Kuwait National Petroleum Company KNPC

OVERVIEW

Through its establishment in 1960, Kuwait National Petroleum Company (KNPC) was the first national company in the region where the Hydrocarbon resources were managed and exploited by foreign companies. The Company’s vision was stimulating development and providing an exemplary experience in handling national resources. In its perspective, KNPC came as a model for the indigenous potential to undertake management and exploitation of the oil resources, which started to develop into a colossal source of income capable of sustaining the society welfare and financing its overall development.

In 1975, the State of Kuwait acquired full ownership of KNPC. Its operations were highly integrated mainly relying upon its oil refinery in Shuaiba and the marketing of petroleum products from Al-Ahmadi Refinery, in both local and international markets. 

In 1980, Kuwait Petroleum Corporation (KPC) was established, as the State owned asset and all other oil companies in Kuwait, including KNPC, became KPC subsidiaries. Currently, KNPC has two state-of-the-art Refineries, namely Mina Abdullah Refinery (MAB) and Mina Al-Ahmadi Refinery (MAA). Shuaiba Refinery was shut down in March 2017 after the kick-off of the Clean Fuels Project (CFP). The total production capacity of both Refineries is 736,000 bpd of crude oil, and a gas processing capacity of 2.5 billion scfpd. 

MAB and MAA host advanced refining technologies, following the revamping of the two Refineries in the 1980s. Among the most important units at MAB Refinery are two CDUs, 4 Hydrogen production units, 2 ARD units, a Vacuum Distillation unit, 2 delayed Coker units, and a Hydrocracking unit. The MAA Refinery now hosts four Trains of ARDS units, a VGO Hydrocracker and an FCCU, besides a host of Hydrogen production and Hydrogen Recovery units, Distillate Hydrotreaters, Sulfur recovery units and consolidated Sulfur granulation and storage facilities.
 
On the domestic scene, KNPC is responsible for the sale and distribution of all petroleum products in the local market. KPC and KNPC put into effect the trend towards privatization and started in 2004 to transfer its Local Marketing assets, such as the lube oil plant and the petrol stations, to private companies.

KNPC has 57 filling stations, including 2 mobile stations, all over Kuwait. A 5-year plan to build another 99 stations is already underway to respond to the growing demand for gasoline and other fuels.
 
Currently, KNPC is carrying out several major projects that aim to expand its refining capacity and enhance conversion capabilities, most importantly is the Clean Fuels Project (CFP). After the completion of the CFP in early 2020, KNPC refining capacity will be 800,000 bpd. With the high-quality low-sulfur (Euro-4 & Euro-5 grades) products, KNPC seeks to penetrate new markets. Gas Train-5 is expected to be completed early 2021, whereby KNPC gas processing capacity will then reach 3.3 billion scfpd.

 In the meantime, the Company directed attention to its human resources by implementing a policy of steady growth of its national Manpower and providing its sites with highly qualified and skilled human resources. Up to March 2020, the percentage of Kuwaitis in the total Manpower was around 88 % of the Company labor force, which totaled 6,322 employees.

 

MISSION, VISION & VALUES

KUWAIT NATIONAL PETROLEUM COMPANY
2040 STRATEGY

 

Our Vision

To be a World-Class Refiner Through Superior Operating and Financial Performance

 

Our Mission

We Add Value to Kuwait Hydrocarbons, Producing High Quality Fuels to Meet Local and International Demand

Enablers :

• Protecting the environment and being committed to health and safety 
• Leveraging innovation and adopting the highest standards to achieve operational excellence
• Being a committed and reliable partner in our communities and markets
• Investing in our people
• Being driven by commercial sustainability

 

Our VALUES

Integrity

Acting in a trustworthy manner with the highest standards of ethics, respect and honesty.

Innovation

Developing and embracing new ideas, methods and approaches to solving challenges that create value.

Excellence

Encouraging high performance, continuous improvement and customer focus.

