19/10/2014
The prices of diesel and fuel oil doubled 3 times
41 billion dollars Kuwaiti oil investments within 5 years
Hashim Hashim Executive Chairman of the Kuwait Oil Co said the company plans to spend 12 billion dinars (41.5 billion dollars) on oil and gas projects in five years and the current decline in oil prices will have no effect on plans to boost production. According to ' Reuters ', it has added a Hashim Hashim we continue our plans to increase production and will not be affected by the current downturn in prices, stressing that Kuwait's oil production stable level between 2.9 million and 3 million barrels reduce production and continuing to the current production itself. The price of oil fell more than a dollar a barrel on Brent crude reached its lowest in four years without 83 dollars a barrel as concerns over the global economy and the continuing wave of losses that began four months ago. With regard to programs to develop fields and increase production capacity, we turn to the remote level and near reading level; our strategy is to increase the production capacity of the State of Kuwait.
Brent lost more than 28 percent since June last year with slowing demand and abundant supply has accelerated losses in recent weeks amid signs that the Organization of petroleum exporting countries (OPEC) would cut production to boost prices. Kuwait has kept a big discount on the price of oil, which sells to Asia compared with the price of crude Saudi counterpart in November amid growing signs that Gulf producers engaged in a price war to compete for market share. Meanwhile, the Kuwaiti Cabinet approved a proposal to raise the price of diesel oil and fuel oil ' tripled in this oil-rich Gulf country which strongly supported the prices of basic commodities and public services. Planning Minister Hind AL-SABEEH said that diesel prices rose to 55 cents a litre (19 cents) for the price of a litre of fuel to lift 170 Fils (59 cents), and does not include increases in water rates, electricity and gasoline that kept the price of a liter of it at 22 cents. The Minister said that the Government plans to lift subsidies on fuel, which purchase foreign airlines that are less than five thousand annual trip in Kuwait.
Kuwait formed last year to study the issue of subsidies, which cost the State budget $ 18 billion annually, according to Kuwaiti oil Minister Al-omair earlier that lifting subsidies on diesel alone will save the State $ 1 billion a year. Al-subeih said that studies concerning water and electricity which enjoyed considerable support, is not yet over, lifting prices of diesel and fuel oil at a time when record oil prices declined 20 percent since June, with oil revenues 94 percent of total revenues in Kuwait. Anas Alsalih Finance Minister said if oil prices around $ 100 a barrel, the Kuwait will record budget deficit of 2.3 billion dollars in the fiscal year 2017-2018.
