Press release: OPEC output dropped 620,000 bpd in April, according to Platts survey

OPEC slashed its crude output by 620,000 b/d in April to pump an average 27.6-mil b/d over the month, according to OPEC and oil industry officials surveyed by Platts, the energy market information division of The McGraw Hill Companies.

Excluding Iraqi volumes, output for the ten member countries, which agreed to produce a collective 24.201-mil b/d from April 1, dropped by 810,000 b/d, but exceeded their new output ceiling by some 469,000 b/d.

The OPEC ten had already failed to reduce volumes to the previous 25.201-mil b/d ceiling that was effective over the months of February and March, pumping 25.48-mil b/d in March.

``It's difficult to forecast what the future activities of OPEC will be,'' said John Kingston, Global Director of Oil for Platts. ``On the one hand, prices are high, as seen at the retail gasoline pump. On the other hand, there is plenty of crude in the world. At the meeting next month in Vienna, we predict that OPEC will make no change in its output level, given forecasts of weaker demand.''

All ten output-cutting members in April reduced production but only Indonesia produced within its new quota, its output of 1.21-mil b/d showing a 60,000 b/d drop from March. Saudi Arabia accounted for the biggest single cut in output, pumping 7.93-mil b/d in April against its March volume of 8.24-mil b/d. This represented a cut of 310,000 b/d, but nevertheless left the kingdom some 65,000 b/d above its new 7.865-mil b/d quota.

Iran reduced output by 100,000 b/d to produce an average 3.65-mil b/d over the month but needs to reduce output by a further 98,000 b/d in order to meet its new 3.552-mil b/d quota. Kuwait also cut production by 100,000 b/d but its average April output of 2-mil b/d left the emirate 59,000 b/d above quota.

April saw Iraq reach a new production high since its export stoppage late last year. Its average output of 2.93-mil b/d was 190,000 b/d up on March's 2.74-mil b/d.

Country Apr Quota Mar Feb Quota

Algeria 0.800 0.773 0.810 0.810 0.805

Indonesia 1.210 1.255 1.270 1.270 1.307

Iran 3.650 3.552 3.750 3.760 3.698

Iraq 2.930 N/A 2.740 2.020 N/A

Kuwait 2.000 1.941 2.100 2.060 2.021

Libya 1.360 1.296 1.380 1.390 1.350

Nigeria 2.040 1.993 2.120 2.100 2.075

Qatar 0.670 0.627 0.690 0.690 0.653

Saudi Arabia 7.930 7.865 8.240 8.240 8.189

UAE 2.180 2.113 2.210 2.240 2.201

Venezuela 2.830 2.786 2.910 2.920 2.902

Total 27.600 28.220 27.500

OPEC 10 24.670 24.201 25.480 25.480 25.201

(excluding Iraq)

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