Muscat: The Sultanate’s crude oil and condensates production stood at 30,070,744 barrels during March 2019, with a daily average of 970,024 barrels.
The monthly report issued by the Ministry of Oil and Gas pointed out that the total exported quantities of the Omani crude oil during March 2019 reached 25,704,226 barrels, with a daily average of (829,169) barrels.
The Asian markets received the bulk of the Omani crude oil exports during March 2019. China remained on the top list of the largest buyers of the Omani oil exports with 81.37 per cent, comprising an increase with 0.17 per cent, compared to February 2019.
In contrast, imports by Japan and India went down by 2.77 per cent and 2.47 per cent respectively to stood at 3.88 per cent and 5.44 per cent respectively of the total exported quantities. Tanzania returned to buy the Omani crude oil, registering (1.56 per cent) of the total exported quantities during March 2019.
The crude oil prices witnessed a decline during March 2019 futures trading (May 2019 Delivery) compared with February 2019 for the major crude oil benchmarks around the world.
The average price for West Texas Intermediate crude oil at the New York Mercantile Exchange (NYMEX) reached USD 58.40 a barrel, an increase by USD 3.18 compared with February 2019 trading. The average price for North Sea Brent mix at the Intercontinental Exchange (ICE) in London stood at USD 67.3 per barrel, an incline by USD 2.60 compared with February 2019.
The average price for Oman Crude Oil Future Contracts at the Dubai Mercantile Exchange (DME) witnessed a price hike by 3.9 per cent compared with previous month. The official selling price for Oman Crude Oil during March 2019, for the May Delivery 2019, settled at USD 66.98, an increase by USD 2.50 compared with April Delivery 2019 prices. The trading price ranged between USD 68.31 per barrel and USD 65.30 per barrel.
The high price of crude oil during March 2019 is attributed to several factors that directly affected prices. Power outage on wide scale in Venezuela reduced the supply in the market as it has disrupted crude exports from a member state in the Organization of Petroleum Exporting Countries (OPEC), as well as its shipments reduced by sanctions imposed by the United States (US).
Prices were also supported by the continuation of the OPEC and its allies' agreement to cut production for six months starting from January 2019. It has pledged to cut production by 1.2 million barrels per day since the beginning of the year to shrink surplus and to support prices. Furthermore, continued decline in the number of US oil drilling platforms considered an initial indication of the volume of production in the future. --
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