Baku, April 18, AZERTAC
Kuwait’s three oil refineries were operating at reduced rates on Monday on the second day of an open-ended labor strike, according to Bloomberg.
Kuwait National Petroleum Co. is processing about 510,000 to 520,000 barrels of oil a day, Khaled Al-Asousi, spokesman for the state-oil company, said by phone on Monday. All three refineries are operating, he said. They have a combined capacity of about 900,000 barrels a day. A call and text message to the labor union weren’t answered.
Kuwait’s crude production on Sunday dropped to 1.1 million barrels a day, Saad Al-Azmi, deputy chief executive for finance and spokesman at Kuwait Oil Co., said in posts on Instagram and Twitter on Sunday. Kuwait Petroleum Corp., the parent company for KOC and other operating units, will provide fuel to the local market and can meet demand from international customers for exports, it said on Twitter on Sunday. KPC and KOC spokesmen were not immediately available for comment on Monday.
Kuwait is among Middle Eastern oil producers that are cutting spending and benefits to plug holes that the oil-price drop of nearly 30 percent in the past year has punched in government budgets. Prices have fallen as rising output from the Organization of Petroleum Exporting Countries and other suppliers has created a global glut. Kuwait produced 2.81 million barrels a day last month, making it OPEC’s fourth-largest member, while worldwide supply exceeded demand by 1.6 million barrels in the first quarter, according to the International Energy Agency.