Latest news with #KIPIC
Zawya
15-04-2025
- Business
- Zawya
Kuwait commences merger of state oil firms KNPC and KIPIC, Kuna reports
DUBAI: Kuwait has begun taking executive steps to merge two of its state-owned oil firms, news agency Kuna reported on Tuesday, as the OPEC producer seeks to restructure its energy industry. Kuwait National Petroleum Company (KNPC) plans to acquire Kuwait Integrated Petroleum Industries Company (KIPIC), Kuna reported citing KNPC Chief Executive Officer Wadha Al-Khateeb. KNPC is in charge of Kuwait's refining industry while KIPIC is responsible for facilities at the Al Zour refinery. The rapidly evolving global oil and gas industries place a great responsibility on the country's energy sector to adapt and enhance to such changing dynamics, Kuna cited Al-Khateeb as saying. She also reaffirmed the sector's commitment to fulfilling obligations to clients while sustaining growth in line with Kuwait's position in the international energy industry, Kuna reported. Concern about the impact of U.S. trade tariffs have created uncertainty for global oil markets, pushing Brent crude prices down by more than 20% within a week to a four-year low. Prices have since recovered some ground to about $66 a barrel from below $60. Kuwait's production capacity is over 3 million barrels per day, Kuwait Petroleum Corporation (KPC) CEO Sheikh Nawaf Saud al-Sabah told reporters in January. The wealthy Gulf state last year said it made a giant oil discovery with estimated reserves of 3.2 billion barrels. (Reporting by Jana Choukeir and Hadeel Al Sayegh; Editing by Gerry Doyle and Christopher Cushing)
Zawya
15-04-2025
- Business
- Zawya
Kuwait purses oil merger plan
Kuwait is pushing ahead with plans to merge its state oil companies to reduce their number, create strong entities and cut costs, a newspaper reported on Tuesday. The merger will start with the OPEC member's two main downstream companies Kuwait National Petroleum Company (KNPC) and the Kuwait Integrated Petrochemical Industries Company (KIPIC), the Arabic language daily Alseyassah said. KIPIC's deputy financial manager Bandar Al-Qahtani met the company's employees on Sunday to discuss 'measures to protect their rights' after the merger, the paper said. 'He emphasised the need to preserve the rights of all staff members as per instructions by authorities…this includes the need to keep their contracts after the merger.' In a report last month, the paper said the merger of the two companies would begin at the start of the 2025-2026 fiscal year, which begins on April 1. It said mergers among the state oil entities came amid plans by Kuwait to expand oil and gas production capacity to 4 million barrels-per-day and 1.5 billion cubic-feet-per-day respectively. Kuwait has 8 main state-owned oil companies and controls nearly 101 billion barrels of recoverable crude deposits, the world's sixth largest. In 2020 KPC appointed the US-based consultant Strategy& to carry out a study for restructuring the oil sector, which will remain managed by the Kuwait Petroleum Corp (KPC). (Writing by Nadim Kawach; Editing by Anoop Menon) (
Zawya
30-01-2025
- Business
- Zawya
Kuwait set to launch oil firm mergers within restructuring in Q2 2025
OPEC producer Kuwait will soon launch plans to merge some of its state oil companies as part of a restructuring programme intended to boost performance and cut costs. The Kuwait Petroleum Corporation (KPC), which manages the Gulf country's hydrocarbon sector, will oversee the restructuring plan, which has been approved by the cabinet and the Supreme Petroleum Council. In a report this week, the Arabic language daily Alseyassah said the first merger process involves the Kuwait National Petroleum Company (KNPC) and the Kuwait Integrated Petrochemical industries Company (KIPIC). It said the merger of the two KPC-affiliated firms could begin at the start of the 2025-2026 fiscal year, which begins on April 1. The Kuwaiti daily Alanba said in 2024 that KNPC has devised plans for the merger of 4 of its subsidiaries and that the process would start at the end of March. It said the merger would involve KIPIC with KNPC and the Kuwait Oil Company (KOC) with the Kuwait Gulf Oil Company (KGOC), which manages Kuwait's oil interests in the Neutral Zone shared by Saudi Arabia and Kuwait. (Editing by Anoop Menon) (
