Kuwait, the Arabian Gulf state and LNG importer that was hit by power cuts in June as soaring temperatures pushed the electricity grid to its limits during peak operations, has made a huge oil and gas discovery in the Gulf to boost energy security.
Kuwait Oil Company (KOC) said on July 14 that had had made a “giant” oil discovery in the Al-Nokhatha field east of the Kuwaiti island of Failaka.
The discovery has estimated resources of 5.1 trillion standard cubic feet of natural gas and 2.1 billion barrels of light oil.
KOC said in a statement carried by the official Kuwait News Agency that the initial estimated area of the discovered well is around 96 square kilometres and estimated reserves were equivalent to the country's entire production over a period of three years.
LNG importer
Kuwait has been an LNG importer since 2009 to meet its increasing natural gas requirements for domestic demand and refinery operations.
The Gulf state previously used a floating storage and regasification unit (FSRU) at the port of Mina Al-Ahmadi, though since 2021 has an onshore LNG import terminal at Al-Zour with eight storage tanks and 1.8 million cubic metres of storage.
Kuwait stated that the initial findings on the oil and gas discovery “indicate huge potential to further enhance and increase hydrocarbon resource quantities in various layers and reservoirs” within the discovered field.
KOC stated that the marine area, representing about one-third of Kuwait's total land area and covering more than 6,000 square kilometres, in the first phase included drilling six exploratory wells for oil and gas. It added that subsequent stages would be determined based on the drilling results.
“The offshore exploration (Al-Nokhatha field) project is now a national endeavour with the goal of enhancing Kuwait's hydrocarbon reserves sustainability and meeting global demand to elevate Kuwait's status as a reliable global oil and gas producer,” KOC explained.
Seismic surveys
KOC added that the launch of the current marine exploration project was based on two-dimensional seismic surveys of the area, along with geophysical and geological studies.
“Additionally, the project will contribute to developing new technical skills in drilling and offshore production, creating varied employment opportunities for national talents,” it pointed out.
“Based on initial test results, a developmental plan will be established to commence actual production from the field at the earliest opportunity,” KOC stated.
KOC added that this discovery was the result of cohesive collaboration across its energy sector and the continuous support received from the state-owned principal enery company and management of Kuwait Petroleum Corporation (KPC).
Kuwait’s Al-Zour LNG terminal is owned by KPC and has recently become a focus of the country’s domestic natural gas requirements.
Al-Zour has the capacity to import 22 million tonnes per annum of LNG for industrial and domestic use, though most recent annual imports have amounted to just over 6 million tonnes of LNG.
The onshore Al-Zour terminal, the largest in the Middle East, was constructed to provide fuel and power to Kuwait’s refining and petrochemicals industries located in and around Al-Zour.
