Getting OPEC Whiplash as Aug Exports Set to Drop

Their production increased in June from May, then they agreed... kinda... in late June that they would stick more closely to the original cut agreement, unofficially agreeing to lift production so they would be closer to 100% compliance. Now, heavy hitter Saudi Arabia is expected to lower exports in August so as not to flood the market with oil? 

https://www.reuters.com/article/us-oil-opec-saudi/saudi-oil-exports-to-drop-by-about-100000-barrels-per-day-in-august-opec-governor-idUSKBN1K921Z?rpc=401&

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(edited)

This time of year the Kingdom consumes a heck of lot of oil for electricity generation and desalinization. Production has to increase every summer. A 100,000 bbl drop in exports would still require increased production. Of course there is buffering with storage. Let's see how things are in mid-October when temperatures are moderate. Count the tankers leaving Rastanura. And if you need to really be accurate, then subtract the tankers entering Jazan.

 

Edited by John Foote
complete the math of tankers for understanding export levels

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