Kuwait is targeting an almost 50 per cent increase in oil production over the next four years in a bid to secure future economic growth
According to Abdulaziz Al Attar, head of research at state-owned Kuwait Petroleum Corporation, who was speaking at Platts Crude Oil Summit in London, the country aims at producing four million bpd by 2020 and maintaining that level through 2030, reiterating its goal of ramping up production. Such an increase would mark a 44 per cent jump on Kuwait’s output of 2.77mn barrels a day in March, according to the latest monthly report from OPEC.
It would also be the country’s highest output level ever, according to Bloomberg data. “We also intend to provide fuel stock capabilities to counter for seasonality and domestic energy demand,” Al Attar said at the conference. The comments come after a three-day strike in Kuwait sent its oil production tumbling to 1.5mn a day in April. However, Al Attar brushed off concerns that similar events would significantly impact production in the future.
“I don’t think there will be any future risks of strikes,” he added.
The oil representative also mentioned that Kuwait plans to grow domestic refining capacity to 1.4mn barrels a day and boost international cooperation.
The two oilfields shared with Saudi Arabia in a massive 6,000 sq km zone may also resume production within a year.
Commenting on an agreement to restart the fields, Al Attar said, “It is very difficult to say when, but it is in the process (of restarting)…We hear production will come back... a month, maybe a year, but we don't know exactly when.”
The two oilfields — onshore Wafra and offshore Khafji — are in the Partitioned Neutral Zone, which lies between Kuwait and Saudi Arabia. The Wafra oilfield has a reported production capacity of 200,000 bpd, while Khafji has a 300,000 bpd production capacity.
