OPEC Pumps At Highest In 2018, But Iran Slump Curbs Supply Boost

Catogory : Market Report

OPEC’s oil production in September rose by 90,000 bpd from August to 32.85 million bpd—the highest level so far this year, but a plunge in Iranian production partly offset higher production in Saudi Arabia, Angola, and Libya.

Oil production in Iran dropped by 100,000 bpd from August to stand at 3.45 million bpd in September, the survey found, while Venezuela’s production further dropped to 1.25 million bpd last month from 1.30 million bpd in August.

These losses resulted in the 12 OPEC members bound by the supply cut deal—all OPEC members excluding Libya and Nigeria and recently joined Congo—actually pumping 70,000 bpd less in September than in August, which suggests that the core OPEC members are not doing ‘everything it takes’ to fill in the gap in supply declines in Iran and Venezuela.

Saudi Arabia, OPEC’s de facto leader and largest producer, pumped 10.53 million bpd in September, up by 50,000 bpd from August.

Libya’s production continued to recover in September and averaged above 1.256 million bpd—at 1.05 million bpd it was above the average August production of 1000,000 bpd.