Platts Survey: OPEC Pumps 29.28 Million Barrels of Oil Per Day in May

LONDON, June 9 /PRNewswire/ -- Platts -- The 12-member Organization of the Petroleum Exporting Countries' (OPEC) crude oil production output averaged 29.28 million barrels per day (b/d) in May, up 70,000 b/d from an estimated 29.21 million b/d in April, according to a just-released Platts survey of OPEC and oil industry officials and analysts.

However, excluding Iraq, which does not participate in OPEC output agreements, output from the 11 members bound by quotas (OPEC-11) fell by 60,000 b/d to 26.83 million b/d from 26.89 million b/d in April, the survey showed.

"While OPEC-11 production fell in May, it resulted in only a marginal increase in compliance with the 4.2 million b/d in output cuts agreed in late 2008," said Kevin Saville, managing editor of Platts' Americas energy news desk. "This suggests that OPEC remains mostly unconcerned with overproducing its notional output target by almost 2 million b/d, particularly when prices are holding well into the $70s/barrel."

Overall, 180,000 b/d of increases from Iraq, Saudi Arabia, Kuwait and the United Arab Emirates (UAE) more than offset 110,000 b/d in declines from Angola, Iran, Nigeria and Venezuela.

Iraqi supply, which had fallen by 130,000 b/d in April as bad weather hit exports, recovered by the same volume in May to average 2.45 million b/d.

The latest estimates show that the OPEC-11 overproduced their now largely notional 24.845-million-b/d target by 1.985 million b/d.

This target, based on output cuts totalling 4.2 million b/d agreed in late 2008, has been in place since January 2009. Compliance, which peaked at close to 82% in March 2009, was relatively high initially, but diminished as oil prices rose. The latest estimates suggest an overall compliance rate of 52.7% in May, up from 51.3% in April.

Earlier on June 9, OPEC's Vienna secretariat lowered its forecast of the call on OPEC crude this year by 70,000 b/d to 28.77 million b/d, saying supply growth had "more than overwhelmed" growth in demand and that the market had "no room for additional supplies."

OPEC ministers last met in March, when they rubber-stamped the existing agreement, and are next scheduled to meet on October 14 in Vienna.

For production numbers by country, view this table (you may be prompted for a cost-free one-time-only log in registration).

Platts OPEC and oil experts are available for media interviews; please consult Platts Media Center to schedule an interview. For other oil, energy and related information, visit Platts online at www.platts.com.

About Platts: Platts, a division of The McGraw-Hill Companies (NYSE: MHP), is a leading global provider of energy and commodities information. With a century of business experience, Platts serves customers across more than 150 countries. An independent provider, Platts serves the oil, natural gas, electricity, emissions, nuclear power, coal, petrochemical, shipping, and metals markets from 17 offices worldwide. Platts' real-time news, pricing, analytical services and conferences help markets operate with transparency and efficiency. Traders, risk managers, analysts, and industry leaders depend upon Platts to help them make better trading and investment decisions. Additional information is available at http://www.platts.com.

About The McGraw-Hill Companies:

Founded in 1888, The McGraw-Hill Companies (NYSE: MHP) is a global information and education company providing knowledge, insights and analysis in the financial, education and business information sectors through leading brands including Standard & Poor's, McGraw-Hill Education, Platts, and J.D. Power and Associates. The Corporation has more than 280 offices in 40 countries. Sales in 2009 were $5.95 billion. Additional information is available at http://www.mcgraw-hill.com/.  

SOURCE Platts

WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?

440k+
Newsrooms &
Influencers

9k+
Digital Media
Outlets

270k+
Journalists
Opted In

GET STARTED