Embassy of the Republic of Korea to the State of Kuwait

Tuesday, 15 August 2017

External Affairs

Saudi to allow land trade with Iraq after 27-year halt - Iraqi official
Saudi Arabia plans to open the first of several land trade routes with Iraq for the first time in 27 years, Iraqi officials said on Monday. The route, which separates Iraq's eastern Al-Anbar Province and Arar in the Saudi Northern Borders Province, had only allowed Iraqi Hajj pilgrims to pass through, Al-Anbar provincial official Faleh Al-Isawi told KUNA. The official noted the crossing's significance to the benefits reaped from taxes and custom fees, which will go towards Iraqi reconstruction efforts. The Charge d'Affaires at the Saudi Embassy to Iraq Abdulaziz Al-Shammeri recently witnessed the final preparations ahead of the opening during a visit to the location alongside Al-Anbar provincial officials.
The crossing will be open permanently, Al-Isawi said, particularly in the light of improving relations between Riyadh and Baghdad as Iraq seeks closer ties with its Arab neighbors. (All Newspapers)

Amiri instructions to bring back 2 victims of Ouagadougou attack
The Foreign Ministry said Monday His Highness the Amir Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah instructed sending a plane to Ouagadougou, capital of Burkina Faso, to bring back the two Kuwaiti victims of the last night shooting attack. With shock and grief, the Ministry received the news of the death of the two citizens Dr. Walid Al-Ali (Imam of the Grand Mosque), and Fahad Al-Husseini as well as several other innocent people in the heinous terrorist attack, a senior diplomat said tonight. The two Kuwaiti nationals were on a charitable mission when they were martyred in the doomed restaurant, he said. Upon receiving the news from its non-resident embassy to Burkina Faso, the Ministry sent a diplomat to follow up the investigations into the incident and speed up the airlifting of the bodies of the two victims to Kuwait. While condemning this repugnant attack, the State of Kuwait reaffirms its principled rejections of all forms of terrorism, the source stressed. He expressed sincere condolences to the families of the two philanthropists and prayed for God the Almighty to lodge their soul in paradise.
At the behest of His Highness the Amir the two martyrs will be brought back to Kuwait soon, he affirmed. (All Newspapers)

Interpol warrant on ‘Fintas Group’ fugitives
The Criminal Enforcement Office has asked the INTERPOL to issue a warrant for the arrest of the fugitives of the “Fintas Group” and extradite them to Kuwait in order for them to serve their five-year jail terms, reports Aljarida daily. The Court of Cassation had overturned the appeals of these defendants, namely Sheikh Athbi Al- Fahd, Ahmad Al-Salman, Khalifa Al-Khalifa, Lawyer Falah Al-Hajraf and Lawyer Abdulmohsen Al-Etaqi because they did not attend the court session at the Court of Appeals. Their absentia meant the verdict issued by the court for five-year jail term issued against them for broadcasting false news and publishing a fabricated video clip contrary to the truth about the Head of the Supreme Judicial Council Judge Yousef Al-Mutaweh was upheld. (All Newspapers)

Domestic Affairs

Kuwaiti cabinet applauds security crackdown on "Al-Abdali terror cell" – weekly meeting outcome
The Kuwaiti cabinet on Monday appreciated and commended the sincere efforts of security personnel, and their ability to arrest the members of Al-Abdali terror cell. Meanwhile, the cabinet approved a draft decree on the new makeup of the Supreme Council for Planning and Development (SCPD), including His Highness the Prime Minister as Chairman and Sheikh Nasser Sabah Al-Ahmad Al-Sabah as Deputy Chairman, along with 15 members. The ministers then listened to a briefing by His Highness the Prime Minister on the outcomes of the recent visit by Lebanese Prime Minister Saad Al-Hariri to Kuwait, as well as his talks with Kuwaiti officials on bilateral relations, Arab and regional issues and efforts to promote regional and world security and stability. (All Newspapers)

