Simultaneous Increase in Oil Exports from Iran, Iraq, and Saudi Arabia

Reports indicate that oil exports from Iran, Iraq, and Saudi Arabia have increased simultaneously, with all three countries boosting their production. According to a Bloomberg report on May 18, as oil exporters compete for their share in international markets, Saudi Arabia's oil sales have reached their highest level since November 2005. The agency cites statistics from the Joint Organizations Data Initiative, stating that Saudi daily oil exports in March reached 7.9 million barrels, an increase of 548,000 barrels per day from the previous month. The report also mentions that Iraq's crude oil exports have reached 2.98 million barrels per day, the highest since January 2007. Bloomberg reports that for the eleventh consecutive month, OPEC member countries have produced above the agreed ceiling of 30 million barrels per day. The report adds that since the last meeting of the 12 OPEC members, competition with Latin American, North American, and Russian countries for a larger share in Asian markets has intensified. The next OPEC meeting is scheduled for June 5, less than three weeks away, in Vienna. Data from the Joint Organizations Data Initiative indicates that Saudi oil production in March reached 10.29 million barrels, up from 9.64 million barrels per day the previous month, marking the highest production level since January 2002. Iran, which due to international sanctions has only been able to export about one million barrels of crude oil daily in recent years, increased its daily exports to 1.23 million barrels in January and 1.3 million barrels the previous month. Iran and six world powers reached an agreement on the framework of the comprehensive nuclear deal early last month and are working to finalize this agreement by the end of next month. The increase in Iran's oil exports comes as Roknoddin Javadi, CEO of the National Iranian Oil Company, stated on Monday at the Asia Oil and Gas Conference in Kuala Lumpur that Tehran hopes its crude oil exports will return to pre-sanction levels within three months after the nuclear agreement with the P5+1 countries is finalized. He expressed optimism that Iran could achieve daily exports of about 2.5 million barrels within three months. Meanwhile, OPEC's latest monthly report, published on May 12, predicted that the demand for OPEC oil in global markets this year would be around 29.3 million barrels, while OPEC members' production last month reached 30.843 million barrels per day.