Page 13 - MEOG Week 10 2023

MEOG NEWS IN BRIEF MEOG

POLICY Saudi Arabia also fully opened its airspace meeting.
to Israeli aircraft last July, after it had given ARAB TIMES
Oman and considering them limited access to fly to Bahrain and the KPC sees global oil market
United Arab Emirates following the two states’
normalising relations with normalization with Israel. in balance
ARAB CENTRE
Israel Kuwait Petroleum Corp. sees the global oil

As the mechanisms of normalization between COMPANIES market in balance through at least the first
Israel and the United Arab Emirates, Bahrain, half of this year, its CEO said this week.
Morocco, and Sudan continue to take shape, KPC sees fierce competition Demand from China is seeing a sustainable
other Arab states are pondering whether they increase, Nawaf Al-Sabah told reporters at the
too should follow the same route. for Kuwait oil contracts CERAWeek energy conference in Houston.
For a while, Oman appeared to be a The CEO of the national oil company
natural candidate for this strategic choice, The Kuwait Petroleum Corporation is at the added that Kuwait has not lost any market
which would inevitably shift its currently center of fierce competition from international share in China from discounted Russian oil
neutral foreign policy in a direction that could companies which are competing to obtain oil barrels.
threaten its regional relations and interests agreements to ensure access to oil derivatives KPC’s customers have not asked for
and curb its ability to act as a facilitator of from the Al-Zour refinery, which is expected reductions or increases in oil supply from the
contacts with the Islamic Republic of Iran. to enter service in its three phases by May or company, Al-Sabah said. He added that the
But messages from the sultanate over the last June of this year, reports Al-Rai daily. company is staying mindful of the effect a
few years indicate that in Muscat there is a High-level oil sources told the daily that potential recession could have on the global
combination of readiness to join the so-called Kuwait is on the road to restoring its natural economy and oil market.
Abraham Accords and trepidation about the position in the global markets in a greater During a conference discussion, Al-Sabah
radical change that such a decision might way and with a strategic weight, as part of the referenced an announcement from earlier on
bring to the country’s foreign policy. Indeed, tremendous efforts undertaken by the global Tuesday that second phase units for Kuwait’s
what Oman appears to have so far decided is marketing sector, the KPC, pointing out that Al Zour refinery are now operating. State
to maintain whatever informal ties it has with KPC revealed during the annual reception of news agency KUNA previously reported the
Israel without undertaking official recognition its customers in a “IE WEEK” in the British news, citing KIPIC CEO Waleed Al-Badr.
and the opening of embassies, as the UAE and capital, London, during which it announced The much delayed 615,000 barrel-per-day
Bahrain both did in 2021. its preparation to distribute the output shares (bpd) refinery is one of several new complexes
The latest signal of Oman’s readiness to of Al-Zour refinery, amounting to 615,000 coming online this year across the world to
fully normalize relations with Israel came just barrels of oil per day, other than intermediate churn out more oil products and cool refining
recently, when its Civil Aviation Authority products, after completing the internal needs. margins from record levels last year following
gave Israeli civilian aircraft permission to The sources pointed out that the global the disruption of supplies from top exporter
cross the country’s airspace. While Oman market is interested in the products of Al- Russia.
has been a signatory to the Convention on Zour Refinery, especially as it conforms to Kuwait is set to ramp up refined oil product
International Civil Aviation since 1973, European and international standards, noting exports from the Al Zour refinery in the
allowing Israeli airlines to traverse Omani that Kuwait will always remain a safe supplier second half of 2023 to plug Russian shortfalls
airspace is a clear message that the sultanate to global energy markets. The Director of the in Europe and meet growing demand in Asia
is at least amenable to accepting Israel as KPC European Regional Office in London, and Africa, Reuters previously reported in
a state that should be accorded normal Nagham Al-Omar, had made all arrangements February, citing industry sources and analysts.
treatment. Incidentally, and in similar fashion for delegations and a reception for Kuwait’s The Kuwait Integrated Petroleum
and under arguably similar circumstances, international customers during the annual Industries Company shipped its first shipment

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