Oil spot prevented from reaching southern Al-Zour plant - EPA chief
Chairman of the Environment Public Authority (EPA) Sheikh Abdullah Ahmad Al-Hamoud Al-Sabah on Monday lauded efforts by all concerned parties to prevent oil spots from reaching the southern Al-Zour power plant, and to ensure nearby vital facilities. In a press statement, Sheikh Abdullah Al-Sabah said marine and air reconnaissance operations are underway, and satellite images are studied to ensure that the area is free of any oil spots. He noted that the authority has taken some samples from the spots and sent them to a global laboratory specialized in detecting oil spots and identifying the source and kind of pollution. The chairman said the authority also operated "mathematical models" systems through using data of floating observation stations to identify movement of currents and trends in the days prior to the incident, and to determine scenarios and location of pollution.
He stressed the need to set up controls to prevent the recurrence of such incidents and to hold accountable those responsible for the incident as well as enforce the law of environmental protection No. 42 of 2014 and its amendments. He indicated that a report on material losses will be submitted, and environmental impacts of pollution on marine environment and coasts will be assessed as well.
Sheikh Abdullah Al-Sabah pointed out the parties participating in removing oil spots are the Kuwait Oil Company and Kuwait National Petroleum Company as well as the Ministries of Electricity and Water, and Oil. He expressed his appreciation to cooperation by both citizens and residents during the incident as they stayed away from the site of the leak Board of Directors of EPA, chaired by Sheikh Abdullah Al-Sabah, Kuwait Oil Company and Kuwait National Petroleum Company as well as the Ministries of Electricity and Water, and Oil held an emergency meeting to discuss repercussions and latest developments regarding the oil spill in the southern region. The meeting reviewed a presentation on the incident, and bodies' efforts aimed to encircle oil spots and curb their impacts on environment. (All Newspapers)

Security enhanced at Kuwait International Airport due to DAESH and other threats
Director General of Directorate General for Civil Aviation (DGCA) Yousef Al-Fawzan stressed the need to enhance security regulations at Kuwait International Airport for the protection of travelers and to provide added security for them in light of the tense regional and international circumstances, especially due to DAESH terrorist organization and other threats. Al-Fawzan explained that DGCA will not allow passengers to enter the plane one hour before take-off. The passengers, planes and luggage will be inspected thoroughly and security plans will be implemented by the security personnel of Ministry of Interior for protecting the airport. He revealed that a British company will be in charge of carrying out the security-related tasks. Al-Fawzan indicated that the airport has been facing congestion due to inspection procedures after the company started its activities but this is essential considering the situation in the region. He urged all citizens and residents to cooperate, “because what we do is in favor of you and your families, and for facilitating your travel in comfort and safety”. (All Newspapers)

Economy

Kuwaiti oil price up 23 cents to USD 48.46 pb
The price of Kuwaiti oil was up by 23 cents to USD 48.46 per barrel (pb) Monday as oppose to USD 48.23 pb last Friday, said Kuwait Petroleum Corporation (KPC) Tuesday. (KUNA)

USD rate stable at KD 0.301
exchange rate of the US Dollar was stable at KD 0.301 while the Euro went down to KD 0.355, said the Central Bank of Kuwait (CBK) Tuesday. (KUNA)

Producer Price Index drops by 7.5 pct in Q2 – CSB
Producer Price Index (PPI) dropped by 7.55 percent for the second quarter of 2017 reaching 69.8 points, compared with 75.5 points for the same period last year, said Kuwait's Central Statistical Bureau (CSB) on Monday. The inxed of extractive industries group decreased by 8.27 percent due to a drop in oil extraction index by 8.29, the bureau added in its periodical statistics. The index of transformative industries group went down by 7.07 percent due to a decrease by 10.63 percent in prices of oil refining group, it noted. The bureau pointed to direct impacts of oil extraction and refining groups on extractive and transformative industries groups.
Comparison between the producer price index between the second quarter of 2017 and the same period of 2016 showed a rise of 12.04 percent as extractive industry jumped by 15.54 percent due to high prices of oil extraction group by 15.36 percent, it noted. The transformative industries group went up by 8.85 percent owning to a rise by 13.98 percent in oil refining prices, it made clear. Producer Price Index plummeted by 4.33 percent in last June compared to June of 2016 as the extractive industries group fell by 6.54 percent. The index of transformative industries group dropped by 2.04 alst June as prices of oil refining group decreased by 3.14 percent, while prices of water and electricity group remained unchanged in the same period, the bureau said. (KUNA, 14/08/2017)

