OPEC output falls as Iraqi oil exports decline

SEATTLE (Oil Monster): A study by Reuters revealed on Thursday that OPEC’s production declined in November, despite an OPEC+ agreement to increase output.

This decrease was attributed to disruptions in several member countries, which caused the organization’s supply to fall short of its stated goals.

OPEC pumped 28.40 million barrels per day in November, falling 30,000 barrels per day compared to October’s average, with Iraq and Nigeria seeing the most significant reductions, according to Reuters.

OPEC+, which consists of OPEC member states and their partners, has slowed the pace of monthly production growth due to concerns about a potential supply surplus. Several member countries are nearing their production capacity limits, and some are implementing additional cuts to make up for prior overproduction. This situation is diminishing the impact of possible production increases.

Under a deal among eight OPEC+ countries regarding November output, Algeria, Iraq, Kuwait, Saudi Arabia, and the UAE were expected to increase production by 85,000 barrels per day.

According to the study, the five countries increased production by 40,000 barrels per day.

Iraq’s exports decreased as a result of pipeline maintenance. In Nigeria, a fire on the Yoho production platform reduced oil supplies.

According to Reuters, forecasts of production in Iraq and the UAE differ considerably, with many foreign sources placing the two countries’ production higher than their own.

While statistics from OPEC’s secondary sources suggest they are producing close to their mandates, other estimates show they are pumping much more.

The study, which tries to track market supply, is based on flow data from financial company LSEG and information from flow trackers such as Kpler, alongside figures obtained from sources at oil companies, OPEC, and consultancies.

Courtesy: www.iraqinews.com