Kuwait Oil Production Ramps Up Amid Easing Tensions

Kuwait's crude oil production has seen a significant increase in June, rising by 20% to reach its highest level since the US-Iran conflict began. The country pumped 1.65 million barrels per day in June, up from just 580,000 bpd in May.

This represents a nearly threefold increase in a single month and is the highest production level Kuwait has managed since the conflict erupted earlier this year. Prior to the conflict, Kuwait was producing around 2.5 million bpd, meaning current output remains roughly 850,000 bpd below its pre-conflict baseline.

The Iran conflict led to a cascade of retaliatory measures, including Iran's closure of the Strait of Hormuz, which effectively choked Gulf oil exports. This resulted in Kuwait and other regional producers cutting their output dramatically, with collective cuts ranging between 6.7 and 10 million bpd by mid-March.

Once an interim peace agreement was reached between the warring parties, exports resumed through the Gulf. With the force majeure lifted on June 18, production ramped aggressively, with daily output peaks hitting 1.9 million bpd during the final ten days of June.