Kuwait may ‘lag’ on VAT
The United Arab Emirates and Saudi Arabia will introduce value-added tax next January but other countries in the six-nation Gulf Cooperation Council may do so later in the year, a senior UAE official said on Tuesday. Their state finances pressured by low oil prices, GCC countries have jointly agreed to one of the biggest changes in their tax policy for decades: imposition of VAT at a 5 percent rate next year. But the move will involve major administrative and technical challenges for GCC governments, requiring them to draft detailed regulations, register companies paying the tax and create bureaucracies to oversee the system. This has raised speculation that some countries may not be able to introduce the tax at the start of 2018 as originally planned. Khalid Ali al-Bustani, directorgeneral of the UAE’s Federal Tax Authority, confirmed this on Tuesday. “The UAE and Saudi Arabia will be implementing VAT starting 2018 January, and the rest could implement until the end of 2018,” Bustani told a news conference. He did not elaborate on why other GCC countries might introduce VAT more slowly, but tax experts in the region believe Kuwait in particular may lag, partly because of its slow-moving civil service and partly because its relatively independent parliament may want a say in the process. Kuwait’s finance ministry said last week that parliament, where populist legislators have in the past sought to water down austerity measures, would have the final decision in approving or rejecting draft legislation on VAT. Officials in Oman have not announced a firm date for VAT introduction, and those in Bahrain, which has also struggled to push austerity measures past parliament, have said it is expected by mid-2018. Since regional agreement on the tax was reached, Saudi Arabia, the UAE and Bahrain have cut diplomatic and transport ties with Qatar, accusing it of supporting terrorism. Qatari officials have not said whether this could affect their timetable for introducing VAT. The UAE will start registering businesses for VAT in mid-September; it expects to issue laws on VAT in the third quarter of this year and regulations covering implementation of those laws in the fourth quarter, Bustani said. Firms with annual revenues of at least $100,000 must register or face penalties. Bustani said the UAE expected to register 300,000 to 350,000 companies for VAT and that the tax was likely to push overall consumer prices up by roughly 1.4 percent. The government also plans to introduce excise taxes at rates of 100 percent for tobacco and energy drinks and 50 percent for other sugary soft drinks; Bustani said this would occur in the fourth quarter of this year. (Arab Times)

Other News

US applying diplomatic and economic pressure on Pyongyang
The US, with the support of the international community, is "applying diplomatic and economic pressure on North Korea" in hopes of denuclearizing and dismantling the country's ballistic missile programs. "We are replacing the failed policy of 'strategic patience,' which expedited the North Korean threat, with a new policy of strategic accountability," said Secretary of State Rex Tillerson and Defense Secretary Jim Mattis in a Op-Ed released in the Wall Street Journal on Monday. (KUNA)

Wednesday, 16 August 2017

External Affairs

Arab Parliament chief praises Kuwait's initiative for Iraq
Visiting President of Arab Parliament Mishaal bin Fahad Al-Salmi hailed on Tuesday the State of Kuwait's initiative to hold a conference for re-constructing Iraq. Iraqi Foreign Ministry quoted Al-Salmi as affirming, during a meeting with Foreign Minister Ibrahim Al-Jaafari, his support for the Kuwaiti initiative and urged Arab states to seek greater detente with the country. "We stand on Iraq's side and we are optimistic about its future due to solidarity among its political forces and standing of the Arab brothers on its side," he stated. For his part, Al-Jaafari affirmed that his country needed support and contributions to re-construction of the infrastructure. Such help is also required to facilitate comeback of the relocated to their original towns, deal with other challenges such as oil prices' fall and high cost of the war on terrorism, he added. (KUNA)

Domestic Affairs

Deputy FM, UN official discuss mutual coop.
Kuwaiti Deputy Foreign Minister Khaled Suleiman Al-Jarallah discussed on Tuesday mutual cooperation with Head of the UN High Commissioner for Refugees (UNHCR) office in Kuwait Dr. Hanan Hamdan.
During a meeting, Hanan lauded Kuwait's support for the commissioner, and the two sides also reviewed activities of the UNHCR. (All Newspapers)

