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FINANCIAL NEWS
Gulf oil producers eye higher production as prices plunge
03 Nov 2015
(MENAFN) In a necessary move to keep production high and decrease costs, Gulf oil producers are postponing some field upkeep and maintenance until 2016, according to latest reports.
Ultimately, Gulf oil producers seek to retain a high yield capacity as they anticipate low oil prices next year when sanctions on Iran are lifted letting it to export more to an oversupplied market.
As far as Iran is concerned, it intends to inform OPEC in December of its strategies to increase its production by 500,000 barrels per day (bpd), as the nation’s oil minister explained in a statement.
“The non-urgent maintenance is definitely being pushed, if they shut down now they will not produce. We see huge focus on production in Qatar, Abu Dhabi and Saudi Arabia,” said an industry source.
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