The Burgan Oil Fields

The Burgan Oil Fields

As Kuwait-born Fahad Al-Rajaan will be well aware, the Burgan field (also known as Greater Burgan) is an oil field which is situated in the south east of Kuwait. In the third part of our series, we take a look at the Burgan oil field. Greater Burgan is the biggest sandstone oil field in the world, and the second biggest oil field overall, after Ghawar. The Greater Burgan area encompasses the Burgan oil field itself as well as the Ahmadi and Magwa fields. Oil seeps in Great Burgan have been traced back to neolithic times, a bituminous material discovered on a reed boat found at As Sabiyah in north Kuwait dating back to around 5000 BC. Burgan oil field’s subsurface reservoirs were found by the Kuwait Oil Company (a United States/United Kingdom conglomerate) in 1938. They began producing commercial oil in Burgan in earnest in 1946. The Greater Burgan is the world’s largest clastic oil field. It has a total surface area in excess of 1000 square kilometres. Great Burgan features three oil-producing subfields: Magwa Ahmadi Burgan The oil contained in these reserves dates back to the Cretaceous era. The total production potential for recoverable oil in the area is estimated at somewhere between 66 and 75 billion barrels. Greater Burgan is also believed to have some 70 trillion cubic feet of natural gas reserves. In 2005, Burgan’s oil production capacity was measured at 1,700,000 barrels per day. According to Oil Patch Asia, in 2013 Greater Burgan was the fourth most productive oil field in the world. The Kuwait Oil company’s Chief Executive remarked in interview in 2010 that...
The Origins of Kuwait’s Oil Industry

The Origins of Kuwait’s Oil Industry

Following on from last week’s post, we look at beginnings of the oil industry of Kuwait, a country which is believed to have the fourth largest oil reserve in the world today. Kuwait’s oil industry began in 1921, when Sheikh Ahmad Al Jaber Al Sabah became Kuwait’s ruler. The Sheikh was aware of prospectors’ activities in neighbouring countries, Bahrain, Iraq and Saudi Arabia, not to mention the Anglo-Persian Oil Company’s widely publicised success in Iran. Sheikh Ahmad Al-Jaber Al-Sabah wanted to ensure that Kuwait got its cut of the action. The country’s main industry, the age old art of diving for pearls, was coming under threat due to the jewellery industry’s move to cultured pearls. When ominous black pools of a bituminous substance were located in the desert, Sheikh Ahmad Al-Jaber Al-Sabah grew hopeful that this indicated underground oil reserves which might rejuvenate the Kuwaiti economy. Expectations were greatly elevated by the finding of oil reserves in Bahrain during 1932. The Sheikh officially granted the first oil concession in December 1934 to Kuwait Oil Company Limited. The company was formed by the Anglo-Persian Oil Company (today known as BP) and the Gulf Oil Corporation (today the company we know as Chevron). Burgan, a desert area in south eastern Kuwait, was highlighted as an area of interest in speculative reports. The first discovery of oil in Kuwait was made in 1938. By 1946, the State of Kuwait had begun exporting oil all over the world. During the 1970s, as was the policy of other oil producers in the Middle East, began to nationalise its natural resources. The state’s interest in...
The Kuwaiti Oil Industry

The Kuwaiti Oil Industry

The State of Kuwait, is situated in the Middle East, an area believe to be home to some 75% of the entire world’s oil reserves. Kuwait is a major petroleum producer, refiner and exporter. Today, the country is involved in projects with several major oil companies. Kuwait is believed to have the fourth largest oil reserve in the world. Embed This Graphic On Your Site: <img src=’https://s-media-cache-ak0.pinimg.com/564x/dc/dd/17/dcdd170ad30c7e2b6f29fab3725d0500.jpg’ width=’540′><br /><a href=’http://www.fahadalrajaan.com/the-kuwaiti-oil-industry/’><br /></a></p><br /> <p>The Discovery of Oil in Kuwait [Infographic]</a></p><br /> <p></a>...
Pensions History in Kuwait

