BASRA: Iraq’s southern oil exports averaged 1.821 million barrels per day (mbpd) in September, down from 2.308 million bpd in August due to ports maintenance, Iraqi oil officials said yesterday.
Iraq started maintenance at Basra Oil Terminal on September 11, closing two of its four berths, and oil Officials with Iraq’s state-run South Oil Company (SOC) said the work would continue for a month.
“Maintenance work and installing new meters have temporarily lowered September exports from the south. Work should end by mid-October to restore normal exports level,” an official with SOC said.
Lowered crude shipments from Iraq, OPEC’s second-largest producer, and stumbling Libyan oil production could raise more concerns among buyers of extended outages.
The work is partly designed to increase export capacity and help Iraq maintain its position as the second-largest producer in the Organization of the Petroleum Exporting Countries.
Opec supply has averaged 30.07mbpd, down from 30.32mbpd in August, the lowest in two years because of work at Iraq’s main export outlet, a survey found.
“Upgrading the southern ports is very essential to absorb the expected increase of production from the southern oil fields by end this year,” a senior oil official close to the maintenance operations said.
Iraq has sent mixed messages about the impact of the maintenance on supplies. An official from the South Oil Co said it would cut shipments by up to 500,000bpd, although other sources have said the drop would be less.
Reuters
