Saudi Arabia’s crude oil exports hit a five-month low in April

Recent data from the Joint Organisations Data Initiative (JODI) has shown that Saudi Arabia’s crude oil export dropped to a five-month low in April.

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Saudi Arabia’s crude oil exports fell by 3% to 7.32 million b/d in April, hitting its lowest level in five months, JODI reports. This drop in exports came one month before the country cut production voluntarily from May.

The country’s crude oil output was 10.46 million b/d in April and inventories rose to 149.4 million bbls. Combind stocks of crude and oil products grew by 372,000 bbls to 235.5 million bbls.

Direct burning of crude oil in Saudi Arabia was at 389,000 b/d in April and domestic refineries processed 2.69 million b/d of crude, JODI reports. Exports of refined products rose by 75,000 b/d to 1.54 million b/d.

At a monthly meeting in April, Saudi Arabia and other OPEC+ countries announced voluntary production cuts that came into effect between May and December this year. Their aim was to put a floor under oil prices. Saudi Arabia pledged to reduce output by 500,000 b/d from May.

In a subsequent attempt to “stabilize the oil market”, Saudi pledged an additional 1 million b/d cut from next month. The broader OPEC+ group also confirmed that output cuts will extend into 2024.

Saudi's Aramco also raised the price of its Arab Light crude grade to Asian consumers in July to a six-month high. Asian refiners are now more likely to buy more spot cargoes from the UAE and other places than to buy Saudi oil, Reuters reported quoting traders.

By Aparupa Mazumder 

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