Report: Iraq’s violation of its commitment to OPEC exports is caused by Kurdistan’s failure to comply
14:00 - 05/10/2020
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A report for the (S&P Global) website concerned with economic affairs revealed that [You must be registered and logged in to see this link.] oil exports rose in September by 1.3 percent compared to August, which exceeds its OPEC quota, due to the increase in Kurdistan region’s exports according to official ministry figures and export data for a report issued For local shipping agents for the Turkish port of Ceyhan.
"The data showed that the second largest oil producer in OPEC witnessed a rise in exports to 3.063 million barrels per day in September from 3.023 million barrels per day in August, which is the lowest export rate since March of 2015." .
He added that “ [You must be registered and logged in to see this link.] Oil Ministry data [You must be registered and logged in to see this link.] It showed that “exports included 2.613 million barrels per day under the auspices of the federal government, up from 2.597 million barrels per day in August, and 450 thousand barrels per day from the Kurdish region, which is 5.6% more than the month of August of 426 thousand barrels per day, according to the shipment report. “.
He continued that “Iraqi officials, including Deputy Prime Minister Ali Allawi, accused the Kurdistan Regional Government of failing to adhere to OPEC cuts, which prompted the federal government to compensate for the excess production in the semi-autonomous region, while the regional government denied accusations that it did not adhere to the cuts in a statement issued on September 24. “. According to the report, he
continued, “ [You must be registered and logged in to see this link.] They had agreed to share OPEC production cuts equally, but figures released by the state-owned SOMO show that the Kurdistan Regional Government achieved only 79% of compliance with its quota in August, while the federal government reached 102%, according to official data released on September 9. Urging [You must be registered and logged in to see this link.] which increased production between May and July, to pledge compensation for its non-compliance by implementing additional cuts of 400,000 barrels per day in August and September, which will not happen.
The report added that "SOMO data that [You must be registered and logged in to see this link.] reduced its crude oil production in August to 3.578 million barrels per day, but it remained higher than 3.404 million barrels per day, which is the number it pledged under the OPEC + supply agreement during that month."
The report noted that " [You must be registered and logged in to see this link.] It achieved 3.167 billion dollars from last September's sales, selling its oil at an average price of 40.407 dollars a barrel, compared to 3.49 billion dollars in August at 43.384 dollars a barrel. End / 25 z