Kuwait, the world fourth oil producer, has announced it is going to invest 87 billion dollars in order to produce 4 million barrels per day by 2020.
AFP - Kuwaiti Oil Minister Sheikh Ahmad Abdullah al-Sabah said on Sunday the emirate plans to spend 25 billion dinars (87 billion dollars) on oil projects until 2030.
"We plan to spend 25 billion dinars on capital projects and annual maintenance and services works from now until 2030," the minister told reporters after opening an oil exhibition.
The projects include building a new oil refinery, he said.
Opposition from parliament over procedural flaws has forced the government to scrap a project earlier this year to build a 15-billion-dollar refinery.
Kuwait, which sits on about 10 percent of proven global crude reserves, has been working on increasing its oil production capacity from the current three million barrels per day to four million bpd by 2020.
Sheikh Ahmad said he was not concerned about the recent drop in oil prices, adding this will not change Kuwait's position which is against hiking output at a meeting later this month of the Organisation of Petroleum Exporting Countries.
"There will be more demand (for oil) in the first quarter of 2010," he said, adding Kuwait still opposes any increase to the production quota.
The minister also said that "dollar, (and) supply situations were pushing oil prices down."
Oil prices fell for the eighth straight session in New York on Friday, under pressure from US demand concerns and a strengthening dollar.
New York's main contract, light sweet crude for delivery in January, dropped 67 cents to close at 69.87 dollars a barrel.
In London, Brent North Sea crude for January edged up two cents to settle at 71.88 dollars a barrel.
The New York contract has fallen all month, shedding almost 11 percent of its value in eight sessions and closing below 70 dollars for the first time since October 7.
Date created : 2009-12-13