RIYADH: Saudi Arabia’s crude exports rose to 6.12 million barrels per day in May – up 2.51 percent compared to the previous month, data from the Joint Organizations Data Initiative revealed.
Data also indicated that the Kingdom’s crude production increased to 8.99 million bpd, reflecting a monthly rise of 0.08 percent.
Refinery crude output, representing the processed volume of crude oil yielding gasoline, diesel, jet fuel, and heating oil, surged to an almost six-year high. It increased by 17 percent compared to the previous month, reaching 3.026 million bpd, according to JODI data.
This also marked a 16 percent increase from the 2.61 million bpd recorded during the same month in 2023.
Exports for refinery oil products reached 1.22 million bpd, a 13 percent decline compared to the previous month.
The data revealed Saudi demand for petroleum products rose by 75,000 bpd to 2.355 million bpd.
As one of the world’s leading oil producers, Saudi Arabia plays a crucial role in supplying these refined products to meet global energy demands.
OPEC and its allies, known as OPEC+, agreed in June to extend most of its substantial oil output cuts into 2024, with plans to gradually phase them out in 2025.
This decision aims to support the market amid sluggish global demand growth, high interest rates, and increasing US production.
OPEC+ has implemented several deep output cuts since late 2022. The countries participating in the second round of voluntary cuts included Algeria, Gabon, and Kazakhstan, as well Kuwait, Oman, and Russia. Saudi Arabia, the UAE, and Iraq also took part.
When it came to the third round, all countries participated apart from Gabon.
OPEC+ also delayed the deadline for an independent assessment of its members’ production capacities from June 2024 to the end of November 2025. These figures will guide the reference production levels for 2026.
Direct crude usage
Saudi Arabia’s direct burn of crude oil, involving the utilization of oil without substantial refining processes, experienced a decrease of 2,000 bpd in May, representing a 0.5 percent decline compared to the preceding month. The total direct burn for the month amounted to 398,000 bpd.
Compared to May last year, direct crude usage decreased by 80,000 bpd, a 17 percent decline.
The Ministry of Energy aims to enhance the contributions of natural gas and renewable sources as part of the Kingdom’s goal to achieve an optimal, highly efficient, and cost-effective energy mix.
This involves replacing liquid fuel with natural gas and integrating renewables to constitute approximately 50 percent of the electricity production energy mix by 2030.
