All 13 OPEC members – including Libya, Iran and Venezuela that are exempt from the pact – saw their collective production fall by 100,000 bpd monthly in June to 28.52 million bpd, the survey showed. Under the OPEC+ pact, OPEC-10 had a target to increase its output in June by 275,000 bpd. Instead, they increased production by just 20,000 bpd.
Saudi Arabia, the United Arab Emirates (UAE) and Kuwait raised their combined output by 130,000 bpd in June, a Reuters survey of shipping data providers and sources in OPEC and oil companies showed.
But even Saudi Arabia, OPEC’s biggest producer and the world’s biggest crude exporter, pumped more than 100,000 bpd below its quota, the survey found.
Saudi Arabia’s target for June was 10.663 million bpd.
In June, Libya – which is not part of the OPEC+ deal – saw the biggest output drop, followed by Nigeria, where production is estimated to have fallen between 80,000 bpd and 100,000 bpd last month.
Production and exports from Iraq, OPEC’s second-biggest producer, also fell, according to a Reuters survey.
This survey and other shipping data suggest that OPEC continues to underperform its collective production target and supply to the market is well below the nominal monthly increases OPEC+ has claimed to be making.
In May, OPEC+ was estimated to be 2.695 million bpd short of its overall production target due to Western sanctions on Russia and capacity constraints at many other producers unable to draw quotas.
Earlier this week, OPEC+ confirmed an output increase of 648,000 bpd for August, effectively reversing all of the cuts it began in May 2020 in response to the demand crash.
By Tsvetana Paraskova for Oilprice.com
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