BAKU, Azerbaijan, Jun. 17
By Nargiz Sadikhova – Trend:
Liquids production is forecast to decline by 0.15 million barrels a day in Kazakhstan in 2020, Trend reports with reference to the OPEC’s June Monthly Oil Market Report.
The report said that preliminary liquids production in Kazakhstan fell by 0.38 million barrels a day in May month-on-month to average 1.50 million barrels a day, which also is lower by 0.14 million barrels a day year-on-year.
Actual liquids output in April declined by 0.01 million barrels a day to average 1.88 million barrels a day, the report said.
“While crude oil production declined by 380,000 barrels a day month-on-month to average 1.25 million barrels a day, NGL output remained flat month-on-month at 0.26 million barrels a day,” the OPEC report said.
The report noted that liquids production is forecast to decline by 0.15 million barrels a day to average 1.67 million barrels a day in 2020, despite the fact that, according to OPEC’s May Monthly Oil Market Report, total liquids production was forecast to decline by 0.17 million barrels a day in Kazakhstan in 2020 to average 1.65 million barrels a day.
On the morning of March 9, 2020, Brent crude plunged 25 percent dropping to its lowest since February 2016 and recording the biggest one-day percentage declines since Jan. 17, 1991.
Trading volumes in the front-month hit record highs in the previous session after a three-year pact between Saudi Arabia and Russia and other major oil producers to limit supply fell apart on March 6, 2020.
The extraordinary meeting of OPEC+ ministers was held on Apr. 12, 2020, following which the agreement to reduce oil production by 9.7 million barrels a day was signed for the period of two months starting from May 1, 2020.
Kazakhstan, in its turn, has supported the consensus in the agreement having taken the liability to decrease oil production by 390,000 barrels a day.
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