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Saudi Arabia cuts oil deliveries to its customers in August by more than 0.6 million barrels per day to offset the increase in domestic consumption in the summer, while respecting its commitment to OPEC (Organization of Countries Oil exporters).

“There is a great demand for our crude oil, but we stick to our commitments to OPEC”, said the officials in Riyadh. “In order to meet OPEC’s quota while responding to domestic demand in the summer, Saudi Arabia will make major reductions in international supplies by more than 600,000 barrels per day in August”, added the officials.

Thus, exports in August will fall to their lowest level this year – to about 6.6 million barrels per day.

The crude oil deliveries to Asia in August will be reduced by about 200,000 barrels per day to 3.5 million barrels per day, while the quota to Europe will be reduced by about 70,000 barrels per day to 0.52 million barrels per day. The exports to the US will be less than 0.8 million barrels per day.

Saudi Arabia announced that OPEC production in June rose to 10.07 million barrels per day, slightly above the target of the organization, largely due to the increase in domestic demand in the summer. Moreover, the oil yields in July will be less than in June.

Saudi Arabia seeks to improve the black gold market and speed up the balancing process, expecting other manufacturers to do the same. Riyadh will continue to work in cooperation with other producers to stabilize the market and ensure that production cuts continue.

