Oil Prices Spike As OPEC Reveals Production Loss For May

  • OPEC produced a total of 28.508 million bpd in May.
  • OPEC production fell by 176,000 bpd compared to April.
  • Nigeria and Libya saw the largest decreases in production.

Bad News for Gas Prices – Not Enough To go around for everyone

Oil Prices per barrel at 10:40am: WTI Crude • 123.5 +2.57 – Brent Crude • 125.0 +2.69

Not only did OPEC not lift its production as agreed for the month of May, its production actually decreased, according to OPEC’s latest Monthly Oil Market Report released on Tuesday.

…extra production from The Kingdom and the Emirates, however, has been offset by an even greater decline in production from Iraq, Libya, and Nigeria.

OPEC produced a total of 28.508 million bpd in May—down 176,000 bpd from April 2022.

Saudi Arabia’s directly reported production was 10.538 million bpd.

For the 10 OPEC members that had assigned quotas for May 2022 totaling 25.589 (which exclude Iran, Venezuela, and Libya), May’s actual OPEC member production was 24.541—a 1.048 million bpd shortfall from OPEC’s stated allowances.

The market reacted to the data with a rebound in oil prices.