Daily Management Review

OPEC+ countries' oil production deficit reaches record 3.58M bpd


A record 3.58 million bpd less oil than it should be is being produced by OPEC+. According to Reuters, who used data from the group of oil-producing nations, that amounts to around 3.5% of the world's consumption.

Paul Lowry via flickr
Paul Lowry via flickr
The supply shortfall of OPEC+, which results from its members' record-low daily production of 3.58 million barrels below target, is now 3.5% of the world's total oil demand, reports Reuters.

The so-called OPEC + group reported that August showed record-breaking oil supply shortage. It exceeded the 2.89 million bpd goal for July by 24%. The agency says that due to persistent underinvestment in the oil industries in Nigeria and Angola as well as the effects of Western sanctions on Russian oil output, the group of oil-producing nations is unable to reach the targets.

Nigeria's oil production in August decreased below 1 million barrels per day due to huge oil pipeline theft and a persistent lack of investment in the oil sector. Saudi Arabia and the United Arab Emirates both have a sizable amount of spare capacity that can be put into service as soon as possible.

source: reuters.com