Pensions History in Kuwait

Kuwait began its first pension scheme in 1966 within the public sector and civil employee retirement system. The first legislation regulating pensions was enacted in 1960. These regulations covered government, military and civil employees. The state of Kuwait’s social security system was set up in 1976 in accordance with Amiri Law Decree Number 51. The Public Institution for Social Security was thereby established to implement the Kuwaiti social security system, covering old age, sickness, death and disability insurance for public and private sector workers as well as the self-employed. Embed This Graphic On Your Site: <img src="https://s-media-cache-ak0.pinimg.com/564x/70/06/7d/70067d7e12c0fa4a5291af0f0fe27bc8.jpg" width='540'><br /><a href='http://www.fahadalrajaan.com/pensions-history-in-kuwait/'><br /></a></p><br /> <p>Pensions History in Kuwait[Infographic]</a></p><br /> <p></a> Insured Persons Kuwait’s social security system covers all Kuwaiti citizens who play an active role in the community, regardless of occupation. Fahad Al Rajaan, Director General, has presided over the Public Institution for Social Security since 1984. The social security system also protects third party employees working in any sector, as well as Municipal Council and national Assembly members and trainees for work sponsors and mayors, together with the freelance workers such as lawyers, engineers, physicians and shopkeepers as well as Kuwaitis working abroad. Funding for the Kuwaiti State Pension The Kuwaiti state pension is funded by contributions from the insured person, their employer, and the government’s State Public Treasury department. Employee’s are subject to mandatory deductions of a percentage of their monthly salary, much in the same way that British employees pay National Insurance. Employers pay double the employee’s contribution to the government. The Kuwaiti State Treasury pay an estimated 10% of their revenue to insured civilians, with 32.5% being...
The Ancient History of International Trading

The Ancient History of International Trading

International trade involves the exchange of goods, services and capital across territories and international borders. Its history is of great interest to Kuwaiti businessman and banking specialist, Fahad Al Rajaan. International trade took place throughout ancient times, including the Salt Road, Amber Road and Silk Road. The Fahad AlRajaan Flickr page features more details. The Salt Road In ancient times, salt was regarded as a precious commodity. It was distributed via the prehistoric Salt Trading Route. In the 2nd millennium BC, during the Bronze Age, fixed Salt Routes first appeared. Overland routes and roadways were constructed so that salt starved provinces could be served by those which were salt rich. The Italian Salt Road ran from Rome to the Adriatic coast, traversing an impressive 150 miles. Germany’s Old Salt Route ran some 62 miles and was used in medieval times to link the port of Lubeck with the Lower Saxon town of Luneburg. Luneburg grew rich from its salt; the town is first mentioned in German history as far back as the 10th Century AD. Luneburg was a power house during the Hanseatic League era, the town’s importance and prosperity declining from the 1600s onwards. The salt mines of Luneburg were closed in 1980. France’s Salt Route encompassed both inland and coastal areas, including Nice, Ventimiglia and the Saint-Martin-Vestibule as well as the Roya Valley, the Col de Tend pass and Piedmont. In Ethiopia, Africa, blocks of salt were carved from the Afar Depression’s salt pans, particularly around the Lake Afrera area. The salt blocks were then transported by camel to the Ficho and Atsbi areas of the Ethiopian...
The American University’s Winning Streak In Science Continues

The American University’s Winning Streak In Science Continues

The American University Washington DC achieved another accolade during the 2015 spring season for its College of Arts and Science students, claiming a number of prestigious US science fellowships and scholarships. Paula Warrick, office of merit awards director, praised the calibre of the university as well as its student’s breadth of interests. She pointed out the diversity in specialisms, from mangrove swamp conservation to volcanology. As an alumni and patron of the AU, Fahad Al Rajaan will appreciate the diversity reflected the intellectual curiosity of American University students, as well as the wide range of topics taught by the educational body. The Barry M. Goldwater Scholarship This year’s Barry M. Goldwater Scholarship was awarded to Tara Shreve, recognising her efforts in the fields of natural sciences, mathematics and engineering. Tara intends to put her scholarship to good use, using it to facilitate her PhD in geophysics. Ultimately, she plans to conduct international research into remote sensing techniques, as well as teaching at university level. Michael Robinson, the AU’s Professor of Statistics and Mathematics praised Tara’s knowledge, competency and efficiency. He remarked on her high motivation and exceptional use of the scientific opportunities available to her. Tara is an active member of the American University’s Women in Science group and Honours Programme, as well as being a member of the editing staff of the AU’s Catalyst magazine. She has also served as a research assistant with the University’s Physics Department and as a teaching assistant with the Statistics and Mathematics Department. Tara was interned in the Smithsonian Museum of Natural History’s Global Volcanism Programme. She spent her 2015 spring semester...