OPEC Secretary General Says No Shortage of Oil

Posted by Eric Haun
Tuesday, June 24, 2014

OPEC is ready to pump extra oil in the event of any supply disruptions caused by Iraq and its biggest producer, Saudi Arabia, can ramp up to capacity if needed, oil officials said on Tuesday.

For now the market is well-supplied and prices above $114 a barrel are the result of market nervousness, OPEC Secretary General Abdullah al-Badri said.

An official from Saudi Arabia, the only OPEC member with significant spare capacity, said it was committed to supplying the market if needed.

Saudi Arabia, which produces around 9.7 million bpd, has the ability to pump to its full capacity of 12.5 million bpd, the official told Reuters.

"Saudi Arabia has the capability to produce up to 12.5 million bpd when the customers ask for it. The oil resources, production facilities and the management all support this," the official said.

The Organization of the Petroleum Exporting Countries earlier this month agreed to keep its output ceiling unchanged at 30 million barrels per day (bpd).

Since then, concerns that violence in Iraq could disrupt supplies have stoked volatility and driven international benchmark Brent above $114 a barrel.

Disruption in Iraq would aggravate the impact of outages in Libya, Syria and sanctions on Iran, which have already curbed production by almost 3 million bpd, or more than 3 percent of daily global demand.

Badri said he understood there was no production problem so far in Iraq. Production in the south of the country was mostly intact, he said.

"As of now what we see in the price today is not because of any shortage of supply. The market is well-supplied," Badri told reporters, adding that OECD commercial stocks stood at 57.5 days of forward demand. He declined to give a figure on OPEC's spare capacity.

Badri was speaking in Brussels, where he took part in the latest regular round of EU-OPEC dialogue, an exchange of producer-consumer views.

He also said there was no reason for now to call an emergency OPEC meeting, although the producer group was willing to step in if needed.

(Reporting by Barbara Lewis in Brussels and Rania El Gamal in Dubai; additional reporting by Jan Strupczewski and Julia Fioretti in Brussels, editing by William Hardy)

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter January 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Tanker Trends

EU Pulls Plug on Back-Up Nav System

A British-led initiative to create a back-up to satellite navigation systems for ships has been pulled after failing to garner interest from other European countries,

IOCs Stress on OSV Fuel Management Performance

Growing insistence by international oil companies (IOCs) that oilfield contract vessels (OSVs) are fitted with fuel monitoring systems has prompted an upsurge in

Hess sells Shannon LNG Terminal

New York-based energy company Hess has sold Shannon LNG, a proposed gas-import terminal in County Kerry, Ireland’s Sunday Independent has reported.   The newspaper

Energy

Wood Group Extends North Sea Chevron Contract

Wood Group has secured an extension to continue to support Chevron Upstream Europe across four offshore assets in the North Sea. Wood Group PSN (WGPSN) will deliver

QP, Chevron Ink Offshore Moroccan Deal

Qatar Petroleum has reached an agreement with Chevron Morocco Exploration Ltd., a subsidiary of Chevron Corporation, to acquire a 30% participating interest from

IOCs Stress on OSV Fuel Management Performance

Growing insistence by international oil companies (IOCs) that oilfield contract vessels (OSVs) are fitted with fuel monitoring systems has prompted an upsurge in

News

‘Choice Alliance’ Formed to Serve BWT Market

A strategic alliance between Choice Ballast Solutions and Drew Marine has been formed to provide vertically integrated capabilities within the ballast water treatment (BWT) market.

Delegation Targets ScanMed Corridor Efficiency

International delegation in Malmö discussed future transport systems for European Ports   Discussions surrounding future transport systems were in focus when Pat Cox,

Seventh Whale Stranded Off Norfolk Coastline

A seventh whale has been reported in shallow water off the coast of Mundesley, Norfolk this morning, February 9.   A member of the Mundesley Coastguard Rescue

Logistics

Delegation Targets ScanMed Corridor Efficiency

International delegation in Malmö discussed future transport systems for European Ports   Discussions surrounding future transport systems were in focus when Pat Cox,

Grounded Giant Chinese Boxship Freed

One of the world's largest container ships has been freed from a mud bank after running aground almost a week ago near Germany's largest port of Hamburg, German authorities said on Tuesday.

EU Pulls Plug on Back-Up Nav System

A British-led initiative to create a back-up to satellite navigation systems for ships has been pulled after failing to garner interest from other European countries,

Middle East

Canada Says Lifting Some Sanctions Against Iran

The Canadian government said on Friday it was lifting some sanctions against Iran, including the broad ban on financial services, imports and exports, making Canadian

Cepsa Resumes Iranian Oil Supplies to Spain

Spanish refiner Cepsa will ship a 1-million barrel cargo of Iranian oil to its refineries, according to vessel agents' data and market players' information on Wednesday.

Wilhelmsen Ships Service: Mastering Complex Logistics

From racing boats to steel pipelines, windmill blades to massive hydraulic hammers, Wilhelmsen Ships Service (WSS) says its personnel in the Middle East can move just about anything, anywhere.

 
 
Maritime Careers / Shipboard Positions Maritime Standards Naval Architecture Pipelines Port Authority Salvage Ship Electronics Ship Repair Ship Simulators Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0871 sec (11 req/sec)