Crude oil exports from Saudi Arabia dipped to the lowest in over a year in the month of May as a tough recovery in energy markets.
According to the General Authority for Statistics, Saudi Arabia’s oil exports declined from 81% recorded a year ago to 74% while export receipts stood at over $19 billion in the month.
The world’s largest exporter of crude oil announced plans to prolong production cuts it started earlier in the year in order to stimulate prices amid uncertain demand given slow down in Chinese growth, the world’s largest importer of the commodity and the rest of the world.
Since the cuts, announced by both Saudi Arabia and Russia, crude oil prices have gained, but global uncertainty amid rising interest rates continues to cap the bullish run.
Brent crude oil, against which Nigerian oil is priced stood at $82.61 a barrel today, up from the $75 per barrel it averaged previously.
Meanwhile, Crown Prince Mohammed bin Salman continues to focus on the nonoil sector with plans to transform the economy and reduce the kingdom’s exposure to commodity fluctuation.
Saudi Arabia’s exports dropped by nearly 9% year-on-year to 25 billion riyals ($6.7 billion) in May.
