• 5 minutes 'No - Deal Brexit' vs 'Operation Fear' Globalist Pushback ... Impact to World Economies and Oil
  • 8 minutes China has *Already* Lost the Trade War. Meantime, the U.S. Might Sanction China’s Largest Oil Company
  • 12 minutes Will Uncle Sam Step Up and Cut Production
  • 11 hours A legitimate Request: France Wants Progress In Ukraine Before Russia Returns To G7
  • 3 hours Danish Royal Palace ‘Surprised’ By Trump Canceling Trip
  • 34 mins China has invested btw $30 - $40 Billon in Canadian Oil Sands. Trump should put 10% tariffs on all Chinese oil exported into or thru U.S. in which Chinese companies have invested .
  • 9 hours Used Thin Film Solar Panels at 15 Cents per Watt
  • 3 hours US to Drown the World in Oil
  • 13 hours IS ANOTHER MIDDLE EAST WAR REQUIRED TO BOLSTER THE OIL PRICE
  • 18 hours Recession Jitters Are Rising. Is There Reason To Worry?
  • 5 hours Iran Is Winning Big In The Middle East
  • 3 hours Tit For Tat: China Strikes Back In Trade Dispute With U.S. With New Tariffs
  • 8 hours Strait Of Hormuz As a Breakpoint: Germany Not Taking Part In U.S. Naval Mission
  • 3 hours With Global Warming Greenland is Prime Real Estate
  • 23 hours NATGAS, LNG, Technology, benefits etc , cleaner global energy fuel
  • 8 mins Trump cancels Denmark visit amid spat over sale of Greenland
  • 8 hours Philadelphia Energy Solutions seeks to permanently shut oil refinery - sources
Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews. 

More Info

Premium Content

Oil Under Pressure As Saudis Break Key Promise

Saudi Arabia has told OPEC that it had pumped 10.07 million barrels per day in June, up by 190,000 bpd from May, and exceeding its 10.058-million-bpd production level quota under the output cut deal, Bloomberg reported on Tuesday, citing a person with knowledge of the data.

OPEC’s Monthly Oil Market Report with data for June is expected to be released on Wednesday, July 12. According to the latest currently available OPEC report with data for May, Saudi Arabia directly communicated to OPEC that its crude oil output in May was 9.880 million bpd. According to secondary sources, which the market is looking at, Saudi Arabia’s oil production in May was 9.940 million bpd.

Under the OPEC/non-OPEC deal to cut production, Saudi Arabia pledged to take 486,000 bpd off its October 2016 level output and keep production at 10.058 million bpd.

The market will be watching closely OPEC’s data on Wednesday, but it typically gives production numbers, not exports. According to ClipperData, OPEC’s exports—including those of Saudi Arabia—jumped in June, and the cartel exported more crude in June than it did in October, while total global crude exports are over 10 percent higher than year-ago levels. Related: Will Oil Inventories Continue To Fall Over The Summer?

Talk of Saudi Arabia telling OPEC that it had exceeded the output limit comes at a time when oil market sentiment is gloomy and bearish amid concerns over rising supply from the U.S.—and from OPEC’s Libya and Nigeria, which are exempt from the cuts. In addition, market patience is wearing thin, with global inventories still higher than the five-year average, pointing to the fact that OPEC cuts have not effectively erased the glut as the cartel had expected.

At 11:09am EDT on Tuesday, WTI Crude was trading up 1.06 percent at US$44.87, while Brent Crude was trading up 1.07% percent at US$47.38.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play