The past few days have been busy ones in the Middle East oil and gas sector, as Saudi Arabia reveals its oil output has remained steady, Kuwait has discovered the world's second-largest oilfield contains more oil than estimated, Conoco has withdrawn from the Yanbu project and Rumaila production is to increase.
April remains oil steady for Saudi
Oil pumping for Saudi Arabia remained steady in April, as there was little change from March. The world's top oil exporter is currently pumping around 8.05 million barrels per day (bpd), a senior Gulf OPEC delegate said.
The stable production indicates the kingdom has yet to respond with an increase in supply to oil prices that have moved above the US$70 to US$80 a barrel mark that OPEC's biggest producer has pegged as fair for consumers and producers, the article Saudi oil output steady; muted response to higher oil, states.
Top oilfield boost for Kuwait
A statement coming out of Kuwait states that the world's second-largest oilfield contains more oil than it was previously estimated.
OPEC-member Kuwait is the world's fourth-largest oil exporter, and sits on around eight percent of global reserves. The Greater Burgan area is second only to Saudi Arabia's Ghawar oilfield in size, according to US government data.
Conoco withdraws from Yanbu project
It has been revealed that Conoco has withdrawn from the Saudi Aramco Yanbu project. Saudi Aramco today confirmed that it had received a formal written notice from ConocoPhillips of its withdrawal from the new export refinery project to be built at Yanbu on Saudi Arabia's Western Red Sea coast.
Saudi Aramco stated that while regretting ConocoPhillips' departure from the Project, it was evaluating options to progress the Yanbu Project.
Now, Saudi Arabia has asked for more time from bidders to deal with the refinery after Conoco pulled out. Aramco indicated on Wednesday it would build the 400,000 bpd plant despite Conoco's withdrawal, and industry sources said the Saudi firm was already talking to new partners.
"They need more time to assign the contracts, they need to be sure the proposals are still valid with the same conditions, the same prices," said one source on condition of anonymity to Reuters in the story Aramco extends Yanbu bid process after Conoco exit
Contracts would now be awarded in July at the earliest if the project goes ahead, the source said.
Rumaila production boost
China National Petroleum Corp (CNPC) and BP who last year signed a 20 year service agreement for the Rumaila oilfield in Iraq are set to increase crude oil production from the field by 10 percent by the end of this year.
The firms are contracted to nearly triple the production of the oilfield, which accounts for 40 percent of Iraq's current output of 2.45 million barrels per day. The field has proven reserves of up to 20 billion barrels.
Like this article? Get the RSS feed: