Latest News Updates From Grant Smith

Abu Dhabi raised total oil production, including condensates, by 400,000 barrels a day to 5.3 million, the IEA said in a monthly report. 

Dyed diesel is sold without a motor fuels tax, and so is typically prohibited for vehicles on public roadways, confining its use to agricultural operations and other off-road purposes.  

The world faces a shortfall of 1.8 million barrels a day this quarter as “renewed hostilities and maritime disruptions” derail a production recovery in the Middle East, according to IEA.

Exports from the Gulf are below the highs reached in late June but still “considerably higher” than the levels seen between early March and mid-June, IEA estimates.

Abu Dhabi found workarounds for the Iran war and was free to pump more barrels after leaving the producer group.

Consultants and analysts gathered at OPEC’s Vienna headquarters for a technical meeting on June 1 warned that it will take many months to return to prewar operations.

More than 80 energy facilities have been damaged during the hostilities, and a recovery could take as long as two years, Fatih Birol warns.

Output collapsed by 7.88 million barrels a day to 20.79 million a day in March, driven by losses in Iraq, Saudi Arabia, the United Arab Emirates and Kuwait.

OPEC and its partners will need to provide an average of 43.45 million barrels a day in the second half of this year, considerably more than the 42.4 million they pumped in August.

Global oil demand growth will slow during the remainder of 2025 after a robust first quarter due to “economic headwinds,” the International Energy Agency said.