One Team

Caring for the interests of KPC and ensuring alignment to achieve Corporate and State goals.

Partnership

Building and sustaining relationships that support growth and enhance operational excellence.

Caring for People

Creating a culture where people develop, grow and are positively motivated to contribute to the success of others.

Commitment to HSSE

Respecting the environment and ensuring safety, security and the promotion of a healthy workplace wherever KPC operates.

PRIDE

Creating employee satisfaction on an individual level and promoting a sense of loyalty and belonging to KPC.

 

KNPC HISTORY

1949

Establishing MAA Refinery

1958

Establishing MAB Refinery

1960

Establishing KNPC

1965

Opening KNPC Headquarters in Mubarakiya

1968

Commissioning SHU with a Refining Capacity of 95,000 bpd

1975

Expanding SHU and Raising its Refining Capacity to 200,000 bpd. KNPC
Became a Totally State Owned Company

1986

Opening Additional Revamp Project at MAA Refinery

1989

Official Inauguration of MAB Revamp Project

1992

Celebrating Rehabilitation and the Re-operation of Refineries after the Iraqi Invasion

1995

MAA Started Producing Lead-Free Gasoline for the First Time

2001

Releasing HSE Management System

2005

A New Brand Identity Logo for the Company
Opening KNPC New Head Office in Ahmadi
Commissioning South Oil Pier

2008

Providing Local Market with Euro 4 Fuel

2011

Celebrating KNPC Golden Jubilee

2014

Inking CFP Contracts

2015

Starting Operation of Fourth Gas Train
Inking Al-Zour Project Contracts
Inking the Contract of Fifth Gas Train Project

2016

Inking the Contract of LNG Import Facilities Project
New Filling Stations with Distinguished Designs

2018

KNPC Signs on Constructing 18 new Filling Stations

2019

Diesel Unit 216 Commisioned to be the first CFP Unit to start operation

 

REFINING OF CRUDE OIL

Refining is the Core Business of KNPC. The Company also Processes/Imports Gas, and markets the refined products locally.

KNPC owns and operates two refineries, namely Mina Al-Ahmadi (MAA) and Mina Abdullah (MAB).
The two Refineries form an integrated refining complex, which gives the Company a high flexibility in exchanging products either to fulfil the demands of international clients or to maintain a continuous production in times of maintenance or unscheduled shutdowns.

The total capacity of the two refineries is 736,000 bpd. Part of production is marketed locally, whereas the majority of products are exported to international markets. Gas processing capacity of MAA 4 gas trains is 2,485 mmscfpd.

Each Refinery has its own features. MAA is one of the world’s largest Refineries and MAB has high conversion capabilities. It also has the only Delayed Coker Unit in the Gulf area.

 

MINA AL AHMADI REFINERY

Mina Al Ahmadi Refinery (MAA) was built in 1949 as a simple refinery with 25,000 bpd capacity to cover the local demand for Gasoline, Diesel and Kerosene. It occupies 10.5 km2 of land and is located directly on the seashore. Over the years, MAA was subject to 2-phase modernization, and 29 new units were built with advanced technologies to increase its capacity to 466,000 bpd. The new products have lower Sulfur content.

 

SHUAIBA REFINERY

The first National Oil Refinery ever to be built in the region. The cornerstone was laid in 1966 and SHU was commissioned in April 1968 with production capacity of 95,000 bpd. SHU was a turning point in KNPC history as it was The Company’s first Refinery. 

As it was the world’s first all-Hydrogen Refinery, SHU could process relatively high Sulfur Heavy Crude. This provided flexibility to produce high quality products for export to international markets. The Refinery was destined to closure in April 2017; however, the tanks and export facilities will be utilized as part of Clean Fuel Project.

SHU Refinery is connected through a network with MAB and MAA. The export facilities at MAA are used for exporting SHU products. The network helps also in mixing and storing of various products and gives the three Refineries flexibility to respond to international markets’ needs.