Kuwait may partially help Europe overcome the effects of the embargo on imports of petroleum products from Russia, which will take effect in early February, writes Bloomberg. The country intends to export five times as much diesel and aviation fuel to the Old Continent this year.
The volume of diesel oil deliveries from Kuwait is expected to increase fivefold compared to 2022, i.e. to 2.5 million tonnes per year and about 50,000 barrels per day.
The Gulf country also intends to double the volume of jet fuel exports, reaching 5 million tons of annual sales to Europe, Bloomberg reported, citing its own sources close to the Kuwaiti authorities.
At the end of last year, EU countries bought almost 1.3 million barrels of petroleum products daily from Russia, of which about half was diesel oil. After February 5, when the EU ban on imports from Russia comes into force, diesel prices on the continent may increase significantly, the American agency predicts, citing the estimates of fuel market analysts.
Tens of billions for refineries
As highlighted in a Bloomberg commentary, Kuwait has spent tens of billions of dollars in recent years to modernize and build new refineries. The key investment was the commissioning of the Al-Zour refinery – one of the largest plants of this type in the world, capable of processing 615 thousand. barrels of oil per day.
At the end of last year, the new company started the production of diesel oil and aviation fuel for export.
Kuwait is not the only Middle Eastern country that intends to increase exports of petroleum products to Europe in 2023. The authorities of Saudi Arabia and the United Arab Emirates have similar plans, Bloomberg reminded.
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