Iraq gives full February crude supply to three Asia, Europe buyers despite OPEC cut

(Reuters) -- Iraq, OPEC's second-largest oil producer, has given full supply allocations of Basra crude to three refiners in Asia and Europe for February, three sources with direct knowledge of the matter said on Monday.

"We didn't get any cut. What we nominated, they gave," one of the buyers said.

Iraq's State Oil Marketing Company (SOMO) could not be immediately reached for comment.

The full allocation may point to exports from Iraq's southern Basra ports remaining high after they reached a record 3.51 MMbpd in December, before an OPEC agreement to cut output took effect in January.

The Organization of the Petroleum Exporting Countries agreed to cut production by 1.2 MMbpd in the first half of 2017 to reduce global oversupply and prop up prices.

Iraq's Oil Minister Jabar Ali al-Luaibi said earlier on Monday that unprecedentedly high exports from the south would not affect Iraq's decision to lower production in January in line with the OPEC agreement, according to a ministry statement.

entire story