Saudi Arabia: OPEC oil prices stabilize in recent weeks
April 9, 2015
On 9 April, the average price of the Organization of Petroleum Exporting Countries (OPEC) oil basket stood at USD 54.6 per barrel, which was virtually unchanged from the price recorded in the same day of the previous month. Oil prices have recovered some of the ground lost in the past weeks and the April reading marked a 31.6% increase over the USD 41.5 per barrel tallied on 12 January, when oil recorded the lowest price since 2009. Nonetheless, oil prices are still 47.6% below the level observed on the same day last year.
Oil prices have been volatile in recent weeks, mainly due to the Saudi-led intervention in Yemen, the successful talks between Iran and the U.S.-led group of six countries over the Iranian nuclear program, and a strong build-up of crude supply in the United States. Nevertheless, the global oil market is still oversupplied and prices are expected to remain low for an extended period of time.
According to the latest report from OPEC, Saudi Arabia’s oil production reached 9.68 million barrels per day (mbpd) in February, which was up from the 9.64 mbpd tallied in January.