World Fuel demands are increasing day by day. OPEC is looking towards oil productions of Iraq to share the international supplies. At the same time when Iraq needs more oil exports, sectarian and political issues are increasing in the country. According to the news posted on 27th May 2013, the average oil production in May was 2.6 barrels per day.
The oil experts say that for the second highest level in OPEC Iraq needs more production capacity. On the other hand, Iraq has to meet all the export targets as per the agreed contracts with the other international oil companies in many countries. The news agency Shafaq News added more that the current shortfall in oil production is due to the recent attacks in the northern pipelines.
The statistics explain that the average production in April was 3.1 million barrels per day. In a statement Abdul Karim al Laeebi, Iraq Oil Minister has said that oil productions in June will touch 3.15 million barrels per day. According to the Federal Budget 2013 of Iraq, the share of the revenue generated by oil exports is 93% of the total budgeted revenue of the Iraq development budget.
Financial experts are anticipating that with the more oil exports, Iraq economy will grow smoothly and ultimately that would result in a good exchange rate value of the Iraqi Dinar against the United States Dollar. One could feel the export pressure as China is buying half of the total Iraq oil productions these days to fuel their energy sector.
Category: Iraq News