Abu Dhabi: The UAE in June had the highest quota compliance with the Organisation of Petroleum Exporting Countries' (Opec) re-adjusted quota for member countries, latest data from the International Energy Agency (IEA) shows.
"Opec's largest producer Saudi Arabia pumped 200,000 barrels per day (bpd) above target, with compliance just over 90 per cent, second only to the UAE at 95 per cent," said the IEA, which advises 28 industrialised countries on energy policy in its oil market report. "UAE production fell by 20,000 bpd to 2.29 million bpd in line with lower June contract allocations.
"Supplies are expected to rebound in July after state-run Adnoc [Abu Dhabi National Oil Company] eased curbs on contract allocations for Asian buyers.
"Supply allocations for Murban, the UAE's primary export crude, were reduced to just 3 per cent below contract volumes in July versus a 12 per cent discount in June. Adnoc tightened allocations again for August liftings," said the IEA.
Meanwhile, the average official selling price of Adnoc's crude oil grades averaged $74.11 (Dh272.17) a barrel in June, extrapolated data from oil figures from Adnoc revealed.
"The price of oil could go as high as $110 a barrel by the end of 2011. The world's oil demand is growing while the supply isn't keeping pace with rising demand.
"So, the market clearing price of oil has to increase," Dalton Garis, Associate Professor of Economics and Petroleum Market Behaviour told Gulf News by telephone.