Kuwait Petroleum Corporation (KPC), Kuwait’s state-owned exploration and production company, has announced a significant oil and gas discovery at an offshore field east of Failaka Island, off the coast of Kuwait. This discovery has raised hopes of finding additional hydrocarbons to boost the country’s energy resources.
Substantial hydrocarbon reserves estimated
According to KPC and its subsidiary, Kuwait Oil Company (KOC), the commercially viable discovery in the offshore Al-Nokhatha field includes large quantities of light oil and associated natural gas. The preliminary estimates suggest the field holds around 2.1 billion barrels of light oil and 5.1 trillion standard cubic feet of natural gas, equating to approximately 3.2 billion barrels of oil equivalent (boe).
The CEO of Kuwait Petroleum Corporation, Sheikh Nawaf Saud Al-Sabah, and the CEO of Kuwait Oil Company, met with His Highness Sheikh Mishal Al-Ahmad Al-Jaber Al-Sabah, the Amir of Kuwait, His Highness Sheikh Sabah Al-Khaled Al-Hamad Al-Sabah, the Crown Prince, and His Highness… pic.twitter.com/hJP8088Zj9
— KPC | مؤسسة البترول الكويتية (@kpcofficialkw) July 14, 2024
Breakthrough in offshore exploration
Kuwait views this discovery as a breakthrough in its exploration efforts within its maritime area, given the significant size of the Al-Nokhatha field, which covers an estimated area of 96 square kilometers. The field is expected to produce around 2,800 barrels of light oil and 7 million cubic meters of associated gas per day.
Potential for further resource expansion
KOC further believes the initial hydrocarbon reserves indicate vast potential to increase oil and gas resource quantities in multiple layers and reservoirs within the field. The company has confirmed its intention to develop a plan to bring the field into production as soon as possible, emphasizing the importance of further offshore exploration to enhance Kuwait’s hydrocarbon reserves and meet global energy demand.
Aligning with net-zero emissions goal
These hydrocarbon exploration efforts are part of Kuwait’s broader plans to strengthen its position as a reliable global oil and gas producer, while also working towards its goal of achieving net-zero emissions by 2060. KOC’s Deputy CEO of Exploration & Drilling, Khaled Al Mulla, recently stated that the oil sector’s energy transition plan for 2050 is underway, with five key initiatives to meet the net-zero target.
Read more: Kuwait to modernize, enhance renewable energy efficiency for a zero-carbon future
Offshore drilling contract with Halliburton
In 2019, KOC signed an offshore drilling services contract with the U.S. oilfield services company, Halliburton. Under the agreement, Halliburton was expected to provide and manage various services, including drilling, fluids, wireline and perforating, well testing, coring, cementing, and coiled tubing, as well as offshore logistical support. The contract also included the provision of two offshore rigs and supply vessels, with the first rig expected to start operations in July 2020 and the second in January 2021. However, the drilling campaign faced delays, and Kuwait’s first offshore drilling activities are now set to commence in 2022, three years after the initial contract signing.
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