KPC Chief: One Of Main Challenges Facing Gas Industry Is Inability To Predict Supply, Demand

9/19/2022 2:23:32 AM

(MENAFN- Kuwait News Agency (KUNA)) KUWAIT, Sept 18 (KUNA) -- One of the main challenges facing the gas industry is the inability to predict supply and demand, especially in light of the potential economic downturn and rapidly changing geopolitical balances, said Kuwait petroleum Corporation (KPC) Chief Executive Officer sheikh Nawaf Saud Al-Nasser Al-Sabah Sunday.
This came in a speech by Sheikh Nawaf Al-Sabah during the opening of the 28th session of the GCC conference and exhibition of the Gas Manufacturers Association, which comes under the title (Opportunities and Challenges in the Natural gas Value Chain).
Despite the growth of the natural gas industry, it is facing increasing competition from the global shift towards renewable energy sources, and this transformation is another major challenge that must be dealt with seriously, Sheikh Nawaf stated.
Other well-known challenges facing the gas industry still exist in terms of exploration and development of gas fields, means of gas transportation and distribution, as well as measures to ensure the safety and viability of gas infrastructure, which are challenges of paramount importance, he added.
In turn, Acting CEO of Kuwait Oil Company (KOC) Khaled Al-Otaibi said that the demand for oil and gas returned to levels before the Covid-19 epidemic in 2019, noting that in light of the high price environment, KOC is determined to increase its production of natural gas in line with KPC's strategy to meet the domestic demand for energy.
He also noted that production will be increased mainly through the development of free gas production from the Jurassic fields, pointing out that the KOC signed a contract for offshore drilling and oil and gas exploration in Kuwaiti territorial waters, which is one of the most important projects currently being implemented within the framework of the Corporation's strategy for the year 2040.
Al-Otaibi stressed that there are a number of economic and environmental challenges facing the gas business across the entire value chain, calling for reducing production and operating costs in order to remain competitive and deal with environmental concerns proactively in order to protect the health of society.
The President of the Gas Manufacturers Association, the GGC branch, Hamad Al-Zuweir, affirmed that this conference was scheduled to be held in March 2020, the same month in which the World Health Organization declared a state of health emergency as a result of the Covid-19 epidemic.
He also noted that the branch includes more than 31 member companies, including a number of national and international oil companies, sellers and contractors, referring to the development of the Gas Manufacturers Association, as the number of participants in the conference reached more than 600 participants from all over the world.
The five-day conference aims to exchange experiences, knowledge and best practices regarding the development of the gas industry at the regional and global levels. (end)
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