• 7 minutes Does S Arabia Have 2 Mln Barrels in Spare Capacity?
  • 11 minutes Oil prices going down
  • 19 minutes Venezuela, the largest oil reserve in the world, faces deep shortages of motor oil
  • 10 hours 67.50 was the low for now, $70 - $76+ back in play
  • 10 hours EU And Japan Sign Historic Free Trade Deal
  • 9 hours Where 3 Million Electric Vehicle Batteries Will Go When They Retire?
  • 14 hours Germany: We Can No Longer Fully Rely On U.S. White House
  • 9 hours Daimler and BMW Will Beat Tesla in EV Race
  • 1 day Well from $74 we hit 67.xx now what?
  • 17 hours Chartist predicting a $1 fall, after WTI drops $10
  • 9 hours China’s Technology Sector Takes On Silicon Valley
  • 3 hours Chile Becomes The Latest Country To Commit To 100% Renewables
  • 13 hours Trump-Putin Helsinki Summit And Oil Prices
  • 1 day Rio Tinto Says $4-Million Goodbye to Coal
  • 1 day Trade War of 1930s, Extended the Great Depression
  • 1 day Kaplan Says Rising Oil Prices Won't Hurt US Economy
  • 10 hours Trump mulling releasing 5 to 30 Mill Barrels
Alt Text

Iran Threatens To Close Crucial Oil Chokepoint

Iran’s threat to close the…

Alt Text

Housing Prices Soar As Oil Boom Escalates

Though the economy is booming,…

Irina Slav

Irina Slav

Irina is a writer for the U.S.-based Divergente LLC consulting firm with over a decade of experience writing on the oil and gas industry.

More Info

Trending Discussions

OPEC Production Slumps To 12-Month Low

OPEC oil

Crude oil production across OPEC slumped by 170,000 bpd last month to 32.04 million bpd, a Bloomberg survey among energy analysts. This is the lowest daily production rate in the cartel since April 2017, when it pumped 31.9 million bpd.

Yet once again the drop was not the result of a conscious effort. Venezuela’s production continued to fall, shedding another 100,000 bpd in March, which made the struggling South American economy the main—if unwilling—contributor to the OPEC production decline. Venezuela pumped 1.51 million bpd last month, versus its OPEC quota of 1.97 million bpd. The country’s cumulative cut as of March stood at 557,000 bpd, versus a pledge cut of just 95,000 bpd.

Algeria was another contributor to the production decline, with output there falling by 40,000 bpd to 1 million bpd as field maintenance season kicked in. Libya was also an unwilling participant in the overall decline, with production there slipping below 1 million bpd on field outages.

Saudi Arabia also continued to pump less than it had pledged to, with the daily average falling by another 10,000 bpd last month to 9.87 million bpd. In comparison, Russia’s production hit the highest in 11 months in March, at 10.97 million bpd, still almost in line with its pledge to OPEC, which was for a cut of 300,000 bpd from its November 2016 average daily of 11.247 million bpd. In the United States, daily crude production averaged 10.398 million bpd in March, data from the Energy Information Administration shows.

OPEC has been upbeat about its compliance with the cuts agreed in November and December 2016, but the fact that it was Venezuela that the cartel had to thank for this compliance in large part has not gone unnoticed by industry observers. In fact, the International Energy Agency recently warned that Venezuela’s falling production could at some point tip the market into a deficit. This prospect, however, is for now remote in the face of growing production from non-OPEC producers led by the United States.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Back to homepage

Trending Discussions


Leave a comment
  • Steve on April 04 2018 said:
    So I think the real question is if OPEC is really cutting production or are we finally seeing the embedded declines of existing fields that are falling below the production quotas. This makes it appear like they are cutting production but really aren't. This may finally be a result in lack of investment in OPEC upstream operations during the past few years. This 1 MMBOPD to 2 MMBOPD of excess capacity that people think OPEC/Russia have may not really exist!!

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News