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Kuwait Sees Neutral Zone Oil Pact With Saudis Within 45 Days

  • Shared border area can pump as much as 500,000 barrels a day
  • Resumption of output won’t mean more oil on global markets
Derrick, Puits de petrole, Koweit

Photographer: Dominique Berbain/Gamma-Rapho via Getty Images

Updated on

Kuwait expects to sign an agreement with Saudi Arabia to restart oil production from the neutral zone along their border within 30 to 45 days, according to a person familiar with the matter.

The pact, reached after months of intensive negotiations, won’t be final until it’s signed, the person said, asking not to be identified as the talks are private. Khafji, one of two fields in the zone, can start production immediately, while the Wafra field will need three to six months, the person said.