Iran’s oil output reaches 3.64 mb/d – OPEC

Oil&Gas Materials 12 July 2016 15:12 (UTC +04:00)

Baku, Azerbaijan, July 12

By Emil Ilgar – Trend:

Iran’s crude oil production reached 3.644 million barrels per day (mb/d) in June, about 77,800 b/d more than in May, OPEC said in a monthly report published on July 12.

According to the report, Iran’s June oil output was 0.8 mb/d more than the 2015 average.

OPEC’s total oil output increased significantly last month by 264,100 b/d to 32.858 mb/d month-to-month.

Crude oil output increased mostly from Nigeria, Iran, Saudi Arabia, Libya and UAE, while production showed declines in Venezuela and Iraq.

Iran’s heavy oil was sold at $44.68 per barrel last month, about $3.01 more than in May, the report said.

World oil demand growth in 2016 is expected to be around 1.2 mb/d, broadly unchanged from the previous report to average 94.2 mb/d. The initial forecast for world oil demand growth in 2017 stands at 1.2 mb/d to average 95.3 mb/d.

Demand for OPEC crude in 2016 is expected to average 31.9 mb/d, an increase of 1.9 mb/d as compared to the previous year. In 2017, the demand for OPEC crude is projected at 33.0 mb/d, a gain of 1.1 mb/d over the current year.

Non-OPEC oil supply in 2016 is forecast to show a stronger contraction of 0.9 mb/d, following a downward revision of 0.1 mb/d since the last report, to average 56.0 mb/d. This is mainly due to lower oil output from Canada in Q2 2016 due to the wildfires, as well as lower output in the US.

Non-OPEC oil supply in 2017 is projected to decline by 0.1 mb/d to average 55.9 mb/d, the report added.

OPEC estimated that world economic growth for this year was revised down to 3 percent from 3.1 percent, considering potential economic impacts from the UK’s vote to leave the EU.

Global economic growth for 2017 is forecast at 3.1 percent. OECD growth has been reduced to 1.8 percent from 1.9 percent for 2016, and stands at 1.7 percent for 2017.