The coronavirus pandemic and global economic recession had a limited overall impact on Oman’s total petroleum production volumes this year as the sultanate sharply boosted its condensates output during the last three quarters of 2020.
Oman’s total oil production decreased by just 1.8 per cent to 318.62mn barrels in the first 11 months of 2020 compared to 324.30mn barrels a year ago, according to the latest figures released by the National Center for Statistics and Information (NCSI).
Of the total oil output, crude oil production decreased 8.9 per cent to 256.45mn barrels in the 11 months to November, while condensates production sharply rose by 45 per cent to 62.17mn barrels this year against 42.91mn barrels in the same period of 2019.
The sultanate’s daily average oil production decreased by 2 per cent to 951,100 barrels per day during the January–November period of 2020 compared to 971,000 barrels per day recorded for the same period of last year, the NCSI data showed.
Oman sold its crude at an average price of US$46.5 per barrel during the first 11 months of 2020, which is 27 per cent lower compared with the average price achieved last year at US$63.9 per barrel. On Monday, Oman crude contract price at the Dubai Mercantile Exchange slightly decreased to US$51.22 per barrel (for February 2021 delivery).
In the face of the global recession triggered by the COVID-19 pandemic which impacted global energy demand, Oman’s total oil exports recorded a 7 per cent decline during the January–November period of 2020.
Total oil exports decreased to 262mn barrels during the first 11 months of 2020 from 281.8mn barrels in the same period of 2019, the NCSI data showed.
However, the demand for Oman’s crude in China, the biggest destination for the sultanate’s oil shipments, remained robust even this year despite the pandemic decimating oil demand worldwide. Oil exports to China, which purchased about 87 per cent of Oman’s total oil shipments during the January–November period of 2020, increased by 3.6 per cent to 227.65mn barrels this year compared to 219.71mn 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. Exports to Japan and South Korea fell by 88 per cent and 33 per cent to 2.6mn barrels and 5mn barrels in the first 11 months of 2020, respectively.
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