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ERBIL, Kurdistan Region - Iraq in November earned a billion dollars less in oil revenues than it did in October, the country’s oil ministry announced on Sunday.
According to a statement from the ministry, Iraq in November exported over 99 million barrels of crude oil at an average rate of 3.3 million barrels per day and an average price of $82.4 per barrel.
The country’s total revenue from oil exports in the month was over $8.2 billion, falling nearly a billion short of October’s $9.25 billion revenue.
The drop in the country’s oil revenue comes despite the country claiming to have taken advantage of OPEC+ production cuts by maintaining export levels and increasing revenue.
“Iraq did not reduce its exports according to this reduction, but rather reduced domestic production and invested in the rising prices by stabilizing the export rate, a strategy that succeeded in achieving high financial revenues," deputy general manager of the Iraqi National Oil Marketing Company (SOMO) Saadoun Mohsen told Iraqi state media late last month.
The ministers from the 13-nation OPEC group and Russian-led exporters met in Vienna last month and agreed to cut oil production by two million barrels per day starting from November.
The OPEC+ decision to cut oil production was largely criticized by the US, who relies mainly on oil imports to heat the country and wants to keep global prices low.
Oil prices increased amid shortfall fears following Russia's invasion of Ukraine in February, with the US repeatedly urging members of the oil cartel to increase their oil production in an effort to balance the market.
The Iraqi government depends on oil revenues to pay the salaries of civil servants and cover the costs. The country’s economy is once again booming as oil prices are increasing globally despite suffering in much of 2021 due to record low oil prices.
According to a statement from the ministry, Iraq in November exported over 99 million barrels of crude oil at an average rate of 3.3 million barrels per day and an average price of $82.4 per barrel.
The country’s total revenue from oil exports in the month was over $8.2 billion, falling nearly a billion short of October’s $9.25 billion revenue.
The drop in the country’s oil revenue comes despite the country claiming to have taken advantage of OPEC+ production cuts by maintaining export levels and increasing revenue.
“Iraq did not reduce its exports according to this reduction, but rather reduced domestic production and invested in the rising prices by stabilizing the export rate, a strategy that succeeded in achieving high financial revenues," deputy general manager of the Iraqi National Oil Marketing Company (SOMO) Saadoun Mohsen told Iraqi state media late last month.
The ministers from the 13-nation OPEC group and Russian-led exporters met in Vienna last month and agreed to cut oil production by two million barrels per day starting from November.
The OPEC+ decision to cut oil production was largely criticized by the US, who relies mainly on oil imports to heat the country and wants to keep global prices low.
Oil prices increased amid shortfall fears following Russia's invasion of Ukraine in February, with the US repeatedly urging members of the oil cartel to increase their oil production in an effort to balance the market.
The Iraqi government depends on oil revenues to pay the salaries of civil servants and cover the costs. The country’s economy is once again booming as oil prices are increasing globally despite suffering in much of 2021 due to record low oil prices.
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