Saudi Arabia and Kuwait have brought production at their Partitioned Neutral Zone (PNZ) back online after a one-month hiatus (MEES, 22 May). There is now production from both onshore and offshore fields for the first time since October 2014 (MEES, 24 October 2014).
After production was restarted in February at the offshore Khafji field, the PNZ was shut-in again over June as the two states implemented voluntary cuts beyond their Opec+ obligations. Those voluntary cuts have now ended, and production is being restored. Khafji is operated by the Khafji Joint Operations (KJO) JV grouping Kuwait’s state-owned KGOC and Saudi Arabia’s AGOC. Khafji crude oil (28.5°API, 2.85%S) is exported from Ras al-Khafji in Saudi Arabia. KGOC acting CEO Abdullah al-Sumaiti says output resumed on 1 July. Output was running at over 100,000 b/d prior to the 1 June shut-in. (CONTINUED - 289 WORDS)