Basra Oil Exports to Hit 20-mth Low

Bloomberg reports that Iraq plans to reduce its exports of Basra Light crude from the Persian Gulf in September to the lowest in at least 20 months.

Iraq will ship about 52.86 million barrels, or 1.76 million barrels per day (bpd), from al-Basra Oil Terminal (ABOT) (pictured), according to a loading program obtained by the news agency. This is the lowest since at least February 2012 when Bloomberg started tracking the data and compares with 2.09 million bpd in August.

Shipments were forecast to drop by about 500,000 bpd in September because of planned infrastructure work at the terminals by State Oil Marketing Organization (SOMO), the International Energy Agency (IEA) said in its monthly report on 9th August:

Volumes will be curtailed only in September but the fear is the shut-in could drag on for months given the scope of the work as well as the country’s poor record of delivering projects on time.

“The plans call for one of the two floating Single Point Moorings to be shut for between 30 and 45 days so that work can proceed on connecting a newly installed metering and manifold platform.

The maintenance works are routine and won’t affect export levels, said Asim Jihad, an Iraq oil ministry spokesman.

The shipping schedule comprises 20 cargoes of 2 million barrels each, 10 consignments of 1 million barrels and four of 715,000 barrels.

(Source: Businessweek)

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