and reduce GHG emissions. The country began financing clean energy projects more than 15 years ago and has invested over US$40bn in the sector to date. The Middle East region as a whole is set to receive over US$75bn in investments for renewable energy projects by 2030, according to a report released by the Energy Industries Council (EIC). Ahead of the COP28 summit in the UAE in 2023, more than 60 top executives from the oil and gas, cement, aluminium and other heavy industries agreed to cut their emissions to meet their climate obligations.

Within the lubricants sector, electrifying process heat, cutting methane leaks, and using low-emissions hydrogen, particularly in energy-intensive refining steps like hydrotreating and hydroisomerisation, are vital for efficiency improvements. These innovations are critical as it is estimated that a single liter of lubricant can generate over 3.5 kg CO₂e. Refineries across the GCC are piloting hydrogen and CCUS technologies to curb emissions in lubricant production.

Innovation powering the lubricants industry

The journey of lube oil begins with crude oil extraction, followed by vacuum distillation to separate heavier fractions suitable for base oil production. These base oils undergo further refining processes such as hydrotreating, hydroisomerisation, dewaxing and other processes, enhancing their viscosity, stability, and longevity.

Recent innovations in catalyst technology and feedstock selection are driving both product quality improvements and emissions reduction. Producers are also blending biomass-derived feedstocks with conventional inputs to create lower-carbon base oils. These bio-based oils perform similarly to fossil-based ones but have less carbon footprint and can be processed using existing infrastructure. Scientists are also exploring entirely renewable base oils.

However, innovation doesn’t stop at production. Digital monitoring tools help reduce lubricant waste during use. For example, Finnish company Lassila & Tikanoja installed real-time oil monitoring across its hydraulic systems and reduced oil use by 13,400 litres over four years, saving around 10 tonnes of CO₂e annually. They also cut lubricant-related emissions by up to 80% through smarter maintenance without affecting performance.

Packaging and handling

When it comes to packaging, manufacturers are increasingly optimising designs by reducing material use and enhancing handling and distribution. While traditional rigid plastics and metals have historically provided the necessary protection, they also present significant challenges in terms of disposal and GHG emissions.

Consequently, the lubricant industry is undergoing a transition toward low-carbon packaging alternatives that can maintain safety and performance while addressing environmental concerns. Lightweighting and design optimisation reduce raw material demand, shipping weight, and CO2 emissions per litre delivered, without compromising safety or performance.

TotalEnergies has been at the forefront with the integration of 50% post-consumer recycled (PCR) HDPE in its premium lube oil bottles, launched in France and Belgium since September 2023. These bottles retain the same weight, design, and performance while significantly reducing the carbon footprint.

Lowering cradle-to-grave emissions

Beyond production and packaging, extending lubricant life is key to decarbonisation. Modern additives have enabled lubricant change intervals to increase from 5,000 km in legacy vehicles to upwards of 30,000 km in modern engines.

Bio-based or biomass-balanced additives further support environmental goals by reducing the emissions linked to additive manufacture and enhancing overall oil performance. The result is less frequent oil manufacture, transport, and disposal.

As the UAE accelerates its journey towards decarbonisation, these steps will be crucial in ensuring the responsible end-of-life management of lube oils. Technological advancements and environmentally friendly formulations will create new growth avenues and set a new benchmark in the UAE’s industrial revolution. As neighbouring countries pursue similar ambitions, regional collaboration in innovation and policy will be key to transforming the Middle East lubricant landscape.