Latest Oil and Gas News

An executive at the Kuwait Oil Company has just stated that the company is planning to increase their gas production to 4 billion cfd by 2030. At present Kuwait is heavily dependent on the burning of oil to sustain its activities and has to date not utilized its large natural gas deposits. A new strategy hopes to change this and Kuwait now want to largely meet domestic demand through natural gas.

At present the region pumps approximately 1 billion cubic feet per day of gas from oil fields and 145 cubic feet per day solely from non-oil related gas fields. It is now hoped to rapidly expand the production of gas by increasing the production of non oil-associated gas output to 2.7 billion cubic feet per day. The non-oil associated gas will come from a neutral area of land that Kuwait shares with Saudi Arabia and from other gas fields within Kuwait.  Some it is hoped will come from the Dorra field although this field is shared with Iran and no solid deal between the two regions has been ratified as of yet.

At present Kuwait is relying heavily on its imports of Liquefied Natural Gas and it could also yet run into difficulties with its OPEC membership as in order to siphon off more gas they need to increase their production of Oil which will not be in line with OPEC oil production restrictions. Therefore it is now imperative for their future supply success to increase their output of non-oil associated gas fields. They are hoping this will reach 1 billion cubic feet per day by 2016.