OPEC pushes output above 30 million barrels per day in September: Survey

OPEC crude production climbed to 30.19 million barrels per day (MBPD) in September, up 440,000 BPD from August's 29.75-MBPD, as Iraqi production and exports recovered from previous spates of sabotage attacks, a Platts survey of OPEC and oil industry officials showed October 6. Iraq, whose overall output rose to 2.1-MBPD from 1.78-MBPD in August, accounted for 320,000 BPD of the additional volume.

Excluding Iraq, the ten members with crude production quotas pumped an average 28.09-MBPD in September, 120,000 BPD higher than August's 27.97-MBPD. OPEC kingpin Saudi Arabia boosted output by 80,000 BPD to 9.58-MBPD, the survey showed, while the UAE pushed out an additional 50,000 BPD to average 2.5-MBPD. Qatar managed an extra 10,000 BPD to produce an average 800,000 BPD. Nigeria, beset by civil unrest in the Niger Delta, lost an average 20,000 BPD of production, according to the survey, which estimated the country's September output at 2.38-MBPD.

"These numbers certainly support OPEC's contention that it is supplying the market with an adequate amount of oil," said John Kingston, director of oil at Platts. "Particularly good news for consumers is the fact that Iraqi output, despite all the turmoil there, has pushed above the 2-million BPD level. Yet the price continues to rise, and there is little sign of this increased oil output making its way into inventories, which should be building given these output levels. That fact provides significant concern as we head into the fourth quarter."

Six OPEC members -- Algeria, Indonesia, Iran, Kuwait, Libya and Venezuela -- maintained output at August levels.

Earlier October 6, Qatari oil minister Abdullah al-Attiyah said OPEC had boosted its output to more than 30-MBPD and that members would continue to pump at maximum capacity in hopes of cooling down prices, which surged to a new record high of $51.85/barrel later in the day in New York.

Saudi Arabia is currently the only member with any significant volume of spare capacity. When prices jumped above $50/barrel last week, oil minister Ali Naimi issued a written statement saying Saudi Arabia would boost its capacity from the current 10.5-MBPD to 11-MBPD "as soon as possible."

Kuwait also has plans to boost capacity, oil minister Sheikh Ahmad Fahed al-Sabah announcing Monday that his country would be ready to pump an additional 200,000 BPD, if needed, from next week with the reopening of a crude gathering center destroyed in an explosion in 2001. But senior Kuwaiti oil sources, speaking the same day, said they believed the reopening of the GC-15 gathering center would be delayed until mid-December or early January. (*)

Country	Sep 04	Aug 04	Jul 04	Jun 04	May 04	Quota-Jul 1	Quota-Aug 1
Algeria	1.260	1.260	1.250	1.200	1.170	0.814	0.830
Indonesia	0.950	0.950	0.960	0.970	0.970	1.322	1.347
Iran	3.980	3.980	3.980	3.960	3.920	3.744	3.817
Iraq	2.100	1.780	1.950	1.700	1.900	N/A	N/A
Kuwait	2.380	2.380	2.350	2.350	2.300	2.046	2.087
Libya	1.610	1.610	1.590	1.540	1.470	1.365	1.392
Nigeria	2.380	2.400	2.400	2.400	2.350	2.101	2.142
Qatar	0.800	0.790	0.780	0.780	0.760	0.661	0.674
Saudi Arabia	9.580	9.500	9.400	8.100	8.600	8.288	8.450
UAE	2.500	2.450	2.390	2.380	2.260	2.225	2.269
Venezuela	2.650	2.650	2.620	2.560	2.560	2.934	2.992
Total	30.190	29.750	29.670	28.940	28.260	N/A	N/A
OPEC 10 (excluding Iraq)	28.090	27.970	27.720	27.240	26.360	25.500	26.000