In the face of the global economic recession triggered by the coronavirus pandemic, Oman’s oil exports have recorded a 5.6 per cent decline during the first ten months of 2020.
However, the demand for Oman’s crude in China, the biggest destination for the sultanate’s oil shipments, remained robust during the January–October period of this year, despite the pandemic decimating oil demand worldwide.
The sultanate’s total oil exports dropped to 238.7mn barrels in the first ten months of 2020 in comparison with 252.9mn barrels recorded in the corresponding period of last year, according to the figures released by the National Center for Statistics and Information (NCSI).
The oil exports to China, which purchased about 88 per cent of Oman’s total oil shipments during the January–October period of 2020, increased by 8.9 per cent to 210.1mn barrels this year compared to 192.8mn barrels in the same period of 2019.
While Oman’s oil exports to China rose this year despite the pandemic and weak global demand, exports to other countries sharply fell during the first ten months of the year. Exports to Japan and South Korea fell by 87 per cent and 33 per cent to 2.6mn barrels and 5mn barrels in the first ten months of 2020, respectively.
India also purchased nearly 18 per cent less quantities of Oman crude during the January–October period at 11.3mn barrels against 13.8mn barrels in the same period of the previous year. Oman’s crude exports to other countries dropped more than 47 per cent to 9.7mn barrels.
The average price at which Oman sold its crude during the first ten months of 2020 remained 28.2 per cent lower at US$46 per barrel compared with US$64.1 per barrels achieved in the same period of 2019. On Friday, Oman crude contract price at the Dubai Mercantile Exchange increased to US$49.41 per barrel (for January delivery).
On the production side, the COVID-19 pandemic had a limited overall impact on Oman’s total oil output during the January–October period.
The sultanate’s total oil production decreased by 1.6 per cent to 290.4mn barrels in the first ten months of 2020 from 295.1mn barrels in the same period of 2019. Oman’s daily average oil output remained 1.9 per cent lower this year at 952,100 barrels per day during the January–October period as compared to 970,900 barrels per day in the same period of 2019, the NCSI data showed.
Of Oman’s total oil production during the first ten months of 2020, crude output fell 8.5 per cent to 234.8mn barrels while condensate production jumped more than 44 per cent to 55.5mn barrels.
© 2021 Apex Press and Publishing. All Rights Reserved.