Gulf oil output surges in August
Dubai, September 10, 2012
Oil output by the big three Gulf producers saw a net increase of around 400,000 barrels per day (bpd) in August from July as a sharp rise in Kuwaiti output outweighed cuts by Saudi Arabia and the UAE, sources said.
Saudi Arabia and the UAE cut their production by around 100,000 bpd in August to 9.7 million bpd and 2.7 million bpd, respectively, the sources said.
But top producer Saudi Arabia used 100,000 bpd from storage to offer crude supplies to the market of 9.8 million bpd, while Kuwait ramped up production by around 600,000 bpd to 3 million bpd in August.
In July, Saudi Arabia pumped 9.8 million bpd but put about 100,000 bpd into storage, leaving 9.7 million bpd available for all consumers.
The UAE produced 2.7 million bpd last month, down by around 100,000 bpd in July, but increased demand from Asia prompted Kuwait to raise production by around 25 per cent above July's production of about 2.4 million bpd.
Opec ministers agreed in June to a collective output limit of 30 million bpd, which implied Gulf oil producers would have to trim their output from levels in early 2012. But it remains high and Opec supply averaged 31.53 million bpd in August, up from 31.3 million bpd in July. – Reuters