Kuwait to spend $115billion on oil projects

Kuwait news

Kuwait has ring-fenced $115billion (34.5billion dinars) to spend on oil projects over the next five years, according to a senior oil executive.

Wafa al-Zaabi, head of planning at Kuwait Petroleum Corp, was speaking at an oil conference on Sunday when she said: “We have earmarked 34.5billion dinars for spending on oil projects over the next five years.

“Over 30billion dinars ($100billion) will be spent on the local market and the rest abroad.”

Exploration and production projects will commandeer two-thirds of the overall total, according to Zaab.

The cash injection will be aimed at increasing daily production from three million barrels a day to four million barrels a day by 2020. Kuwait aims to maintain that output for a decade, Zaab said.

The country also plans to increase the output of natural gas from 150 million cubic feet to two billion cubic feet daily.

From 1998 to 2014, Kuwait amassed about $600billion in surpluses as a result of high oil prices. Oil makes up 95% of its revenue.

The country is currently investing $30billion in three major downstream projects, including a new 615,000-bpd refinery, a clean fuel project to upgrade two of the three existing refineries and a platform for LNG imports.