International Organization
OPEC increases oil production in September
- OPEC's crude oil share of total global production was 34.6 percent in September

OPEC crude oil production increased by 220 thousand barrels per day (b/d) to 3.39 million b/d in September, according to the organization's Wednesday report.

Global oil supply surged by 1.46 million b/d to average 96.4 million b/d in September.

"The increase of both non-OPEC supply, including OPEC NGLs (natural gas liquids), by 1.24 million barrels per day (mb/d) and OPEC crude oil production by 0.22 mb/d in September increased global oil output," OPEC's Monthly Oil Market report says.

The share of OPEC crude oil stood unchanged at 34.6 percent of total global production in September compared to August despite a rise in OPEC's oil production, the report shows.

According to the organization, last month "Crude oil output increased mostly from Iraq, Nigeria and Libya, while production in Saudi Arabia showed the largest drop."

Iraq raised its production level by 105 thousand b/d to 4.45 mb/d, while Iran steadily increased its production capacity, reaching 3.66 million b/d of oil in September, an increase of over 20 thousand b/d from September.

In Saudi Arabia, output showed the most decline in the group a drop of 87 thousand b/d to reach about 10.49 mb/d.

On June 2, OPEC approved Gabon’s request to rejoin the organization and adjusted the figures in the report to reflect the new member's production data. Output in Gabon, the smallest producer in the cartel, dropped by close to 10 thousand b/d in September to total 211 thousand b/d.

"In 2017, world oil demand growth was kept relatively unchanged from last month’s Monthly Oil Market Report at 1.15 mb/d with total global consumption assumed at 95.56 mb/d," the report reads.

Non-OPEC oil supply in 2016 is estimated to see a contraction of 0.68 mb/d, a downward revision of 70 thousand b/d, to now average 56.30 mb/d.

"World oil demand in 2016 is seen increasing by 1.24 mb/d to average 94.40 mb/d, after a marginal upward revision of around 10 thousand b/d from the September monthly oil market report, mainly to reflect the latest data," OPEC underlines.

OPEC says that positive revisions were primarily a result of higher-than-expected demand in the other Asia region, while downward revisions were a result of lower-than-expected performance from OECD America.

By Gulsen Cagatay

Anadolu Agency


12 Oct,2016