Energy & Utilities
From The Report: Kuwait 2019
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With the sixth-largest proven oil reserves in the world, Kuwait is among the world’s principal hydrocarbons powers. The Gulf country is also one of the top energy sector investors, with a range of mega-projects under way. While the sector is a national industry, Kuwait is also a destination for international players, with a range of contract and tendering opportunities available, from the upstream to the downstream segment. Because of its established nature, shifting the balance towards more sustainable sources is an ongoing challenge, as is fully utilising resources to promote economic diversification. Nonetheless, Kuwait has advanced on some key projects to meet these challenges through an ambitious sector development programme. This chapter contains interviews with Hashem Hashem, Deputy Chairman and CEO, Kuwait Petroleum Corporation; and Emad Sultan, CEO, Kuwait Oil Company.

Articles from this Chapter

Overview

Aim high: The industry is investing heavily to move up the value chain and away from its historical role as a crude oil exporter
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With the sixth-largest proven oil reserves in the world, and an industry that dates back to the early days of oil and gas dominance in energy, Kuwait is among the world’s principal hydrocarbons powers. The Gulf country is also one of the top energy sector investors, with a range of mega-projects under way in refining, petrochemicals, new oilfield development and mature oilfield recovery. Supporting such programmes is a range of government-owned companies that benefit from a well-resourced,…

Interview

In with the new: Hashem Hashem, Deputy Chairman and CEO, Kuwait Petroleum Corporation (KPC), on modernising oil and gas operations
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Interview:Hashem Hashem To what extent are operational efficiencies being strengthened across KPC subsidiaries to improve productivity and optimise costs? HASHEM HASHEM: The historical volatility of oil prices will not change, and it is very likely that technology and the energy transition will continue to have a major impact on the industry. In that context, we must be prepared for price troughs. High oil prices should be considered a windfall, not the norm. This is the mindset needed to…

Analysis

Front and centre: Two projects aim to dramatically improve local refining capacity and petrochemicals production
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The Kuwaiti government is set to become one of the world’s largest downstream oil and gas investors thanks to plans by state-owned Kuwait Petroleum Corporation (KPC) to diversify its oil products and boost petrochemicals output. Central to this strategy, which comes at a $50bn price tag, is the goal of more than doubling the country’s refining capacity to boost Kuwait’s standing in a highly competitive regional market. KPC’s overseas arm, Kuwait Petroleum International (KPI), is coordinating…

Analysis

Alternative means: Solar power could help lower the energy import bill and recover oil from mature wells
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At the 2012 UN Conference on Climate Change in Doha, the emir of Kuwait announced that the country was aiming to generate 15% of its electricity from sun and wind by 2030 – a target since reasserted in the New Kuwait 2035 vision. While this goal will help reduce greenhouse gas emissions and combat climate change, Kuwait’s desire to boost renewable energy is also linked to its aim to reduce the almost 100% share of power generation accounted for by oil and gas. Achieving this would enable…

Interview

Operational growth: Emad Sultan, CEO, Kuwait Oil Company (KOC), on expanding production and minimising environmental impact
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Interview:Emad Sultan How is Kuwait pursuing its energy security goals, and will expansion of gas production play a role? EMAD SULTAN: The expansion of non-associated gas production, development of heavy oil production and commissioning of the new Al Zour refinery are key to fulfilling increasing energy needs in Kuwait. Regarding non-associated gas production, KOC recently increased its total production capacity from 200m to 500m standard cu feet per day (scfd), with the commissioning of…

Overview

Cheaper and greener: As costs decline, renewable sources are seeing an inexorable rise, particularly among developing economies
OBG
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Although the world remains largely dependent upon fossil fuels for power generation, a gradual transition towards renewable sources has been taking place since the 1990s, underpinned by multilateral deals such as the Kyoto Protocol, the Doha Amendment and, more recently, the Paris Agreement. Investment and development in renewable technologies has historically been led by developed countries, however, in recent years the renewable energy industry has expanded in emerging markets. In 2018 these markets accounted for nearly 70% of new global investment in renewables. Taking the Lead Emerging markets exceeded developed economies in terms…

Overview

Cheaper and greener: As costs decline, renewable sources are seeing an inexorable rise, particularly among developing economies
OBG
plus

Although the world remains largely dependent upon fossil fuels for power generation, a gradual transition towards renewable sources has been taking place since the 1990s, underpinned by multilateral deals such as the Kyoto Protocol, the Doha Amendment and, more recently, the Paris Agreement. Investment and development in renewable technologies has historically been led by developed countries, however, in recent years the renewable energy industry has expanded in emerging markets. In 2018 these markets accounted for nearly 70% of new global investment in renewables. Taking the Lead Emerging markets exceeded developed economies in terms…