BAKU, Azerbaijan, Apr.8
By Nargiz Sadikhova – Trend:
Kazakhstan will be extracting 1.97 million barrels a day of oil and other liquids in 2Q2020, Trend reports with reference to the April Short-term Energy Outlook (STEO) of US Energy Information Administration (EIA).
EIA’s March Short-Term Outlook said that Kazakhstan will be extracting 1.98 million barrels per day in 2Q2020, thus the outlook has been decreased.
EIA’s report said that Kazakhstan will be producing 2.01 million barrels of oil and other liquids per day in 2020 compared to forecast 2.02 million barrels a day in March outlook.
The EIA said that Kazakhstan has been extracting 2.01 million barrels a day in 1Q2020, and will be extracting 2 million barrels a day in 3Q2020 and 2.05 million barrels a day in 4Q2020.
EIA also said that the expected oil extraction volume of Kazakhstan in 2021 is 1.99 million barrels a day.
On the morning of March 9, 2020, Brent crude plunged 25 percent dropping to its lowest since February 2016 and recording the biggest one-day percentage declines since Jan. 17, 1991.
Trading volumes in the front-month hit record highs in the previous session after a three-year pact between Saudi Arabia and Russia and other major oil producers to limit supply fell apart on March 6, 2020.
At the end of 2018, OPEC and a number of non-affiliated countries (Kazakhstan being one of them) decided to extend the agreement on reducing oil production, which has been in force since the beginning of 2017. The countries agreed to reduce their production by a total of 1.2 million barrels per day from the level of October 2018.
A decision was passed in Vienna on July 2, 2019, regarding the extension of the agreement on the reduction of oil production by the countries of OPEC and non-members of the cartel until the end of the first quarter of 2020.
Thus, latest liabilities of Kazakhstan within the agreement were 1.843 million barrels a day.
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