Kuwait Petroleum Corp reveals $80bn plans

Kuwait Petroleum Corp is planning an $80bn investment programme over the next five years. (Getty Images)

A key official from Kuwait Petroleum Corporation (KPC) has announced that around US$80 billion is to be invested over the next five years by the company in order to increase both production and refining capacity.

Commenting on the current oil price (currently standing at around $46 a barrel), Sheikh Nawaf Saud Nasir Al Sabah, deputy managing director and general counsel of KPC, thought it was now "not far away from the comfortable zone".

Sheikh Nawaf, speaking at the sidelines of the Wharton Global Forum in Dubai, admitted that KPC had had to rethink some of its timings due to the global economic crisis in order to achieve its goals. He insisted, however, that KPC still had ambitious targets. 

"Our essential elements remain unchanged,” he said. “We are planning to deploy our considerable resources to position ourselves to capture market opportunities on the way down and on the inevitable way up."

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FEATURED COMMENT Unless a massive injection of capital is forthcoming there will be an unprecedented oil supply crunch. These projects are vital for the next 30 years' oil supply.   1 Comments Read more comments »

The official also revealed that the $80 billon spending plans would include increasing production to three million barrels per day (bpd) in 2010 with an extra 500,000 bpd to come in five years.

Sheikh Nawaf also said the company would spend some of the money on expanding refinery capacity in Kuwait by 1.4 million bpd. This would be achieved by building new refineries as well as upgrading existing ones. (Source Arabianbusiness.com)