Kuwait produces, exports record oil products in 2024

Market: Oil products
20/02/25

Kuwait's oil product output and exports reached record highs in 2024, driven by the full ramp-up of the 615,000 b/d al-Zour refinery.

Figures from the Joint Organisations Data Initiative (Jodi) show Kuwait's refinery production, excluding LPG, averaged 1.21mn b/d last year, up by 22pc from 2023 and the highest since Jodi records began in 2002. Output rose after al-Zour reached capacity in February, which brought Kuwait's total refining capacity to close to 1.42mn b/d.

State-owned KPC had gradually started up the refinery's three 205,000 b/d crude distillation units in November 2022, March 2023 and December 2023, but it took until 2024 to reach full capacity after a string of technical issues throughout 2023.

Al-Zour's ramp up resulted in Kuwait's fuel oil production rising by 51pc on the year. At full capacity, the plant is geared to produce 11mn-12mn t/yr (194,000-212,000 b/d) of very-low sulphur fuel oil (VLSFO).

Kuwait's naphtha output rose by 24pc, there was an 18pc rise in diesel production and a 12pc increase in kerosene. Gasoline was the only fuel recording a fall in production in 2024, by 4pc on the year. This could have been affected by an issue at one of Kuwait's reformers, which saw KPC seek rare gasoline imports in October, but the extent of the disruption could not be confirmed.

Record output also led to all-time high refined products exports from Kuwait in 2024. These rose by 28pc on the year to an average 968,000 b/d, according to Jodi. Fuel oil exports, mostly VLSFO, rose by 44pc, closely followed by gasoil with a 40pc rise.

Kpler data show Kuwait sent around 57pc, or 48,000 b/d, of its VLSFO exports to the UAE in 2024, filling a supply gap there while the Fort Energy's 82,000 b/d Fujairah refinery operations were halted during May-September because of a lack of feedstock. Kuwait exported 17,000 b/d to Qatar and 12,000 b/d to Singapore.

The latter had been top destination for Kuwaiti VLSFO in 2023, receiving 52pc or 39,000 b/d. KPC holds a VLSFO term contract with state-owned QatarEnergy (QE) and ExxonMobil.

Kuwait's diesel exports to Europe rose by 24pc on the year to 107,000 b/d in 2024, and jet exports rose by 33pc to 186,000 b/d. KPC had sold term middle distillate supplies for delivery during 2024 to south and east Africa, northwest Europe and to Pakistan. It negotiated term deals for 2025.

Gasoline's already low export rates decreased further last year as rising domestic demand capped available supplies. Kuwait turned into a marginal net exporter of gasoline in 2022, following completion of the Clean Fuels Project (CFP) in 2021. The CFP integrated and expanded Kuwait's other two refineries Mina Abdullah and Mina al-Ahmadi, which now have a combined capacity of 800,000 b/d.

New winds

Kuwait has established a trading subsidiary KPCT, and recently appointed its key leadership.

The Dubai-based entity is due to start commercial operations in the second quarter. KPCT will begin by trading KPC's share of output from the 230,000 b/d Duqm refinery, a 50:50 joint venture with Oman's state-owned OQ, along with oil products from its own refining system.

KPC aims to grow its share of the African market this year.

"We have a good market share in a lot of African countries. In some of them, we are the sole supplier", KPC's managing director for international marketing Sheikh Khaled Ahmad al-Sabah said. "We will keep maintaining those market shares, and there are other big opportunities in other countries which we are pursuing."

By Ieva Paldaviciute

Refinery output			000 b/d

	2024	2023	±%
Gasoline	73	76	-4
Naphtha	214	173	24
Jet-Kerosine	290	259	12
Gasoil	345	293	18
Fuel Oil	290	192	51
Total output	1,212	992	22
JODI
Total refinery output excludes LPG

Exports			000 b/d

	2024	2023	±%
Gasoline	4	12	-65
Naphtha	217	176	24
Jet-Kerosine	270	234	15
Gasoil	328	235	40
Fuel Oil	149	103	44
Total exports	968	759	28
JODI
Total product exports excludes LPG

Related news posts

Argus illuminates the markets by putting a lens on the areas that matter most to you. The market news and commentary we publish reveals vital insights that enable you to make stronger, well-informed decisions. Explore a selection of news stories related to this one.

