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Kuwait Hiking Fuel Oil Burn Amid Electricity Crisis: MEES

OIL PRODUCTS

Kuwait is hiking its fuel oil burn as electricity demand surges out of control during the summer, according to MEES.

  • Kuwait is now relying on LNG and power imports from its Gulf neighbours to meet demand.
  • Consequently, fuel oil exports are now down, but with refinery runs running at max capacity, total product exports are set for a record high in June.
  • Temperatures over 50C coupled with an outage at the 6GW Az Zour South power complex have forced country wide 1-2 hour per day cuts.
  • Natural gas is the primary power feedstock, supplemented by fuel oil during periods of high demand.
  • Kuwait’s fuel oil consumption rose 21k b/d to 155k b/d in May and will be even higher during June, MEES said.

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