New oil spill appears in Kuwait's sea waters
A nautical mile-long oil spill is currently floating off the Police Club in Abu Ftairah, the Environment Public Authority (EPA) announced on Tuesday.
Necessary measures have been taken to disperse the oil slick, EPA indicated in a statement. EPA is coordinating with the oil sector, the Coast Guards and the Regional Organization for the Protection of the Marine Environment (ROPME) to rid the territorial sea waters of the new oil spill. Authorities have recently scrambled to deal with an oil slick that floated off Al-Zor. (All Newspapers)

‘Nab those waiting for zero hour to carry out terror acts’
The Interior Ministry should not close the Abdali cell file until the arrest of those waiting for zero hour to carry out terrorist attacks in the country, because the confiscation of a large quantity of weapons confirmed that the group does not consist of only 14 people, says MP Khalid Al-Otaibi. Speaking to reporters at the Parliament on Tuesday, Al-Otaibi pointed out the quantity of confiscated weapons matches that of a military arsenal – 19,000 kilos of ammunition, 144 kilograms of TNT and highly explosive P-4, 65 various types of weapons, 3 RPGs, 65 RPG launchers, and 204 grenades and electric detonators among others. He said this is the largest in the history of Kuwait; hence, it is impossible that only 14 people are involved. He added, “For me, those who have yet to be identified are more important, not those who have been arrested, because the danger posed by those arrested is limited. We praise the Interior Ministry and it deserves commendation for arresting the fugitives.” However, he was quick to clarify that this commendation does not mean closing the file, as the ministry must reach those waiting for the zero hour. He asserted the real work of the ministry has started and the issue should be resolved for those who intended or intending to participate in the terrorist operation. He added, “Our hands are open and extended to the ministry. We will not restrict them in taking measures to maintain stability of the country.” He affirmed the lawmakers will fully support the ministry in taking security action in accordance with the law and the Constitution. (All Newspapers)

Economy

Kuwaiti oil price down USD 1.05 to reach USD 47.41 pb
The price of the Kuwaiti oil dropped by USD 1.05 to reach USD 47.41 per barrel (pb) Tuesday compared with USD 48.46 pb on Monday, said Kuwait Petroleum Corporation (KPC) Wednesday. (All Newspapers)

USD rises to KD 0.302
The exchange rate of the US Dollar rose to KD 0.302 on Wednesday, while the Euro dropped to KD 0.354, said the Central Bank of Kuwait (CBK). (All Newspapers)

EXCLUSIVE: Firms submit bids for Kuwait petrochemicals facility
Technology providers have submitted bids to win contracts to provide proprietary technology for the petrochemicals facility that is due to be integrated with the New Refinery Project in Kuwait’s Al-Zour region. “Bids have been submitted and the different offers are being considered,” says a source close to the project. The total value of the facility’s engineering, procurement and construction (EPC) contracts for the scheme are expected to be worth between $2.8bn and $5bn, according to industry insiders. The facility is expected to include units to produce polypropylene, paraxylene and gasoline. The project owner is Kuwait Petroleum Corporation’s downstream subsidiary Kuwait Integrated Petroleum Industries Company (KIPIC). The planned petrochemicals facility will be integrated with the KIPIC megaproject to build a $13bn refinery in the Al-Zour region, known as the New Refinery Project. The main EPC contracts for the New Refinery Project were awarded in mid-2015 and are currently under execution. The New Refinery Project is due to be completed before the end of 2019. (MEED)

Chinese firm bids low on Kuwait survey contract
China’s BGP is the low bidder on a contract to conduct a 3D seismic survey in western Kuwait, according to a document published by state oil company Kuwait Petroleum Corporation (KPC). BGP, a geophysical services company whose shares are mainly held by Chinese state-owned oil company China National Petroleum Corporation (CNPC), submitted a bid of KD35.9m ($118.9m). The only other bidder was Westerngeco International, a London-based geophysical services company owned by the US’ Schlumberger. Westerngeco International submitted a bid of KD36.2m. A second alternative bid by BGP was rejected by KPC. The deadline for submitting bids for the deal was 29 July. In 2014, BGP won the first ever 3D seismic survey contract awarded by state-owned upstream oil operator Kuwait Oil Company (KOC). The project covered 2,500 square kilometres including most of the inhabited areas of Kuwait City and Kuwait Bay. The 3D Seismic Survey – Kuwait Bay Acquisition contract – was signed on December 1, 2014, and it was the first ever 3D Seismic survey acquisition awarded by Kuwait Oil Company (KOC). The increased survey activity in Kuwait is in line with KOC’s stated objective of searching for gas and light oil in the country’s Jurassic and Permian plays, as well as exploring unconventional reservoirs. (MEED)

