The Egyptian General Petroleum Corporation (EGPC) is negotiating with the Kuwait Petroleum Corporation (KPC) to increase the amount of crude oil supplied to Egypt to about 2.7m barrels monthly, compared to 2.2m barrels currently, which will be implemented by the end of this November.
A prominent official at the EGPC said Egypt asked Kuwait to provide an additional 500,000 barrels of crude oil monthly to refine it in Egyptian refineries and convert it into petroleum products to meet the local market’s needs.
The official said Egypt imports crude oil from the Kuwait in accordance with the international prices of Brent at the time of supplying the shipments, noting that there are no fixed prices in the contracts.
If the imported amounts from Kuwait exceed the local market’s need, they will be refined locally and the derivatives will be sold in international markets, or the crude oil will be stored and then sold through Sidi Kerir Port.
The official said the EGPC is working on using the production capacity of refineries through importing crude oil and refining it to provide fuel in the local market. KPC started launching representative offices in Egypt to operate as a centre for marketing its crude oil production, targeting African and North Mediterranean countries.
The official also said EGPC agreed with KPC to establish offices in Egypt to market its crude oil production within its plan of turning Egypt into a logistical centre to market and store petroleum products.
The total Egyptian production of crude oil is estimated at about 695,000 barrels daily. According to Organisation of the Petroleum Exporting Countries (OPEC), Kuwait sells about 1.995m crude oil barrels daily in international markets, while its production amounts to 2.867m crude oil barrels.