Latest News
- No Transactions Without Biometrics
- Passenger Caught With Pure Cocaine From Europe
- The Elderly Man Was Not Insulted By Me
- 97% Of MEW Workforce Are Kuwaitis; Strength 34,417
- Rushing Home For 'iftar' Causes Accidents And Deaths
- Expect Hot Days, Cool Nights, And Thunderstorms In Kuwait
- Health Procedures For Expatriates Updated
- Kuwait's Agility Global Seeks Inclusion On Abu Dhabi's ADX
- Public Authority For Industry Completes Industry Law Amendment P...
- Indian Ambassador Hosts Ramadan Celebration In Kuwait
- Al-Mashaan Grants Authority For Transfers Of Municipal Departmen...
- For The Expansion Of The Subiya Site, 204.178 Million Dinars And...
Umm Ar Ruus -the Cheapest Kuwaiti Oil Field In The World
Umm Ar Ruus is an oil field located in the southern part of Kuwait with the cheapest Kuwaiti oil that costs about 70 fils (23 US cents) per barrel.
The initial proven reserve is 120 million barrels of sweet type of crude oil. The oil in our Great Burgan field costs about 121 fils (or 40 US cents) per barrel.
Burgan is the mainstream of our daily income and still represents more than 65 percent of our total daily oil production. This is in accordance to the report published by the State Audit Bureau recently – one of the many tools used locally to check and balance our expenditure in our oil industry.
The most expensive fields are West Al-Minagish at KD 8 or US$ 24 per barrel, and Umm Niqua at KD 3 per barrel. The overall cost of Kuwait’s oil production is less than $ 4; however the cost for KOC is on the rise due to the nature of new discoveries – the heavy type – and deeper oil, even less than the Saudi Aramco crude oil.
The average cost of increase in our upstream is on the rise, about 18 percent annually in the region. It could partly be due to the nature of the field, being a deeper field, with high sulfur content, and higher volume of water associated with the oil. Kuwait Oil Company (KOC) in the year 2018/2019 produced about 1.1 billion barrels of oil at a cost of KD 1.5 billion or $ 4.5 billion, in comparison to the previous year of higher crude oil production with a lower cost of KD 1.33 billion.
This was the main concern of the state auditors. The other concern was regarding our oil industry failing to reach its objected targets and still falling behind in all of our sectors.
The objective was to reach 3.315 million barrels but the actual volume is still at 2.855 million barrels per day. Delays in meeting the schedule is chronic for our Kuwait industry and for all our government projects. Despite all the checks and balances, we still fall behind.
We mainly believe it is due to the interferences by all, and failure of the government to lead instead of following. There is no question that we in Kuwait enjoy full transparency and openness, but this is not moving us forward, and we still lag in the overall rating in the oil industry.
Thanks to our Great Burgan oil field for its wealth and its flow of daily oil of more than 1.6 million barrels per day since 1938, and its daily income of more than $ 88 million or 60 percent of our annual revenues.
Â
SOURCE : ARABTIMES
Trending News
-
MoI Urges Biometric Fingerprinting Compliance Ahea...
21 March 2024
-
5 Days Holiday For Eid Al-Fitr Begins On April 9th
25 March 2024
-
Over 120,000 Expat Offenders Will Benefit From Kuw...
14 March 2024
-
Kuwait Offering Amnesty To Illegal Expats
17 March 2024
-
From April 1 To July 1, Kuwait Grants Amnesty To V...
14 March 2024
-
Sponsorship Requirements In Kuwait: Time To Embrac...
13 March 2024
-
Kuwaiti Banks Elevate Non-Resident Credit To 4.17...
18 March 2024
-
Central Bank Of Kuwait Provides Banks With New Ba...
20 March 2024
-
Banks In Kuwait Report Robust Profits Despite The...
21 March 2024
-
Kuwait's Clean Energy Journey: Progress And Challe...
23 March 2024
Comments Post Comment