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Market Chatter: Iraq Lifts Gulf Oil Exports as Regional Shipping Risks Persist

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Gulf crude and condensate exports held largely steady in July despite renewed regional tensions, although shipments remained roughly 40% below levels seen before the conflict began, according to a Reuters report on Wednesday.

Combined exports from Saudi Arabia, UAE, Iraq, Kuwait and Iran averaged 10.7 million barrels per day, up 2% over the month as stronger Iraqi volumes offset weaker shipments from Saudi Arabia and the UAE, the report said, citing Kpler's data.

Early July exports reached between 12 million and 13 million b/d before escalating conflict slowed shipments later in the month, according to data from Kpler and Vortexa. Reported attacks on vessels in the region rose to at least 14 in July from eight in June, according to data from the International Maritime Organization.

Nine additional very large crude carrier loadings boosted Iraqi exports in July. Kuwait raised crude production to 1.97 million b/d from about 1.65 million b/d. Saudi Aramco Chief Executive Amin Nasser said in an earnings call on Tuesday that replacing 2.6 billion barrels of lost inventories could take about 18 months, the report added.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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