Iran’s oil output in June falls by 26,600 bpd, OPEC says

Iran Materials 11 July 2014 16:31 (UTC +04:00)

Tehran, Iran, Jul. 10

By Milad Fashtami - Trend:

The latest report released by the Organization of the Petroleum Exporting Countries (OPEC) suggest that Iran's oil output in June decreased by 26,600 barrels in comparison to its preceding month.

Iran's current production stands at 2.731 million barrels per day.

The figure is one million barrels less than the country's production rate before the US-led sanctions.

The International Energy Agency reported on July 11 that Iran's oil exports in the first five months of the current year has been 1.1 million barrels per day averagely.

According to OPEC, Iran's current oil output is only 45,000 barrels more than the country's average production in 2013.

The average price of Iran's heavy crude in June was increased by 2.05 cents compared to May. The OPEC oil prices were also increased by 2.42 cents in general.

OPEC's total output in June stood at 29.701 million barrels per day. The sharp decrease was mostly to Iraq's 170-000-barrels cut in production. However, other countries such as Saudi Arabia increased their production to prevent further fall in the organization's total output.

OPEC expects global demand to rise by 1.13 million barrels per day and 1.21 million barrels per day in the current and next year, respectively. However, OPEC is not going to supply the mentioned figure to the market.

According to OPEC's report, the production of non-OPEC countries will rise by 1.47 million barrels per day in the current year.

Non-OPEC states' production is also expected to rise by 1.3 million barrels per day in 2015, which is more than the rise in global demand.

OPEC further estimates that demand for the organization's oil will even fall by 300,000 barrels per day in the current year, standing at 29.4 million barrels.

The total output of OPEC's 12 members in June was 500,000 barrels less than the organization's average production in 2013. The sharp fall is mainly due to Libya's cut in production from 1.5 million barrels per day to 220,000 barrels per day.