Imad Abdul Kareem: International Marketing Department Plans to Establish a Commercial Company to Market Derivatives
Kuwait Petroleum Corporation (KPC) is currently studying the option of establishing a commercial subsidiary company to market petroleum derivatives, similar to steps taken by other national oil companies in this field, a KPC official said.
Once approved, the new company will not practice any form of speculations in global oil stock markets, but will instead focus on increasing the added value of KPC's hydrocarbon products, and adding more flexibility in operations to serve KPC and its clients, said Imad Abdul Kareem, Acting Managing Director for Global Marketing at KPC, in a statement commenting on press reports on that regard.
Meanwhile, Abdul Kareem explained that Kuwait's commitment to the OPEC agreement led to a drop in production and Kuwaiti exports, noting that the US market was mostly affected as a result, which prompted the International Marketing Department to agree to decrease its contractual obligations with US customers this year.
KPC usually coordinates with its customers when the oil market experiences exceptional events, and amends agreements in cooperation with its customers in a manner that is satisfactory to all sides, he added.