A source told Reuters on Thursday that Kuwait's crude oil production jumped significantly to 1.65 million barrels per day in June, compared to about 580,000 barrels per day in May.
This coincides with an increase in its exports through the Gulf following the interim agreement between the United States and Iran.
This rise reflects clear signs of a rapid recovery in oil flows through the Strait of Hormuz following the disruptions caused by the war with Iran, as oil tankers stranded in the strait have begun to resume their journeys, while Gulf producing countries continue to gradually restore their production levels.
Before Iran effectively closed the Strait of Hormuz in response to US and Israeli strikes in late February, Kuwait was producing around 2.5 million barrels per day. However, the closure of the Strait of Hormuz forced Kuwait, along with other Gulf states such as Saudi Arabia and Iraq, to reduce their oil production by millions of barrels per day.
The source, who preferred to remain anonymous, added that Kuwaiti production rose to about 1.9 million barrels per day during the last ten days of June.
The report published by Reuters contributed to deepening oil price losses during Thursday's trading, as crude oil is trading at its lowest levels since late February, just before the outbreak of the war.
Kuwait Petroleum Corporation (KPC) did not respond to a Reuters inquiry, although it had announced on June 18 that it was lifting all force majeure measures imposed during the war. A tender document issued the following day also indicated that KPC had resumed offering oil shipments to buyers.
Kuwait is among the Gulf states most affected by the repercussions of a war with Iran, due to its near-total reliance on the Strait of Hormuz for crude oil exports. Unlike Saudi Arabia and the UAE, which have alternative export routes, Kuwait faced a virtual cutoff from several key markets, particularly Asian markets, during the period of disruption to shipping in the strait.
