Oman’s average daily oil output hits 946,968 barrels in April

 The Sultanate’s average daily production of crude oil during April 2020 amounted for 946,968 barrels, the monthly report by Ministry of Oil and Gas indicated.

Furthermore, the average daily exported quantities of Oman Blend crude oil was 894,139 barrels, down by 2.41 per cent compared with last month.

Whereas the People's Republic of China’s imports from total Oman crude exports amounted for nearly 89.88 per cent, a decline of 2.32 per cent m-o-m, compared with March 2020 share. The below graph illustrates the percentages of Oman crude oil quantities imported by countries during April 2020.

Oil prices for all reference crude oil grades around the world have shown a decline during the trading of April 2020 -for June delivery 2020- compared with the trading of March 2020. The average price of West Texas Intermediate Crude Oil at the New York Mercantile Exchange (NYMEX) settled by $22.47 per barrel, a drop by $8.20 only, whereas the average price of North Sea Oil (Brent) at the Intercontinental Exchange (ICE) in London reached $26.65 per barrel a drop by $7.07 only compared with the trading of March 2020.

The average price of Oman’s Crude Oil futures contract at Dubai Mercantile Exchange similarly dropped by 32.1 per cent compared with the previous month. The monthly official selling price for Oman Crude oil for June 2020 delivery – traded during April 2020- totalled was announced to be $23.65 a barrel, lower by $11.19 compared with May 2020 selling price, whereas the daily trading price ranged between $16.82 per barrel and $29.54 per barrel.

Crude oil prices have experienced a collective decline during the trading of March 2020 due to several factors, which had a direct and negative impact on prices. The continued negative impact of the lockdown caused by the spread of Covid19 on the global economy, and on the global demand for crude oil and petroleum products. In addition, the decline in global stock markets, as well as the subsequent rise in US crude oil commercial inventories which negatively affected oil prices further.