Saudi Arabia’s crude exports hit a five-month high at 6.34 million barrels per day in November, according to data release by the Joint Organizations Data Initiative.
The Kingdom’s crude production showed a 1.36 percent decline, to reach 8.82 million barrels per day compared to October. However, the proportion of oil exports for the month increased to 71.85 percent of the total output, marking the highest observed ratio in the previous eight months.
At the end of November, Saudi Arabia announced the extension of its voluntary crude output cuts, amounting to 1 million bpd, until the conclusion of the first quarter of 2024, in coordination with certain members of the Organization of the Petroleum Exporting Countries and its allies, known as OPEC+.
The JODI data also revealed that the output from Saudi refineries, representing processed and refined derivatives extracted from crude oil through the refining process, experienced a 0.47 percent decline compared to the previous month, reaching 2.11 million bpd.
Key components of Saudi refined oil products comprise gas diesel, primarily utilized in engines across various transportation modes and industries; fuel oil, incorporating a spectrum of heavy liquid petroleum products, which finds applications in heating, power generation, and maritime use; and motor and aviation oil, which consists of lubricants specifically formulated for internal combustion engines in both vehicles and aircraft.
Fuel oil, constituting 20 percent of the total refined oil output, rose 6.77 percent. Simultaneously, motor and aviation, making up 24 percent, saw a 4.67 percent rise. Despite this, the overall decline in refined products was driven by gas diesel, which constitutes the highest share at 45 percent, decreasing by 0.42 percent.
Saudi Arabia’s direct burn of crude oil, involving the utilization of oil without substantial refining processes, decreased by 30,000 bpd in November, representing a 6 percent decline compared to the preceding month. The total direct burn for the month amounted to 501,000 bpd.
The Ministry of Energy seeks to boost the contributions of natural gas and renewable sources as part of the Kingdom’s goal to achieve an optimal, highly efficient, and cost-effective energy mix.
This involves substituting liquid fuel with natural gas and incorporating renewables to constitute approximately 50 percent of the electricity production energy mix by the 2030.