Kuwait Seeks Help to Boost Oil Recovery

Companies have until August 19 to submit paperwork to prequalify to compete for the deal, KOC said on its website. KOC is responsible for oil output and exploration in the world's fourth-largest oil exporter.  Kuwait has a long-term target to boost its output capacity to 4 million barrel per day by 2020, from around 3 million bpd.  Analysts say the country is unlikely to meet that target as political turmoil has held up talks on oil deals and led to cancellation of others.

Kuwait's State Audit Bureau sees the 2020 target as a stretch due to obstacles facing KOC, according to a bureau report obtained by media. It was unclear when the report was prepared by the bureau, which monitors state spending and revenue. Kuwait was reviewing plans to pump 450,000 bpd of heavy oil under the 2020 target, an oil official said.

It is in no rush to boost heavy oil output from northern fields after making light crude discoveries, the official said. "We are comfortable with the light crude and we are more relaxed now with the heavy oil," the official said. "No need to expedite it."   
Kuwait signed a preliminary deal in October 2007 with Exxon Mobil Corp to boost heavy oil output from the northern fields, but has not finalised the deal, despite initial plans to sign it by July 2008.

Kuwait has said it would need help from oil majors to reach its output targets. The country pumped 2.24 million bpd in June.

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