The GCC member states have prepared emergency plans to ensure the flow of its oil in case Iran closes the Strait of Hormuz, Kuwait’s Minister of Oil and Minister of Electricity and Water Bakheet al-Rashidi said on Wednesday
In a press statement during his tour in southern Az-Zour power station, the minister expressed his optimism on resuming oil production in the neutral zone with Saudi Arabia.
Meanwhile, he said that Kuwait was never asked to increase production to offset the shortage of Iranian oil supply due to US-imposed sanctions on the country.
Kuwait's main concern is the stability of markets, the minister said, adding that the country is able to provide the needed amount of crude oil for these markets.
He explained that the global oil market is approaching stability based on the current oil production levels after the recent OPEC and non-OPEC agreement to boost output.
“It is clear today based on the current level of production that we are approaching a very stable stage... whether for the consumers or the producers,” he told reporters, adding that Kuwait currently produces 2.8 million barrels per day as agreed upon in Vienna.
An upcoming joint OPEC and non-OPEC committee meeting in Algeria, set for September 22-23, will review producers’ oil supply levels after OPEC and other producers, led by Russia, agreed in June to raise output to cool the oil market.
As for importing natural gas from Iraq, Rashidi expected the two sides to reach an agreement on the issue before the end of 2018.
He said that his country will send to Iraq four desalination plants with a total capacity of one million imperial gallons per day.
Notably, Kuwait sent 17 generators and 18,000 tons of diesel to Iraq to overcome the country’s electricity problem.
