Non-OPEC crude oil production outages
Non-OPEC (Organization of the Petroleum Exporting Countries) crude oil production outages rose by 95,000 bpd to 0.475 MMbpd (million barrels per day) in February 2016—compared to January 2016. It’s 83% more than 0.259 MMbpd in February 2015, according to the EIA’s (U.S. Energy Information Administration) sources.
OPEC’s crude oil production outages
The EIA also added that OPEC’s crude oil production outages rose by 0.359 MMbpd to 2.2 MMbpd in February 2016—compared to January 2016. The EIA reported that Iraq’s crude oil production outage rose by 0.250 MMbpd to 0.350 MMbpd in February 2016—compared to January 2016. OPEC’s monthly report showed that Iraq’s crude oil production fell by 263,000 bpd to 4.2 MMbpd over the same period.
What was the impact?
The rise in crude oil production outages is also the key driver of crude oil prices along with oil producers’ meeting—covered in the first part of the series. The recent surge in crude oil prices benefits crude oil producers like WPX Energy (WPX), Bill Barrett (BBG), Bonanza Creek Energy (BCEI), and Carrizo Oil & Gas (CRZO).
The ups and downs in oil and gas prices also impact ETFs and ETNs like the iShares U.S. Energy ETF (IYE), the iShares U.S. Oil Equipment & Services ETF (IEZ), and the VelocityShares 3x Long Crude Oil ETN (UWTI).
Read the next part of the series to learn more about the US crude oil inventory.