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Kuwait's oil sector embraces AI with new Innovation Center
Kuwait's oil sector embraces AI with new Innovation Center

Kuwait Times

time5 days ago

  • Business
  • Kuwait Times

Kuwait's oil sector embraces AI with new Innovation Center

Collaboration with Microsoft aims to drive smarter drilling, reduce costs KUWAIT: Kuwait's Oil Minister Tareq Al-Roumi announced on Thursday the opening of a new Artificial Intelligence (AI) Innovation Center under Kuwait Oil Company (KOC), aiming to connect oil field production with AI technologies. 'By using AI, we aim to increase productivity, improve operational performance, and reduce costs,' he said. Speaking at the launch event in Ahmadi, Al-Roumi described the center as 'part of the Petroleum Corporation's strategy for digital transformation in energy.' Officials expected the center to play an integral role in advancing operational efficiency while lowering costs across Kuwait's oil sector, especially as the country plans to increase production capacity to four million barrels per day by 2035. Sheikh Nawaf Saud Al-Nasser Al-Sabah, CEO of Kuwait Petroleum Corporation, highlighted the center's practical impact. 'It will reduce the number of days needed to drill a single well and increase the efficiency of drilling operations,' he said. But he stressed the indispensable role of human expertise alongside AI. 'No matter how fast and accurate AI is, human intelligence surpasses it.' President of Microsoft for Middle East and Africa (MEA) Naim Yazbeck Microsoft partnership The launch ceremony was attended by senior officials including Minister of State for Communications Omar Al-Omar and the Director-General of the Kuwait Direct Investment Promotion Authority Sheikh Dr Meshaal Jaber Al-Ahmad Al-Sabah. The AI center is one of the early fruits of the strategic partnership between Kuwait and Microsoft, said Minister of Communications Omar Al-Omar. Announced in March of this year, the partnership includes the establishment of a Microsoft Azure Region in Kuwait. The US software giant was also set to establish a Technology Innovation Hub, including an AI Innovation Center and a Cloud Center of Excellence. KOC CEO Ahmed Al-Eidan called the AI Innovation Center 'a new strategic milestone in the company's journey' and a practical embodiment of Kuwait's vision for digital transformation and innovation in the energy sector. He pointed to the company's early investments in cutting-edge technologies, especially through 'our strategic partnership with Microsoft.' He added that since launching this collaboration, KOC has achieved tangible results such as 'smarter wells that use real-time data analysis, more accurate production forecasts that improve decision quality, and an AI-powered drilling schedule platform that boosts output and reduces downtime.' '(The center) will be the cornerstone for Kuwait's energy industry future for decades to come,' he said. Kuwaitis at the core During the launch event, a live demonstration showcased an AI-driven drilling platform scheduling project — a breakthrough in real-time operational data management and predictive analytics aligned with Kuwait Vision 2035. This initiative enables KOC to leverage advanced analytics and AI for a flexible, integrated decision-making system that seamlessly connects operations, projects, and data. Microsoft's Regional Head for the Middle East and Africa, Naim Yazbeck, described the center's opening as 'a historic event and a milestone in Kuwait's national transformation towards an advanced knowledge economy.' Yazbeck said the center is 'not just a training facility but a comprehensive platform for building the future and a strategic foundation for operational excellence, sustainability, and empowering national talent who will lead this transformation with Kuwaiti minds at the core.' He outlined three pillars of the partnership with KOC: 'empowering national competencies, joint innovation, and improving operational network efficiency.' Through their partnership with KOC, Microsoft is committed to developing a new generation of national engineers, analysts, and experts equipped to lead this transformation effectively, he added. 'When KOC's deep operational expertise meets advanced AI capabilities, smart and customized solutions can be developed to address real challenges and push production efficiency to new heights,' Yazbeck said. — Agencies

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