Kuwait will consider increasing oil storage abroad to boost its ability to supply global markets after the war in the Persian Gulf blocked flows through the Strait of Hormuz, according to the head of the state energy company’s marketing arm.
Kuwait declared force majeure on shipments of crude oil and refined products as the blockade of the Strait of Hormuz makes it impossible to meet obligations to customers that can’t bring vessels into the Persian Gulf.
Alaeddine Karim, Microsoft’s country general manager in Kuwait, talks to The Energy Year about deploying a regional data centre and AI cluster in Kuwait and the company’s partnership with the Kuwaiti government for digital transformation. Microsoft creates platforms and tools powered by AI to deliver innovative solutions.
The contract is for the construction, operation and management of the facility, which will be located in West Kuwait and treat approximately 3.4 mcm (120 mcf) per day of sour gas. The construction project has a completion timeline of 790 days and includes a five-year operations and maintenance engagement.
“The initial exploration well recorded the highest production rate from a vertical well in the Minagish formation in Kuwait’s history,” KOC said in a statement on Monday. The company has made similar announcements for oil and gas offshore discoveries since last year.
Kuwait had a similar production capacity in the late 2000s, with capacity hitting the highest on record of 3.3 million bpd in 2010. Kuwait’s oil production capacity began to drop after 2010, but the OPEC heavyweight has launched a program in recent years to raise it.
With a reported value of approximately USD 163.4 million, it represents the largest standalone well-logging contract secured by a Chinese company overseas, according to statements to Upstream by a company official.
Kuwait Petroleum Corp. is considering leasing part of its pipeline network to help fund a $65 billion investment plan that covers everything from upstream to petrochemicals, according to people familiar with the matter.
Three international consortiums have been invited by the Kuwait Authority for Partnership Projects (KAPP) to submit proposals. They are led by Abu Dhabi National Energy Company (TAQA), Saudi Arabia’s ACWA Power and China Power International.
KBR will deliver FEED and related services aimed at optimising operational efficiency in the field. The work is part of KOC’s wider strategy to reinforce Kuwait’s energy security and invest towards long-term, sustained oil production.