• Does Yemen need a refinery?
  • Without a significant refinery presence, the country is reliant on refined product imports from the UAE, Saudi Arabia, Russia and Iraq for its gasoline and diesel needs. Barring an escalation of violence, Platts Analytics forecasts that Yemeni crude production can grow slightly, up to 65,000 b/d in 2022.
  • What should be done to improve oil production in Yemen?
  • A small oil refinery should also be established in Shabwa to help meet domestic demand and reduce Yemen¡¯s overall reliance on fuel imports. Finally, the government should publish oil sector news and statistics on a more consistent basis to reduce misconceptions about oil production levels and increase transparency regarding ownership.
  • What is the main energy source in Yemen?
  • According to the International Energy Agency, in 2000, oil made up 98.4% of the total primary energy supply in Yemen with the remainder comprising biofuels and waste (International Energy Agency). Natural gas and coal were introduced into the energy mix around 2008, and wind and solar energies were added around 2015.
  • What happened to oil production in Yemen?
  • In 2015, foreign oil companies halted their operations in Yemen except for some limited production in blocks operated by state-run companies, Safer and PetroMasila. Crude oil production in Hadramawt in 2019 reached an average of 33,000 bdp. This is only 7.2 percent of peak production.
  • Who buys Yemeni crude?
  • China is the biggest buyer of Yemeni crude, with Australia, Thailand, Italy, and the UAE occasionally buying some cargoes, the Kpler data showed. Without a significant refinery presence, the country is reliant on refined product imports from the UAE, Saudi Arabia, Russia and Iraq for its gasoline and diesel needs.
  • Is Yemen a major oil producer?
  • Yemen has never been a major oil producer, particularly relative to its Arab and Persian neighbors, but it pumped more than 400,000 b/d in the early 2000s, bringing much needed revenue to the region’s poorest economy.