KUWAIT CITY, Oct 29: Kuwait Petroleum Corporation (KPC) relies on five main axes for the growth of its profits in the coming years. Reliable sources disclosed that the first axis is mobilizing all resources to increase the production capacity to four million barrels per day by 2035. So far, KPC has invested billions of dollars to increase and expand offshore exploration, especially after the success of Kuwait Oil Company (KOC) in discovering three offshore fields within only 15 months, in addition to discovering the onshore Mutriba field. These discoveries will be added to the giant or major fields belonging to the corporation. At the same time, these discoveries will be the corporation’s leverage to demand an increase in its share in OPEC+.

Sources said the second axis focuses on supporting and incentivizing the foreign subsidiaries of the corporation to support the objectives of Kuwait Gulf Oil Company (KGOC), which manages the Wafra and Khafji fields in partnership with Saudi Arabia, to continue and intensify joint operations efforts by utilizing modern technologies to increase the production capacity of both companies.

The corporation also relies on Durra field in the joint zone between Kuwait and Saudi Arabia, which intends to complete this project in 2029. Focus on Durra field is due to the ability to contribute to increasing gas production, especially since its recoverable gas reserves are estimated at 200 billion cubic meters, in addition to its reserves estimated at more than 300 million barrels of oil. Sources affirmed that the corporation, through Kuwait Petroleum International (KPI), intends to expand its diverse foreign projects, especially fuel stations. Through Kuwait Foreign Petroleum Exploration Company (KUFPEC), it also intends to expand its exploration activities and withdraw from countries that do not achieve the desired returns, especially after overcoming the losses it incurred for several years and beginning its golden age, achieving net profits of KD 226.2 million for the year 2024. It gained KD 172.8 million in 2023, and reached peak profits in 2022 amounting to KD 308 million.

Sources indicated that the third axis revolves around the endeavor of the corporation to increase non-associated gas production to reach around two billion cubic feet per day, especially since the last three offshore discoveries will reduce the gas imports of Kuwait in the future. The fourth axis focuses on increasing the refining capacity of domestic and international refineries, especially since the corporation currently owns six refineries -- three are domestic: Zour, Mina Al-Ahmadi and Mina Abdullah, and three are international: Nghi Son in Vietnam, Milazzo in Italy and Duqm in the Sultanate of Oman. The corporation disclosed that it is expanding the production capacity of its domestic refineries to meet the global demand for petroleum products, particularly since its petroleum products are preferred due to their quality and adherence to clean environmental standards. Sources added the fifth axis is expanding petrochemical industries locally and globally to realize its vision to reach an annual production of 14.5 million tons of petrochemicals as part of its 2040 strategy. They stated that the corporation concluded partnership agreements with Chinese and other companies in the petrochemical industry to further its leadership and excellence despite the continuous fluctuation of petrochemical prices due to changes in global markets.

The increase in supply has led to lower prices amidst a slowdown in global demand, in addition to the volatility in energy prices. Following is a breakdown of these axes:

1. Increase oil production capacity
2. Encourage foreign companies
3. Increase gas production
4. Increase refining capacity
5. Expand the petrochemical industry

By Najeh Bilal Al-Seyassah/Arab Times Staff