Opec July output rises to 26-year high: Petrologistics

Opec crude output is up 600,000 barrels per day in July to 30.30 million bpd, the highest level since late 1979, tanker-tracking consultancy Petrologistics said on Monday. Output rose as the UAE boosted production following field maintenance, while Iraq increased exports of Kirkuk crude from the Turkish terminal of Ceyhan.
The preliminary July Petrologistics estimate pegs Opec July supply at the highest level for nearly 26 years, passing the previous highs of 30.15 million bpd in September and October last year, according to Reuters' surveys.
Opec has boosted production in an effort to raise stocks ahead of peak demand in the fourth quarter this year. Oil markets have risen amid concern that global supply and refining chains will be stretched to the limit in the fourth quarter, and may struggle to deal with any unexpected outages.
Petrologistics revised down its June output to 28.9 million bpd, from an earlier estimate of 30.05 million bpd.
The June output estimate was cut as the UAE's output had yet to recover from maintenance on some of the country's biggest fields in May, Petrologistics head Conrad Gerber said.
Those fields returned to production in July, raising the UAE's output by 400,000 bpd and accounting for most of the Opec rise, Gerber said.
Iraq's output rose 150,000 bpd to 1.95 million bpd in July, Gerber said. That rise was temporary as state oil marketer SOMO sold on crude oil in storage from the Turkish terminal of Ceyhan.
The exports had arrived through the northern pipeline from Iraq's Kirkuk fields in early June. Exxon Mobil, Total, Repsol and Tupras all lifted cargoes of the crude in early July.
There have been no substantial exports to Ceyhan since early June, so exports were seen likely to fall again in August as there is little crude to be sold, Gerber said.
"It's a one-off thing," said Gerber. "They can't do much more now."
Output edged up to 9.5 million bpd in July from the world's largest exporter, Saudi Arabia. June output was at 9.45 million bpd, Petrologistics estimated.