Crude production from fields in the Neutral Zone shared between Saudi Arabia and Kuwait is around 300,000 b/d, according to industry sources.
The 300,000 b/d capacity offshore Al-Khafji field is producing between 160,000-190,000 b/d, two sources said, and one of them put production at the 250,000 b/d onshore Wafra field at around 140,000 b/d.
This is largely in line with exports, which were around 231,200 b/d in 2022 according to Argus estimates.
Production at Khafji, which is jointly operated by state-owned entities Kuwait Gulf Oil (KGOC) and Aramco Gulf Operations, remains on course to increase to 300,000 b/d by the end of this year, according to one source. Wafra field is run by a joint venture between KGOC and Saudi Arabia Chevron.
Production at the Neutral Zone has fallen well short of its 550,000 b/d capability since the fields were brought back online in early 2020 after a more than four-year hiatus caused by long-standing operational disputes. The pace of the ramp up since the restart has been slowed by technical issues encountered as a consequence of the multi-year outage.
Even prior to the 2014-15 shutdown, however, both fields were producing below capacity — Khafji at around 280,000 b/d of its medium sour crude, and Wafra around 175,000 b/d of its heavy sour crude, for a combined 450,000-460,000 b/d.
Saudi Arabia and Kuwait have talked up plans to boost capacity from the Neutral Zone, with Kuwait's state-owned KOC announcing a target of 700,000 b/d by 2025
