The UAE Central Bank’s quarterly review showed a slowdown in oil price growth during the fourth quarter of 2018, with an increase of 9.8% compared to 44.4% in the third quarter of 2018. On a quarterly basis, prices fell by 10.2% compared to an increase of 1% in the third quarter.
On a yearly basis, oil production rose in the fourth quarter by 13.1% compared to a 1% growth in the third quarter, averaging 3.3m barrels per day. On quarterly basis, oil production rose by 9.5% in the fourth quarter compared to an increase of 4.3% in the third quarter.
The rise came ahead of the implementation of Opec’s agreement with some independent producers in December, which aimed to adjust the growing imbalance between the global oil supply and demand in 2019, by reducing the total production by 1.2m barrels per day, as of January 2019 for an initial period of six months.
As a result, oil production in 2018 rose by 1.1%, averaging 3m barrels per day, compared with a decline of 3.9% in 2017.
This edited article first appeared in Gulf News.