Global oil supply rises in June after OPEC's decision
Crude production from the Organization of the Petroleum Exporting Countries (OPEC) increased month-on-month by 180 kb/d in June to 31.87 mb/d.
According to the IEA, the growth is mainly due to higher Saudi Arabian output based on the agreement made on June 22-23 in Vienna to increase crude oil production by around 1 million barrels per day as of July 1, 2018 and adhere to 100 percent conformity level.
In June, the biggest oil production increase among OPEC countries was seen in Saudi Arabia by 430 kb/d to 10.46 mb/d.
"However, despite the Saudi ramp up, overall OPEC production was down 740 kb/d year-on-year in June due to lower flows from Venezuela, Angola and Libya," the IEA says.
Moreover, Iraq turned in the second biggest increase, with output climbing by 80 kb/d to 4.55 mb/d - the highest since the end of 2016.
The biggest loss of production within OPEC was in Libya and Venezuela, where Libya saw supply cuts of 260 kb/d down to 710 kb/d, while Venezuela’s output fell by 60 kb/d to 1.3 mb/d, down 730 kb/d on a year ago.
According to the IEA estimates, global oil demand is expected to reach 99.1 mb/d in 2018 and 100.5 mb/d in 2019.