KOC moves several vessels to control Messilah oil spill - oil minister
Minister of Oil Essam Al-Marzouq announced that the Kuwait Oil Company (KOC) has moved a number of its vessels to the Messilah coast, south of the capital, to control a newly-discovered oil spill. The revelation was made after authorities recently scrambled to deal with an oil slick that floated off the coast of Al-Zour, south of the country. KOC vessels and the Kuwait Fire Service frigates will survey the surrounding areas for other oil spills, Al-Marzouq, also minister of electricity and water, told KUNA Tuesday. He added that contacts are made with neighboring countries to inquire about any oil leakage or any information that could be related to the new oil spill. He pointed out that these moves were taken after receiving a report today afternoon about the detection of a new oil spill near the Officers Club off Messilah coast. Al-Marzouq noted that Kuwait is carrying out aerial and sea surveys of the territorial waters as well as contacting international environmental organizations to get satellite images of the area over the past few days in order to collect information that could lead to identifying the source of this spill. He admitted that the ministry does not currently possess any information regarding the source of the oil spill. (KUNA)

KD 79.5 mln for 3 tenders in KNPC
Al-Rai knew that Central Agency for Public Tenders approved three tenders in favor of Kuwait National Petroleum Company (KNPC). The first one was awarded to Fawaz for Cooling and Air-conditioning Co., and is concerned with maintenance and electricity works for Ahmadi refinery, in addition to liquefied natural gas (LNG) production units in the company operations area, and is valued KD 18.9 million. The second tender is concerned with maintenance of controlling devices and systems inside the operating system of Mina Ahmadi refinery, and was awarded to Finesco International Co. with value of KD 21.8 million. Third tender is concerned with mechanical maintenance works for Mina Abdullah refinery, and was awarded to Heavy Engineering Industries & Shipbuilding Co. (HEISCO) with value of KD 38.7 million. In addition to a tender concerned with maintenance and repairing works of tanks in Mina Abdullah refinery, along with local marketing. (Al-Rai)

Kuwait to tender solar power plant
Kuwait intends to call for a tender building “Al-Dabdaba” solar power station with value of USD 1.2 billion in the first quarter of 2018, within the country’s plans to produce 15% of renewal energy by 2030. In an interview with the American news agency Bloomberg, Kuwait National Petroleum Company (KNPC)’s Executive Vice President for Planning and Finance Shukri Abdulaziz Mahrous said that OPEC’s fifth biggest crude oil producer (means Kuwait) set a final deadline in this upcoming 7th of September for companies to show interest in the project with production capacity of 1 gigawatt. Al-Mahrous clarified that cost will be around USD 1.2 billion, as Al-Dabdaba solar power plant is to provide half of renewable energy production of the country. He added saying that the solar power plant with total surface area of 32 km2 and is due to be completed by 2020 in north west of Kuwait, is expected to save burning 5.2 million barrels of crude annually, and will decrease carbon emissions by 1.3 million tons annually. (Al-Rai)

New electricity tariffs to be applied on expats next Tuesday
In an interview on Al-Rai TV, Undersecretary of Ministry of Electricity and Water Engineer Mohamed Bushehri announced that new electricity consumption tariff will be applied starting from 22nd of current August (next Tuesday) on the investment sector as tariff per watt will be 5 fils instead of 2 fils, and on the same date in the upcoming November it will be applied on the governmental sector, and other sectors as well such as chalets, farms and horses stables in next February. (Al-Rai, 15/08/2017)

KUNA: http://www.kuna.net.kw/Default.aspx?language=en

Al Rai: http://www.alraimedia.com/

Kuwait Times: http://www.news.kuwaittimes.net/website/

Arab Times: http://www.arabtimesonline.com/news/

MEED: http://www.meed.com/

Al Anbaa: http://www.alanba.com.kw/newspaper