Kuwait's crude oil exports to China jumped 35.5 percent in July from a year earlier to 826,000 tons, equivalent to around 195, 000 barrels per day (bpd), the latest government data showed. Kuwait provided 4.3 percent of China's total crude oil imports, compared with 3.1 percent in the same month of last year and 5.6 percent in June, according to data released from the General Administration of Customs.

Kuwait's exports in the first seven months of 2010 totaled 5.85 million tons (202,000 bpd), up 25.3 percent from the same period last year. China's overall imports of crude oil in July fell 3.2 percent year-on-year to 4.49 million bpd. Saudi Arabia came back as China's top supplier although its shipments shrank 13.3 percent from a year earlier to 965,000 bpd, followed by Angola with 536,000 bpd, down 28.8 percent. Iran became third, with imports from the country falling 7.6 percent to 481,000 bpd. Kuwait was the seventh-biggest exporter to China in July.

China is the world's second-biggest oil consumer after the US. The Chinese government in May gave preliminary approval to state-run Kuwait Petroleum Corporation (KPC) and its partner Sinopec for a $9 billion oil refinery project in south China's Guangdong Province, to which Kuwait is expected to supply all the crude.

As the project is included in the China's 11th Five Year Plan (2006-2010), preparatory work for final approval is currently in full swing. The planned project, which could be China's biggest joint venture of its kind, includes a 300,000 bpd refinery, ethylene cracker with the capacity of 1 million ton per year and a retail network in and around the province.

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KUWAIT CITY: State oil refiner Kuwait National Petroleum Co (KNPC) is planning to build super-sized storage tanks at the country's largest refinery at an estimated cost of KD 250 million ($867.5 million), it said on Tuesday.

Bidding for the project at Mina al-Ahmadi, with capacity of 460,000 barrels per day, is expected to start in three months, al-Anba daily reported earlier on Tuesday.

Company spokesman Mohammed al-Ajmi confirmed the report and said the number of tanks to be built was 10, with a total storage capacity of 750,000 cubic meters.

Building is expected to start before the end of the year.

OPEC member Kuwait is the world's fourth largest oil exporter. It has two other refineries and the combined capacity of the three installations is 930,000 bpd.

Kuwaiti oil stabilized at $69.58 pb on Monday, the Kuwait Petroleum Corporation (KPC) said on Tuesday. Kuwaiti oil is deeply affected by the daily speculations, as well as geo-political and geo-psychological factors in the oil market.

The 12-crude basket of the Organization of the Petroleum Exporting Countries (OPEC) was down $0.85 to $70.93 per barrel (pb) on Monday, compared to $71.78 recorded on Friday, OPEC announced here on Tuesday.

The OPEC's economic bulletin said that the monthly average of the 12-crude basket for July was $76.11 per barrel. The OPEC basket is made up of Saharan Blend (Algeria), Girassol (Angola), Oriente (Ecuador), Iran Heavy (Islamic Republic of Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Bonny Light (Nigeria), Qatar Marine (Qatar), Arab Light (Saudi Arabia), Murban (UAE), and Merey (Venezuela).

OPEC's last ministerial meeting extended the current production level at 24. 880 million barrels, and stressed it was vital all producers keep to their quotas. The ministers are to meet in Vienna in mid October, while another meeting will be held by the end of the year in the Republic of Ecuador, which currently presides over the summit.