KUWAIT – Kuwait's national oil group will provide Egypt with 85,000 barrels of crude oil per day under a new contract which boosts supply from the Gulf Arab state by 31 percent, state news agency KUNA reported on Tuesday. Kuwait Petroleum Corporation (KPC) will also increase its supply of diesel and jet fuel to 1.5 million tons per year, up from 860,000 tons previously, KUNA said. Egypt has been relying on crude deliveries from the Kuwaiti government at favorable terms as well as on donations of gasoline and diesel from Gulf Arab states to help reduce the drain on its foreign exchange reserves and the heavy costs of government fuel subsidies. The new contracts, signed with Egypt's General Petroleum Corporation on Monday, are valid until the end of 2016 and based on global market prices, KPC official Nasser Al-Mudaf told KUNA. The previous KPC oil supply contract was for 65,000 barrels of crude per day. – Reuters
