The March 2009 production is also in excess of 300,000 bpd above its output target set by the oil exporter group under a series of production cuts totaling 4.2 million bpd by January 2009. Under the cartel’s latest accord, Saudi Arabia was allocated a quota of 8.051 million bpd.
Saudi Arabia gave no explanation for the output increase in its report to the Riyadh-based Joint Oil Data Initiative (Jodi).
But its March 2009 production was way below its output of 9.463 million bpd in September 2008, when the oil cartel group decided to begin a series of output reductions after crude prices began crumbling under the pressure of slackening demand due to the global financial turmoil. After hitting a record high level of $147 in July 2008, prices tumbled below $40 in late 2008 before they rebounded above $60 last week.