News

01/04/25

Singapore’s base oil imports edge up in February

Singapore, 1 April (Argus) — Singapore's base oil imports increased for the third consecutive month in February, GTT data show, supported by stable demand in the city state. Import growth slowed in February, in line with a drop in industrial performance. The country's manufacturing output fell by 1.3pc on the year, and by 7.5pc on a seasonally adjusted month-on-month basis, according to data from the Economic Development Board. The overall manufacturing sector grew for the 18th consecutive month, but PMI slipped from 50.9 to 50.7 in February, data from the Singapore Institute of Purchasing and Materials Management show, in line with growing uncertainties over global trade flows. A PMI reading above 50 indicates expansion. Supplies from South Korea recovered from January's five-month low, in line with higher exports from the northeast Asian country, but remained below the five-year monthly average of 12,300t. Lower South Korean volumes were balanced by higher receipts of Taiwanese cargoes, which were likely boosted by delays in customs clearance a month earlier. South Korea and Taiwan are major producers of Group II base oils. Zero imports were recorded from Japan for the third consecutive month. Exports from the Group I supplier have fallen ahead of a series of plant maintenances by Japanese refiners ENEOS and Idemitsu that will affect around 925,000t/yr of refining capacity over February-November. Increased Saudi Arabian cargoes made up for the shortfall in Japanese volumes, with imports recorded for the 10th consecutive month. Saudi Arabia produces Group I and II base oils, but supplies to Singapore likely comprise of mainly Group I volumes because of the regional shortage from permanent plant closures in Japan. By Tara Tang Singapore's base oil imports t Feb'25 m-o-m ± % y-o-y ± % Jan-Feb'25 y-o-y ± % Qatar 23,135.0 -12.2 22.6 49,488.0 74.2 South Korea 9,090.0 30.2 -18.2 16,074.0 -9.3 Taiwan 12,458.0 NA 825.6 12,458.0 119.0 Saudi Arabia 5,306.0 76.9 5.7 8,306.0 65.5 Thailand 5,046.0 -16.4 152.8 11,081.0 234.3 Total 77,915.0 1.9 75.7 154,392.0 129.6 Source: GTT Total includes all countries, not just those listed Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Find out more

News

US base oil export fell nearly 10pc in Dec

28/03/25

News

28/03/25

US base oil export fell nearly 10pc in Dec

Houston, 28 March (Argus) — December US base oil and lubricant exports fell nearly 10pc from year-earlier levels on lower supply and more attractive domestic pricing. The decline in export volumes was driven by weaker demand in Europe as buyers there worked to draw down inventories. Demand also fell in Brazil as a key domestic producer lowered its prices. Several US refiners were uninterested in lowering base oil prices to sell into the export market in December. Multiple turnarounds and less light-grade supplies made inventory building more attractive. Other refiners exported higher volumes in November in preparation for tax assessment season in the end of December. Exports to Mexico were the highest on record for the month of December and the second highest monthly total for 2024. Base oil exports to West coast South America fell for a third consecutive month on muted buying interest because of sufficient domestic supplies. By Karly Lamm Dec US base oil exports unit 24-Dec m-o-m ± % y-o-y ± % Mexico 1,990,000 13.1 13.2 Brazil 195,000 -26.7 -70.0 India 118,000 -8.5 -4.8 Europe 326,000 5.2 -43.4 WSCA 169,000 -41.9 11.0 Monthly total 3,848,000 -1.0 -9.9 Energy Information Administration (EIA) *Total includes all countires, not just those listed *WCSA includes Chile, Ecuador and Peru *Europe includes Belgium, France and the Netherlands Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

