Bahrain Takes $300mn Oil Revenue Hit From Abu Safah Outage

A cut in crude volumes supplied by neighboring Saudi Arabia means Bahrain’s liquids exports took a Q1 hit, likely trimming export revenue by $300mn.

Bahrain’s crude and condensate output has bounced back after a December slump that extended into February 2018. The fall was down to a more than 50% fall in output from the Saudi-operated Abu Safah field, from which Bahrain is allocated half the crude produced.

Abu Safah provides Bahrain with around 80% of its “production” and so the drop-off has a substantial impact on total output. Abu Safah crude is exported from Saudi Arabia’s Ras Tanura terminal with Bahrain marketing Arab Medium cargoes equivalent in volume to its output share. Having fallen to 77,000 b/d in December, Bahrain’s share of Abu Safah output was back up above 160,000 b/d in March according to the latest data (see chart 1). (CONTINUED - 941 WORDS)


chart 1: Bahrain Crude & Condensate Output Rises Back Above 200,000 B/D In March Following Abu Safah Outages ('000 B/D)
chart 2: Bahrain Refined Products Exports Fall On The Back Of Lower Saudi Crude Imports (‘000 B/D)