An upcoming trend or an exception? Only 2014 will tell. Saudi Arabia's oil exports hit $50 billion in 2013
Saudi Arabia’s oil exports hit 2.66 billion barrels in 2013, with proceeds amounting to SR1.08 trillion, local media said quoting an economic expert. On the other hand, domestic consumption during the year stood at nearly 852 million barrels, or 24 percent of the total output, Fahad bin Juma’a was quoted by Al-Riyadh daily.
However, domestic consumption declined by an average of 2.3 million barrels per day (mbpd) during the period, he said.
The Kingdom’s oil production stabilized at 9.65 mbpd in the last two months, which kept the level of oil exports at 7.6 mbpd at the time, he added,The economic expert predicted that 2014 will be a good year for oil market following the growth of the US economy at the rate of 4.1 percent in the third quarter of 2013 and the expected 7.6 percent growth of the Chinese economy in the current year.
Based on estimates of the International Energy Agency (IEA), global demand will surge by 1.3 percent, or 1.2 million bpd, to reach 92.4 million bpd in 2014, and, meanwhile, OPEC (Organization of Petroleum Exporting Countries) production will be around 29.3 million bpd, or within its current production ceiling of 30 million bpd, he said.
The continued sanctions on Iran, whose oil exports stand at 850,000 barrels a day, and political instability in Libya and South Sudan will, collectively, boost oil prices where prices of Brent and West Texas jumped last week to $112 and $100 per barrel, respectively, he said.According to the IEA data, oil production from non-OPEC countries, led by the US Canada and Brazil, will increase to 56.5 million barrels a day by 2014, he added.