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Bloomberg
Kuwait joined the United Arab Emirates in promising to pump less oil after Saudi Arabia called on fellow OPEC producers to cut more supply to help curb the global glut.
Kuwait Petroleum Corp. has agreed with customers in the US to reduce contractual sales volumes of oil for 2017, state-run KPC said. The announcement came after UAE Minister of Energy Suhail Al Mazrouei said Abu Dhabi National Oil Co. would trim shipments of Murban, Das and Upper Zakum crudes by 10 percent starting in September.
“Kuwait’s compliance with the OPEC agreement has led to a decrease in its production and thus a reduction of its exports,†KPC said in an emailed statement, citing Emad Al-Abdulkarim, acting managing director of global marketing. “The US market was the most
affected by this reduction.â€
The actions by both Gulf Arab nations followed criticism from Saudi Arabian Minister of Energy and Industry Khalid Al-Falih of members of the Organization of Petroleum Exporting Countries who haven’t fulfilled their promised supply reductions.
Kuwait has complied at an average rate of 98 percent with its pledged reduction of 131,000 barrels a day, according to the International Energy Agency. The UAE has implemented 54 percent of its promised 139,000 barrel-a-day cut on average, the IEA said.