Kuwait Gulf Oil Company K.S.C.C (KGOC) was established on 10th February 2002, as a wholly owned subsidiary of the Kuwait Petroleum Corporation for upstream oil and gas operations. KGOC represents the interest of the State of Kuwait in the Partitioned Zone (PZ). The PZ lies alongside the border between the State of Kuwait and the Kingdom of Saudi Arabia. The natural resources in the PZ are shared equally by the State of Kuwait and the Kingdom of Saudi Arabia.
KGOC conducts operations in the PZ, partnering with representatives of the Kingdom of Saudi Arabia, Aramco Gulf Operations Company, Ltd. (AGOC) at Khafji and Saudi Arabian Chevron, Inc. (SAC) at Wafra.
Responsibility for the operations in the offshore PZ was taken over by KGOC from the Arabian Oil Company and onshore PZ from the Kuwait Oil Company in 2003 and 2006 respectively. Since then, KGOC continues to be responsible for exploration, development and production in the whole of the PZ (onshore & offshore) on behalf of the State of Kuwait.
Major Decision Partners
KGOC plays a key role in the administration of the Joint Operations in the Partitioned Zone (PZ) adjacent to the border between the State of Kuwait and the Kingdom of Saudi Arabia. We represent the interest of the State of Kuwait and our corporate parent KPC in all the planning and decisions related to oil and gas operations in the PZ. KGOC works closely with Aramco Gulf Operations Company, Ltd. (AGOC), and Saudi Arabian Chevron, Inc. (SAC), who represent the Kingdom of Saudi Arabia in the offshore/onshore part of the PZ, to facilitate responsible and mutually beneficial operations in the PZ.
The State of Kuwait and the Kingdom of Saudi Arabia have signed the following critical Treaties pertaining to the PZ:
A) Treaty of 965 (AH 1385) that provides both the countries with equal rights to the natural resources in the PZ.
B) Treaty of 1969 (AH 1389) that set out the geographical co-ordinates of the line dividing the PZ.
C) Treaty of 2000 (AH 1421) that set out the conditions and geographical coordinates for the line dividing the submersed area adjacent to the PZ.
These Treaties provide the legal foundation for the PZ.
Wafra Joint Operations (WJO)Predecessors in interest of KGOC and its partner Saudi Arabian Chevron, Inc. have previously entered into a Drilling Program for PZ in 1956, Imbalance Agreement in 1960 (Reinstated in 1963), Operating Agreement in 1960, and Joint Accounting Procedures Agreement in 1960, pursuant to which the parties have jointly conducted operations in the PZ at Wafra.
Khafji Joint Operations (KJO)KGOC and its partner Aramco Gulf Operations Company, Ltd. have signed a Joint Operating Agreement in 2010 to prescribe the rights and duties of the parties in respect of the operations in the PZ at Khafji.
Articles of Association
The Articles of Association for the Kuwaiti Gulf Oil Company contains the following sections:
One: The Basics of the Company’s Foundation
Two: The Company’s Objectives
Three: The Company’s Capital
Four: The Board of Directors
Five: The General Assembly
Six: The Company’s Accounts
Seven: The Closing and Liquidation of the Company
Eight: The Final Provisions
The objectives of establishing the Company are:
1. Conducting operations related to exploration, drilling for prospective oil and gas as well as fields development, production of oil and gas besides transporting, storing and delivering them, processing of oil and gas as well as exporting them.
2. Carrying out refineries operations, refining petroleum, manufacturing refining outputs in the form of industrial products as well as transporting, storing, exporting and distributing products from these operations.
3. Conduct all supporting operations and works that help in carrying out the above mentioned operations in 1 and 2, and implementing them appropriately.
4. Marketing and selling the State of Kuwait’s share of oil and gas, in the form of crude oil or after manufacturing it as derivatives or industrial products.
5. Holding the State of Kuwait’s share of any existing assets, any underway assets and any assets that may arise in future for utilizing the joint natural resources.
6. Collecting all the State of Kuwait’s rights from the joint operations’ revenues for utilizing the joint natural resources.
All activities shall be in accordance with the applicable laws, policies and in agreement with the Kuwait Petroleum Corporation.