As Rystad Energy reports, on top of production declines in Iran and Venezuela, ongoing OPEC cuts, Urals contamination outages in Russia and maintenance in Kazakhstan, North Sea production is also facing difficulties.
Rystad Energy sees unplanned outages at Oseberg and Flotta with an overall impact of 160,000 bpd. What is more, the North Sea is heading into maintenance season.
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In addition, it is expected that North Sea oil production will drop during June, reaching the lowest level since August 2014 as Ekofisk goes into maintenance.
Namely, according to Rystad’s field level production and maintenance forecast, it expects North Sea oil production to reduce to 2.28 million bpd with 462,000 bpd lost because of outages.
Finally, turnaround activity at Ekofisk feeding fields is the main driver accounting for 230,000 bpd of the total outage for June 2019.
The oil market is in for a tight start to the summer indeed
Rystad Energy concluded.
