US Energy Information Administration says group’s net oil revenue will rise to $907 billion in 2022 before declining to $835 billion next year
Members of the Organization of the Petroleum Exporting Countries (OPEC) earned about $570 billion in net oil export revenue last year, according to data released by the Energy Information Administration (EIA) on Monday.
The group’s net revenue in 2020 increased 78% compared to 2020, when net oil export revenue totaled an estimated $320 billion the lowest revenue since 2003, the EIA data showed.
The agency attributed this increase in 2021 to a combination of increased OPEC production and higher crude oil prices during the year.
In line with the increased production targets of the OPEC+ group, OPEC’s production also rose, with total liquids production among all OPEC producers rising to 31.7 million barrels per day (bpd) in 2021 from 30.7 million bpd in 2020.
Recovering from the wounds of COVID-19 restrictions persistent throughout 2020, crude oil consumption in 2021 rose to outpace production, resulting in persistent withdrawals from global oil inventories, the EIA said.
Iran, Libya, and Venezuela, OPEC members that are not subject to OPEC+ production targets, also increased their total liquids production in 2021.
Iran’s net export revenues rose year over year by $23 billion, while Libya increased its oil revenues by $22 billion and Venezuela by $5 billion.
OPEC’s de-facto leader Saudi Arabia produced the most crude oil, accounting for the largest share of OPEC total revenue in 2021.
According to the EIA’s predictions, Saudi Arabia’s net export revenue was $184 billion, accounting for over one-third of all OPEC oil revenue in 2021.
From 2020 to 2021, OPEC’s reference basket price increased 70%.
The agency predicted that OPEC net oil revenue would increase to $907 billion in 2022, mainly due to crude oil and other liquids production increases along with rises in crude oil prices.
Citing its August Short-Term Energy Outlook (STEO), the EIA recalled that OPEC’s total liquids production will average 34 million bpd in 2022 and will further increase to 34.5 million bpd in 2023.
However, the agency forecasted a decrease in 2023 to $835 billion in line with the predicted global crude oil price declines in 2023.
According to the EIA, the oil price decrease next year will reflect global oil inventories that began to build in the second quarter of 2022 and will continue to build through much of 2023.