News

UK EAC to explore airport expansion, net zero conflict

28/03/25

News

28/03/25

UK EAC to explore airport expansion, net zero conflict

London, 28 March (Argus) — UK parliament's cross-party environmental audit committee (EAC) has begun an inquiry into whether the country's airport capacity expansion could be achieved in line with its climate and environment targets. "The aviation sector is a major contributor to the UK's carbon emissions, and on the face of it, any expansion in the sector will make net zero even more elusive," EAC chair Toby Perkins said. Any expansions must meet strict climate and environment commitments, the UK government has said. The government in January expressed support for a third runway at London's Heathrow airport — the country's largest. UK transport minister Heidi Alexander said in February that she was "minded to approve" an expansion at London's Gatwick airport, ahead of a final decision in October. The expansion would involve Gatwick making its northern runway operational. It is currently only used as a back-up option. The government is also "contemplating decisions on airport expansion projects at London Luton… and on the reopening of Doncaster Sheffield," Perkins said. "It is possible — but very difficult — for the airport expansion programme to be consistent with environmental goals," Perkins said. "We look forward to exploring how the government believes this can be achieved." The UK has a legally-binding target of net zero emissions by 2050. Its carbon budgets — a cap on emissions over a certain period — are also legally binding. The government must this year set levels for the UK's seventh carbon budget , which will cover the period 2038-42. The committee has invited written submissions on the possible airport expansions and net zero, with a deadline of 24 April. It will report in the autumn. By Georgia Gratton Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

News

Oil, biofuel groups meet to align on RFS policy

27/03/25

News

27/03/25

Oil, biofuel groups meet to align on RFS policy

New York, 27 March (Argus) — Energy and farm groups met last week at the American Petroleum Institute to negotiate a joint request for President Donald Trump's administration as it develops new biofuel blend mandates, according to five people familiar with the matter. The private meeting involved groups from across the supply chain, including representatives of feedstock suppliers, biofuel producers, fuel marketers, and oil refiners with Renewable Fuel Standard (RFS) obligations. The groups coordinated earlier this year around a letter to the Trump administration on the need to update the RFS and are now seeking agreement on other program elements. According to the people familiar with the matter, the groups agree on pushing the Environmental Protection Agency (EPA) to set higher blend mandates under the program's D4 biomass-based diesel and D5 advanced biofuel categories. Groups support slightly different volume targets that are nevertheless all in "a rounding number of each other" in the D4 category, according to one lobbyist. But there is still disagreement about whether to ramp up mandates quickly in 2026 or provide a longer runway to higher volumes. Clean Fuels Alliance America and farm groups have publicly supported a biomass-based diesel mandate of at least 5.25bn USG starting next year, which could justify a broader advanced biofuel mandate above 9bn USG, according to the people familiar, though others worry about fuel cost impacts if mandates spike so quickly. The current mandate for 2025 is 7.33bn USG in the advanced biofuels category, including a 3.35bn USG mandate for the biomass-based diesel subcategory, so the volumes being pushed for future years would be a steep increase. The RFS, highly influential for fuel and commodity crop prices, requires oil refiners and importers to blend annual amounts of biofuels into the conventional fuel supply or buy Renewable Identification Number (RIN) credits from those who do. The idea behind the groups' coordination is that the Trump administration might more quickly finalize RFS updates if lobbyists with a history of sparring over biofuel policy can articulate a shared vision of the program's future. One person familiar said the effort comes after the Trump administration directed industry to align biofuel policy goals, though others said they understood the coordination as largely voluntary. EPA did not provide comment. There is less agreement around the program's D6 conventional biofuel category, which is mostly met by corn ethanol. Oil groups have in the past criticized EPA for setting the implied D6 mandate at 15bn USG, above the amount of ethanol that can feasibly be blended into gasoline, though excess biofuels from lower-carbon categories can be used to meet conventional obligations. Ethanol interests support setting the D6 mandate even higher than 15bn USG, which could be a tough sell. The discussions to date have not involved targets for D3 cellulosic biofuels, a relatively small part of the program. A proposal to lower 2024 volumes has hurt D3 credit prices, signaling that future mandates are effectively optional, according to frustrated biogas executives , and has reduced the salience of the issue for other groups. A proposal from President Joe Biden's administration to create a new category called "eRINs" to credit biogas used to power electric vehicles has similarly not come up. "We're not expecting to see any attempt to include eRINs in this next [RFS] proposal," Renewable Fuels Association president Geoff Cooper told Argus earlier this month. The meeting last week was largely oriented around the RFS, though a National Association of Truck Stop Operators representative raised the issue of tax policy too. The group has been frustrated by the expiration of a long-running blenders credit and the introduction this year of a less generous credit for refiners, which is only partially implemented and has spurred a sharp decline in biomass-based diesel production. But others involved in negotiations, while they acknowledge tax uncertainty could hurt their case for strong mandates, are trying to avoid contentious topics and focus mostly on volumes. Republican lawmakers are separately weighing whether to keep, repeal, or adjust that credit to help out fuel from domestic crops, and there is no telling how long that debate might take to resolve. Another thorny issue discussed at the meeting is RFS exemptions for small refineries. Biofuel producers strongly oppose such waivers and say that exempted volumes should at least be reallocated among facilities that still have obligations. Oil groups have their own views, though it is unclear how involved the American Fuel and Petrochemical Manufacturers — which represents some small refiners and has generally been more critical of the RFS than the American Petroleum Institute — are in discussions. EPA is aiming to finalize new volume mandates by the end of this year , people familiar with the administration's thinking have said, though timing for a proposal is still unclear. Future conversations among energy and farm groups to solidify points of unity — and strategize around how to downplay disagreements — are likely, lobbyists said. RIN prices rally Speculation over the trajectory of the RFS, and the potential for higher future volumes, supported soybean oil futures and widened the bean oil-heating oil (BOHO) spread. The BOHO spread maintains a positive correlation with D4 RIN prices as a widening value raises demand for D4 credits as biofuel producers look to offset higher production costs. Thursday's session ended with current-year ethanol D6 credits valued between 79¢/RIN and 82¢/RIN, while their D4 counterparts held at a premium and closed with a range of 84¢/RIN to 89¢/RIN. These gains each measured more than 5.5pc growth relative to Wednesday's values. By Cole Martin and Matthew Cope Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

