Iran
Oil production in the Middle East plummeted in March as the US-Israel war against Iran raged on.
Traffic through the Strait of Hormuz – one of the world’s most important oil routes – has been virtually closed since the conflict began at the end of February. That’s choked crude oil exports and forced some of the region’s top producers to cut output.
According to a new report from the Organization of Petroleum Exporting Countries, or OPEC, crude oil production by its members has dropped by 27 percent month on month to less than 21 million barrels a day.
Iraq, Saudi Arabia, Kuwait, and the United Arab Emirates recorded the steepest production decline.
Iraq said on Monday that its crude oil exports plummeted to about 18.6 million barrels in March, a sharp decline from about 99.9 million barrels the month before.
According to the report, Iranian crude oil production declined slightly, with other OPEC members, including Algeria, Libya, and Gabon showing a similar trend. In contrast, Nigeria’s production has increased.
OPEC has cut its forecast for world oil demand in the second quarter by half a million barrels per day due to the impact of the war. However, its growth forecast for global oil demand for 2026 is unchanged, forecasting an increase of 1.4 million barrels per day.
The organisation said the current weakness in demand will be compensated for in the third and fourth quarters of the year.
You may also like
From the same country
