Kuwait is planning to be an energy trader, not just a producer. Kuwait Petroleum Corp (KPC) is discussing entering a joint venture with commodities traders or international oil companies in order to start trading refined oil products, Oil Price reported.
The Kuwaiti company is negotiating with BP, Shell, and Total, along with commodity trading firms Vitol and Glencore, areas of collaboration and a possible joint venture. The joint venture is going to be responsible for marketing fuel from refineries that KPC is establishing, including the 230,000-b/d Duqm Refinery and Petrochemical Complex in Oman, in which Kuwait Petroleum and Oman Oil are partners, Trade Arabia stated.
The country’s move towards trading is considered to be the latest among neighbouring Gulf nations. Saudi Arabia and Oman already owns trading units, while Abu Dhabi National Oil Co announced earlier in July that it may seek partners as it expands into trading. In May, Iraq’s state oil-marketing company started selling crude in a venture with the trading unit of Lukoil.