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Iraq's southern oil exports slip in January from record rate
Iraq's southern oil exports have slipped in January from a record high, according to loading data and an industry source, as shipping delays put a brake on the expansion of supplies from OPEC's second-largest producer.
Despite the dip, Iraq is still targeting an expansion of supplies in 2015, a prospect that has caused unease for some other members of the Organization of the Petroleum Exporting Countries given ample supply and oil prices at their lowest levels since 2009.
Exports from Iraq's southern terminals have averaged 2.67 million barrels per day (bpd), according to shipping data for the first 28 days of January tracked by Reuters and an industry source, down from a record rate of 2.76 million bpd in December.
The southern oilfields produce the bulk of Iraq's oil and the terminals are its main outlet to world markets. Located far from the parts of the country controlled by Islamic State, they have kept pumping despite the unrest.
But loadings at one of Iraq's single-point moorings were disrupted in January by a problem with a valve, an industry source said, slowing exports.
Flows of Kirkuk crude from the Turkish port of Ceyhan have continued in January after returning in December following a deal between Baghdad and the Kurdistan Regional Government, although the flow has declined in January, sources said.
Traders estimated Kirkuk exports from Iraq's State Oil Marketing Organisation (SOMO) have averaged 150,000 bpd in January. This, plus the southern exports, would bring pipeline exports of Iraq's main crudes to 2.82 million bpd. That is lower than December's 2.94 million bpd, a record high.
Iraq's total northern exports may be higher if crude produced in Kurdistan and being shipped to Ceyhan is included, the sources said. One source said total shipments from northern Iraq in January - SOMO plus KRG volumes - have averaged 310,000 bpd, down from 360,000 bpd in December.
"Around 150,000 bpd of Kirkuk is being pumped over as SOMO equity," said an industry source. "The remainder is KRG oil."
Kirkuk exports had been shut since March by a bomb attack, restraining total shipments in 2014. Still, Kurdistan began independently exporting crude to Ceyhan in May, angering Baghdad which claimed sole authority to ship oil from the country.
Iraq aims to push exports even higher in 2015. A loading programme schedules record southern exports in February.
Smooth progress is not certain. Iraq has missed targets in the past and bad weather, technical problems and unrest can disrupt supplies.
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Iraq's southern oil exports have slipped in January from a record high, according to loading data and an industry source, as shipping delays put a brake on the expansion of supplies from OPEC's second-largest producer.
Despite the dip, Iraq is still targeting an expansion of supplies in 2015, a prospect that has caused unease for some other members of the Organization of the Petroleum Exporting Countries given ample supply and oil prices at their lowest levels since 2009.
Exports from Iraq's southern terminals have averaged 2.67 million barrels per day (bpd), according to shipping data for the first 28 days of January tracked by Reuters and an industry source, down from a record rate of 2.76 million bpd in December.
The southern oilfields produce the bulk of Iraq's oil and the terminals are its main outlet to world markets. Located far from the parts of the country controlled by Islamic State, they have kept pumping despite the unrest.
But loadings at one of Iraq's single-point moorings were disrupted in January by a problem with a valve, an industry source said, slowing exports.
Flows of Kirkuk crude from the Turkish port of Ceyhan have continued in January after returning in December following a deal between Baghdad and the Kurdistan Regional Government, although the flow has declined in January, sources said.
Traders estimated Kirkuk exports from Iraq's State Oil Marketing Organisation (SOMO) have averaged 150,000 bpd in January. This, plus the southern exports, would bring pipeline exports of Iraq's main crudes to 2.82 million bpd. That is lower than December's 2.94 million bpd, a record high.
Iraq's total northern exports may be higher if crude produced in Kurdistan and being shipped to Ceyhan is included, the sources said. One source said total shipments from northern Iraq in January - SOMO plus KRG volumes - have averaged 310,000 bpd, down from 360,000 bpd in December.
"Around 150,000 bpd of Kirkuk is being pumped over as SOMO equity," said an industry source. "The remainder is KRG oil."
Kirkuk exports had been shut since March by a bomb attack, restraining total shipments in 2014. Still, Kurdistan began independently exporting crude to Ceyhan in May, angering Baghdad which claimed sole authority to ship oil from the country.
Iraq aims to push exports even higher in 2015. A loading programme schedules record southern exports in February.
Smooth progress is not certain. Iraq has missed targets in the past and bad weather, technical problems and unrest can disrupt supplies.
[You must be registered and logged in to see this link.]
