Saudi oil production in June was highest in 18 months at 10.42 million barrels per day

Saudi Arabia increased its crude oil production last June by 4%, or 405,000 barrels per day on a monthly basis, to 10.42 million barrels per day, compared with 10.02 million barrels a day. bpj in May of the same year. For the analysis of the unit of the report "Economic" based on data from the Organization of Petroleum Exporting Countries "OPEC", crude oil production of Saudi Arabia in the month June is the highest in 18 months, at about 10.47 million barrels per day.

Despite high output in June, it remains below Saudi production levels The production reduction agreement, which was recorded 10.72 in November 2016 before the agreement, and the l 39; Saudi Arabia can increase production of about 2 million barrels a day, with a maximum production capacity of 12 million barrels a day.

"The company has an excess production capacity of 2 million barrels a day and can meet the additional demand for oil in case of disruption of supplies." "Aramco currently produces 10 million barrels a day and has the capacity to produce 12 million barrels a day." According to the analysis, Saudi Arabia increased its crude oil production by 3.5% in June, or 350,000 barrels per day. On an annual basis, with a production of 10.07 million barrels per day in June 2017.

OPEC members and independent producers led by Russia started early 2017, reducing their production by 1 , 8 million barrels a day, 2018.

Saudi Arabia and other members of OPEC and independent allies, including Russia, agreed last month on Ali Ze La production to reduce Dah price gains, and offset the lack of production in countries such as Libya, Venezuela and Iran after the upcoming sanctions. US sanctions on US oil exports will come into effect in November.

In its monthly report released yesterday, the International Energy Agency said that Iranian oil exports could fall by more than 1.2 million barrels a day International sanctions. "

Average daily production of Iran from crude oil, about 3.8 million barrels per day according to" OPEC ", and export volume of 2.3 million barrels. 39, analysis means that sanctions will reduce Iran's oil exports by more than half.

The agency said: "Iran's crude exports to Europe fell by 50% in June , refiners gradually stopping their purchases before the entry into force. US sanctions in November

On May 8, US President Donald Trump announced the withdrawal of an agreement limiting the Iranian nuclear program for peaceful purposes in exchange for Western sanctions.

Saudi Arabia manages the oil market

The United States, that Saudi Arabia has already returned to the management of the crude oil market again, as the international market sees it as a Petroleum product ready for use and alternative, especially in times of crisis, as the current time.

The report pointed out earlier that Saudi Arabia is able to rapidly increase its production "The role of Saudi Arabia is not new, as it l 's. has done throughout the history of the oil industry, "stressing that in September 2016, the consensus to reduce production in cooperation with independent producers to cope with the rise US oil and boost prices to recover for serum The Kingdom of Saudi Arabia welcomes the gradual increase in production in the coming months in response to calls from the United States and India to to calm prices and secure oil supplies because of the current and projected sharp declines in Venezuela and Iran.

According to some international estimates, Saudi production is expected to increase gradually over the next year to reach 12 million barrels a day, producers and consumers agreeing on the need for more oil on markets and the recent increase in OPEC.

The report says that the increase in Saudi large production has become an inevitable step required by the market using backup energy to avoid supply crises, s'. waiting to lose Iranian production because of US sanctions of about one million barrels a day. Venezuelan oil over the next few months 500,000 barrels a day, in addition to about 350,000 barrels a day Canadian oil loss due to its frequent failures.

* Economic Reports Unit