• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 1 hour GREEN NEW DEAL = BLIZZARD OF LIES
  • 2 days How Far Have We Really Gotten With Alternative Energy
  • 7 days What fool thought this was a good idea...
  • 10 days They pay YOU to TAKE Natural Gas
  • 10 days Why does this keep coming up? (The Renewable Energy Land Rush Could Threaten Food Security)
  • 5 days A question...
  • 16 days The United States produced more crude oil than any nation, at any time.
Argentina Is Positioning Itself as a Mining Giant

Argentina Is Positioning Itself as a Mining Giant

Argentina is attracting investment in…

Zainab Calcuttawala

Zainab Calcuttawala

Zainab Calcuttawala is an American journalist based in Morocco. She completed her undergraduate coursework at the University of Texas at Austin (Hook’em) and reports on…

More Info

Saudi Aramco To Cut Crude Allocations By 350,000 In October

Saudi Aramco will cut crude allocations to its buyers by 350,000 barrels per day in October, according to an insider source who spoke to Reuters.

Saudi Arabia is required to cut production by 486,000 bpd in compliance with last November’s OPEC deal to reduce international crude supplies by 1.2 million bpd.

In Asia, supply cuts will total 1.8 million barrels, with Japan being the main target, the source added.

Supplies to the United States will fall to 600,000 bpd as well. Riyadh has been on a mission to reduce American inventories in order to solicit large crude orders from the world’s largest energy consumer.

The Reuters report comes at the heels of an OPEC report that shows the bloc has failed to cut exports to below 2016 levels. OPEC exported 25.19 million bpd of crude oil last month, the lowest since April this year, Thomson Reuters Oil Research said, but the eight-month average for the year to date was 25.05 million barrels, exceeding the average for the corresponding period of 2016, which stood at 24.85 million bpd.

“Crude oil exports from OPEC’s African members tumbled by 540,000 bpd month-on-month to below 5 million bpd after posting their highest export volumes in July since at least Jan. 2015, thereby breaking a four-month streak of rising exports,” the research unit said in a report on Wednesday.

Related: China Declares Support For Punitive Action Against North Korea

According to Kpler, three African members of the cartel actually increased their exports in August: Algeria, Angola, and Nigeria. The combined increase from these three countries exceeded 350,000 bpd.

ADVERTISEMENT

OPEC officials insist that the output cut deal is working and global supply is falling, despite export patterns. Even so, the deal might get another extension beyond March 2018, as per comments made yesterday by Russia’s Energy Minister Alexander Novak. The chance of this happening remains uncertain but the option is on the table.

By Zainab Calcuttawala for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News