OPEC PANEL: MAINTAIN PRODUCTION VOLUME
The Organization of Petroleum Exporting Countries' ministerial monitoring subcommittee recommended Aug. 10 that the current production ceiling of 23.582 million b/d be continued into the fourth quarter.
The committee, which keeps tabs on members' production volumes with regard to quotas, said OPEC members had helped cause current low oil prices, although "...unwarranted speculations and misinterpretations of statements have been detrimental to the situation."
An OPEC statement said "...in order to absorb the stock overhang and return the market to a more balanced situation, the current OPEC production ceiling should be maintained beyond third quarter 1993."
OPEC Pres. Jean Ping, Gabon's energy minister, plans to A?hip up support for the committee's recommendations by visiting member states before the next full ministerial meeting Sept. 25 in Geneva.
At the July meeting to agree on third quarter quotas, a rollover of the second quarter ceiling was agreed to by all members except Kuwait, which chose to raise production in line with its own strategy (OGJ, July 12, p. 28).
CURRENT PRODUCTION
Meantime, estimated oil production by OPEC members rose to an average 24.64 million b/d in July from 24.10 million b/d in June.
A large share of the added flow came from Kuwait. Middle East Economic Survey said that was expected because Kuwait considers itself quota free and is on track to reach 2.16 million b/d by September.
MEES reported Kuwait produced an average 1.9 million b/d during July.
Saudi Arabia was also said to have boosted production, to 8.15 million b/d in July. Saudi flow in excess of the 8 million b/d quota was thought to be destined for overseas storage.
Iranian oil production was estimated to have slipped 70,000 b/d to 3.62 million b/d in July, but this was still 280,000 b/d over its OPEC quota, MEES reported.
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