• 4 minutes Permian in for Prosperous and Bright Future
  • 7 minutes Amount of Oil Usage in the United States
  • 10 minutes America Could Go Fully Electric Right Now
  • 1 hour Something wicked this way comes
  • 12 hours Famine, Economic Collapse of China on the Horizon?
  • 4 hours Why NG falling n crude up?
  • 18 hours US after 4 more years of Trump?
  • 16 hours Oil giants partner with environmental group to track Permian Basin's methane emissions
  • 5 hours Nord Stream 2 Halt Possible Over Navalny Poisoning
  • 20 hours .
  • 3 days Daniel Yergin Book is a Reality Check on Energy
  • 2 days The Perfect Solution To Remove Conflict Problems In The South China East Asia Sea
  • 4 days Gepthermal fracking: how to confuse a greenie
  • 17 hours Top HHS official takes leave of absence after Facebook rant about CDC conspiracies
  • 4 hours .
  • 3 days Open letter from Politico about US-russian relations
The Tipping Point For Mass EV Adoption

The Tipping Point For Mass EV Adoption

Automakers and industry experts believe…

Is Wind Energy The Most Stable Renewables Investment?

Is Wind Energy The Most Stable Renewables Investment?

Offshore wind power offers great…

IEA: OPEC’s Spare Production Capacity Reaches 3.3 Million Bpd

OPEC’s spare capacity has reached 3.3 million barrels per day, according to an International Energy Agency (IEA) statement on the global oil markets released on Tuesday.

“As a result of OPEC’s high compliance rate with the agreed supply cuts in the OPEC+ group, global spare production capacity has risen to 3.3 mb/d, with 2.2 mb/d held by Saudi Arabia and around 1 mb/d by the United Arab Emirates, Iraq and Kuwait,” the IEA said in its release as oil prices reached new 2019 highs.

The Brent and WTI benchmarks were both trading up on Tuesday following the news that the United States would not extend Iran sanction waivers to purchasers of Iranian crude oil, leaving the original May 1 cutoff date firm.

The global oil markets are now adequately supplied, the IEA said, with plenty of spare capacity to make up for any gaps in oil supplies.

Iran’s April oil exports of 1.1 million barrels per day were already lower than in March. With spare capacity of 2.2 million barrels per day in Saudi Arabia, OPEC should theoretically be able to comfortably lift production to compensate for lost Iranian barrels, with Saudi Arabia currently pumping about a million less than in November 2018.

The IEA cautioned, however, that global economic growth is still fragile, and urged oil consumers and producers to “take steps to avoid higher oil prices that will prove painful to all alike.”

Global OECD oil inventories, too, are above the five-year average at 2,871 million barrels, according to the IEA. The API is due to release US crude oil inventory figures today at 4:30pm EST—a highly watched metric that traders use to assess the condition of the oil markets.

By Julianne Geiger for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

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