Abu Dhabi: The UAE’s oil output averaged 2.72 million barrels per day (bpd) in the second quarter of 2013, compared with 2.67 million bpd during the first quarter, the latest data from the International Energy Agency (IEA) shows. The Arab-Gulf country’s oil output in August, however, fell marginally to 2.72 million bpd compared to its average output of 2.75 million bpd in July, said the Paris-based IEA, which advises 28 industrialised countries on energy policy.
The IEA noted that the UAE has a sustainable oil production capacity of 2.90 million bpd and its crude supply averaged 2.69 million bpd in the first half of 2013. The UAE’s average oil output in 2012 was 2.65 million bpd, according to the IEA.
Officials at the UAE’s Ministry of Energy were not immediately available to comment on the IEA’s figures.
Abu Dhabi accounts for more than 90 per cent of the UAE’s crude oil output, the bulk of which is exported. The UAE intends to increase its oil production capacity to 3.5 million bpd by 2020 to help meet the rising global demand.
The official selling price (OSP) of Abu Dhabi’s four crude oil grades averaged $110.73 (Dh404) a barrel in August, higher than $106 a barrel in July. Lower supply from some of the oil producing countries drove international crude prices higher last month.
In August, the official selling price of the emirate’s most popular crude oil grade — Murban — was $111.70 a barrel, up from $106.85 a barrel in July, while Lower Zakum’s price was $111.50 a barrel last month, as per the data. The official selling price of Umm Shaif crude oil grade in August was $111 per barrel and that of Upper Zakum crude was at $108.70 a barrel.
To raise Abu Dhabi’s oil output, the Abu Dhabi Marine Operating Company (Adma-Opco), which is majority-owned by the Abu Dhabi National Oil Company (Adnoc), plans to invest at least $10 billion (Dh36.7 billion) in developing two offshore fields to boost the firm’s capacity by 60 per cent. Adma-Opco recently said that it plans to boost its output by 400,000 barrels a day to almost 1 million barrels a day by 2020.
The offshore oil and gas unit of Adnoc previously had said it planned to reach this target by 2017.
As per the plan, Adnoc will spend $40 billion on crude, natural gas, petrochemical and refinery projects from 2010 through 2014. Gas projects under construction account for $25 billion of that.
Abu Dhabi aims to start producing about 500 million cubic feet a day of sour gas in 2014 from a $10 billion venture with Occidental Petroleum Corp at its onshore Shah field. The Shah field is located 210 kilometres south-west of the capital.