News

Repsol to begin Nantes bitumen terminal flows in April

27/03/25

News

27/03/25

Repsol to begin Nantes bitumen terminal flows in April

London, 27 March (Argus) — Spanish integrated Repsol plans to supply next week its first bitumen cargo to the Nantes import terminal on the French Atlantic coast. It will move a second cargo to the terminal during April. The start of these flows will coincide with the scheduled restart of the 50/50 Repsol/Moeve joint venture 1.2mn t/yr Asesa bitumen refinery. The refinery has been down since early March for planned maintenance work. The Nantes oil products terminal, including the bitumen storage facility there, has been operated by Dutch liquid bulk storage firm Chane since summer 2024, after a rebrand from its previous name Alkion Terminals. Shell ceased its bitumen cargo throughput deal into and truck supply operation from Nantes and Bayonne at the end of 2024. Repsol and Abu Dhabi-controlled Spanish energy company Moeve then struck exclusive deals to supply bitumen cargoes to Nantes and Bayonne respectively. Cepsa began exclusively using the Bayonne bitumen terminal from 1 February. Repsol has been increasingly active in bitumen export markets over the past year or so, underlined by rising cargo flows from its 135,000 b/d La Coruna and 220,000 b/d Bilbao refineries on the Spanish Atlantic coast. The Nantes terminal has three 4,000t storage tanks. One of the tanks is undergoing work and will be available for use from June. By Fenella Rhodes Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Business intelligence reports

Get concise, trustworthy and unbiased analysis of the latest trends and developments in oil and energy markets. These reports are specially created for decision makers who don’t have time to track markets day-by-day, minute-by-minute.

Learn more