WSJ: Overflowing reserves force Kuwait to cut oil production

Kuwait has started reducing output at certain oil fields after reaching full capacity in its storage facilities, sources familiar with the matter told The Wall Street Journal, highlighting a growing storage bottleneck that could impact the global oil market.

As a founding member of the Organisation of the Petroleum Exporting Countries, Kuwait is reportedly considering cutting both production and refining levels to match only domestic demand.

Sources said a formal decision on these wider reductions is expected in the coming days.

Data from Kpler suggests the country has already begun scaling back production and may need to implement further cuts soon, as storage could reach its limit in roughly 12 days.

Closing an oil well carries risks, including potential long-term damage to reservoir pressure and high costs to resume output, making it a measure typically reserved for extreme situations. 

Restarting production can take anywhere from several days to weeks, depending on the characteristics of the reservoir.

By Jeyhun Aghazada