Arab News, Tue, Mar 19, 2024 | Ramadan 9, 1445
Saudi Arabia’s crude production rose to 8.96 mbpd in January: JODI
Saudi Arabia:
Saudi Arabia’s crude production increased by 12,000 barrels per day in January
to 8.96 million bpd, representing a monthly rise of 0.22 percent, a study
showed.
According to the latest report by the Joint
Organizations Data Initiative, the Kingdom’s crude exports in January declined
by 11,000 bpd to 6.29 mbpd, signifying a 0.17 percent dip compared to December.
Saudi Arabia’s decline in crude exports is
attributed to the Kingdom’s decision to reduce oil output, aligned with an
agreement by the Organization of the Petroleum Exporting Countries, and its
allies, known as OPEC+.
To maintain market stability, Saudi Arabia had
reduced oil output by 500,000 bpd in April 2023, which is now extended until the
end of December 2024.
The Kingdom also pledged an additional oil output
cut of 1 million bpd in July, which continued until the end of December 2023.
Moreover, the government had recently instructed
Saudi Aramco to halt its oil capacity expansion plan, aiming for a maximum
sustained production capacity of 12 million bpd, which is 1 million bpd below
the stipulated target announced in 2020.
On the other hand, the Kingdom’s direct burn of
crude, involving the utilization of oil without substantial refining processes,
increased only slightly by 5,000 bpd in January, representing a 2 percent rise
compared to the preceding month.
The total direct burn for the month amounted to
308,000 bpd, the report noted.
On the other hand, Saudi Arabia’s product
inventories fell by 3 million barrels in January while its crude inventories
rose by 2.6 million barrels.
JODI further noted that crude production in the US
decreased by 321,000 bpd to 12.9 million bpd in January.
Similarly, crude exports of the US also declined
by 386,000 bpd to 4.14 million bpd.
Additionally, US crude imports also dipped by
74,000 bpd in January.
However, India’s crude imports rose by 367,000 bpd
to the second highest level on record, JODI added.
India’s total product demand also rose by 8,000
bpd month on month in January to a 10-month high.
The report revealed that Japan’s crude imports
fell by 270,000 bpd in January, while the country’s product demand declined by
312,000 bpd to a five-year low.