Resumption of “divided” oil exports between Saudi Arabia and Kuwait

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Economie

Agencies
Kuwaiti Oil Minister Khaled al-Fadil

Kuwaiti Oil Minister Khaled al-Fadil

The Kingdom of Saudi Arabia and Kuwait intend to resume oil exports from the region divided between them, starting next month, adding more supplies, at a time when the Organization of Petroleum Exporting Countries (OPEC) is trying to reduce production to meet price turmoil due to the Corona virus, the emerging (Covid – 19 ).

According to “Bloomberg” news agency, on Friday, the Kuwait Petroleum Corporation informed consumers that production in the Khafji field in the region has already been resumed, and exports will start from next April, according to sources familiar with the notification sent by the company.

On February 16, Kuwaiti Minister of Oil, Electricity and Water Khaled al-Fadil announced the start of experimental pumping in the Wafra oil field in the divided zone with Saudi Arabia.

He expected in a press statement on the sidelines of the launch ceremony of the new logo of the Ministry of Oil, the return of production in the Wafra field to its previous level (up to 140 thousand barrels per day) before the end of the year.

On the start of production of Al-Khafji field, which is located in the same region, Al-Fadil said: “On December 24, 2019, there was a count that there will be 60 days to reproduce in the field of Al-Khafji, and we are sure that Prince Abdulaziz bin Salman, the Saudi Oil Minister, is closely monitoring production in Al-Khafji. On time, if not earlier, “it is expected that production by the end of the year will reach 250 thousand barrels per day.

He added: “As for the Al-Durra field, there is a clause in the agreement and a memorandum of understanding to start studies and work on production, and it needs to be studied and discussed through the oil sector channels and the Ministry of Oil and the Ministry of Foreign Affairs to reproduce,” stressing that “there are continuous studies and plans to develop it and studies to separate gas and will be announced in Then when it is ready. ”

The Kuwaiti and Saudi Oil Ministers signed in December 2019 an agreement to resume production in the divided zone.

It is noteworthy that Saudi Arabia and Kuwait halted oil production from the Khafji and Wafra fields, which are jointly managed and located in the divided region, more than 5 years ago, which reduced global oil supplies by about 500 thousand barrels per day at the time.

The Wafra field is operated by the Kuwait Gulf Oil Company, which is managed by the Kuwait Petroleum Corporation and Chevron on behalf of Saudi Arabia. Meanwhile, the Khafji field is managed by Saudi Aramco oil giant and Kuwait Gulf Oil Company.

The area of ​​the divided zone between Kuwait and Saudi Arabia is about 5700 square kilometers, and its division line starts from the north of Al-Khafji and continues straight to the west.

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