Survey: OPEC oil production in March experiences the largest decline in decades

ME News report, April 7 (UTC+8). Due to the Middle East conflict suppressing exports from major member countries, OPEC’s crude oil production in March saw at least the largest decline in forty years. Surveys show that OPEC’s daily output plunged by 7.56 million barrels (about 25%), to 22 million barrels. Data compiled by institutions since 1989 shows that the March output drop recorded the biggest single-month decline. This decline (measured in barrels) also exceeded the 1973 Arab oil embargo. According to Daniel Yergin’s The Oil Game, that year from October to December, the market experienced an overall loss of 5 million barrels per day, though the shock occurred in a much smaller global market. Surveys show that among OPEC member countries, Iraq—most dependent on the Strait of Hormuz—saw the largest production drop; its daily output fell by 2.76 million barrels to 1.63 million barrels. Saudi Arabia and the UAE suffered the next largest losses, benefiting from their ability to partially divert exports via alternative oil pipelines. Saudi Arabia’s daily output decreased by 2.07 million barrels to 8.36 million barrels, while the UAE’s daily output fell by 1.44 million barrels to 2.16 million barrels. Although Saudi Arabia can export via the Red Sea, oil tanker tracking shows that Saudi exports in March declined by about 50%. ( Jin4 ) (Source: ODAILY)