OPEC output down 240,000 barrels per day in October: Survey
Thursday, November 10 2005 - 07:26 AM WIB
The drop largely reflected a plunge in output from Iraq, whose production and exports have fluctuated widely since the March 2003 US-led invasion as the country has struggled to rebuild its beleaguered oil sector.
"Even with a reduction in OPEC output last month, albeit mostly from Iraq, the organization actually faces an issue of cutting production when it meets next month," said John Kingston, Platts' global director of oil. "This is close to unbelievable, given the loss in output from the Gulf of Mexico after Katrina and Rita. Yet despite that, inventories are building, we're coming out of the 4th quarter-which is the heaviest demand quarter-and it's not unreasonable for the OPEC countries to see the market as heavily oversupplied. The reversal is astounding."
Excluding Iraq, production from the ten members with notional quotas under a 28 mmbpd ceiling dipped 50,000 bpd to 28.27 mmbpd in October from 28.32 mmbpd the previous month.
Poor weather conditions in the Persian Gulf dealt a blow to Iraqi crude exports and production last month. But weather was not the only factor in lower Iraqi volumes, which have been hit by power outages, limited well maintenance, higher water levels in oil wells, and pipeline problems. Iraqi production fell to 1.8 mmbpd in October from 1.99 mmbpd in September.
Saudi Arabian production edged down 60,000 bpd to 9.5 mmbpd from 9.56 mmbpd in September. Venezuelan output, which has not recovered from a crippling oil workers' strike in the winter of 2002-2003, also eased back, by 10,000 bpd, to 2.6 mmbpd.
Small increases of 10,000 bpd came from Algeria, where foreign companies have helped boost output steadily in recent years, and Qatar.
Prices have fallen by more than ten dollars since late August when US light crude hit an all-time high of $70.85/barrel. (*)
Country-by-country breakdown of production with figures in millions of bpd:
Country |
Oct 05 |
Sept 05 |
Aug 05 |
July 05 |
June 05 |
Quota |
Algeria |
1.360 |
1.350 |
1.350 |
1.340 |
1.330 |
0.894 |
Indonesia |
0.930 |
0.930 |
0.940 |
0.940 |
0.950 |
1.451 |
Iran |
3.950 |
3.950 |
4.000 |
4.000 |
3.990 |
4.110 |
Iraq |
1.800 |
1.990 |
1.890 |
1.960 |
1.850 |
N/A |
Kuwait |
2.550 |
2.550 |
2.550 |
2.550 |
2.550 |
2.247 |
Libya |
1.650 |
1.650 |
1.650 |
1.650 |
1.630 |
1.500 |
Nigeria |
2.450 |
2.450 |
2.450 |
2.450 |
2.450 |
2.306 |
Qatar |
0.800 |
0.790 |
0.790 |
0.780 |
0.780 |
0.726 |
Saudi Arabia |
9.500 |
9.560 |
9.550 |
9.500 |
9.500 |
9.099 |
UAE |
2.480 |
2.480 |
2.470 |
2.450 |
2.430 |
2.444 |
Venezuela |
2.600 |
2.610 |
2.620 |
2.630 |
2.640 |
3.223 |
Total |
30.070 |
30.310 |
30.260 |
30.250 |
30.100 |
N/A |
OPEC 10 (excluding Iraq) |
28.270 |
28.320 |
28.370 |
28.290 |
28.250 |
28.000 |