Oil industry of Kuwait
Map of oil industry
Crude Oil Production
The history of the Kuwaiti oil sector dates back to 1934. The pioneers of oil production in Kuwait were the Anglo-Persian Oil Company (now known as BP) and Gulf Oil Company from the United States (now defunct).
Kuwait went through nationalization of oil sector in 1975, as well as the devastating Iraq-Kuwait War in 1990-91.
The country's key oil producing company is state-owned Kuwait Oil Company (KOC).
Kuwait Gulf Oil Company (KGOC), a joint venture between Kuwait and Saudi Arabia, manages production in neutral zone between the two countries.
Kuwait is a member of OPEC.
Key oil grade is Kuwait blend (30 API density, 2.7% sulfur content).
Crude Oil Exports
Kuwait started exporting oil in 1946.
Largest Kuwaiti terminal is Mina Al-Ahmadi terminal.
Kuwait receives 50% of oil loaded in Saudi Arabia - Kuwait neutal zone at Khafji and Mina Saud terminals.
Crude Oil Refining
Oil refining is carried out by Kuwait National Oil Company (KNPC). Total active capacity of the refineries as of 2026 is 67.5 MTPA (185 ktd).
Kuwaiti refineries:
Mina Al-Ahmadi - 23.2 MTPA (64 ktd). The first refinery in Kuwait, built in 1949.
Mina Abdula - 13.5 MTPA (37 ktd).
Shuayb - 10 MTPA (27 ktd). Closed in 2017.
Al Zour - 30.8 MTPA (84 ktd). Launched in January 2023.
In 2023, the processing volume was 174 ktd. The refineries’ utilization rate was 98%.
Consumption, Export and Import of Petroleum Products
Burning of fuel at TPPs
Kuwaiti thermal power plants use fuel oil to generate electricity. Consumption volume varies throughout the year depending on temperature. In 2024, minimum consumption was in February - 480 kt (17 ktd), maximum in July - 890 kt (29 ktd). Since 2024, Kuwait's thermal power plants have switched from high-sulfur fuel oil to burning more expensive, but also more environmentally friendly, low-sulfur fuel oil.
Impacts of Wars
Oil industry of Kuwait faces regularly suffers from war activities.
War of Isreal and USA against Iran in 2026
Kuwait partucipated in attacks to Iran. In response, Iran targeted US military bases and oil infrastructure in the country.
Decrease in crude oil production during the week of March 9-16 reached 178 ktd.
19.03.2026 - UAVs attacked Mina Abdulla Refinery. After the attack, there was a fire at the plant. The plant partially suspended operations.
19.03.2026 - UAVs attacked Mina Al Ahmadi Refinery. After the attack, there was a fire at the plant. The plant partially suspended operations.
26.03.2026 - attacks to jet fuel storage facilities at Kuwait International Airport.
31.03.2026 - Kuwaiti tanker Al Salmi (9534793) was damaged after an attack by Iranian UAVs. The tanker has cargo of crude oil and was anchored in the port of Dubai.
05.04.2026 - Iranian UAV hit building of Ministry of Oil. There was a fire on the upper floors.
05.04.2026 - Iranian UAV struck Mina Al-Ahmadi oil refinery. Impact hit a distillation column.
Notes:
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