PORT ARTHUR, Texas (Dow Jones)–Saudi Arabia is currently producing crude at a rate exceeding 10 million barrels of oil a day, the chief executive of state owned oil giant Saudi Aramco said Thursday.
Current Saudi domestic oil consumption is 2 million barrels a day, leaving the rest for exports, Saudi Aramco CEO Khalid Al-Falih said in an interview on the sidelines of the company’s unveiling of Motiva Enterprise LLC’s refinery expansion. The refinery is a joint venture between the Saudi oil giant and Royal Dutch Shell PLC (RDSA).
Production “changes day to day, but it’s over 10 million barrels right now,” Al-Falih said. He also said that there is “spare capacity able to be brought to market.”
Saudi Aramco, the world’s largest oil company, is seeing global oil supply exceed demand by up to 1.5 million barrels a day, Al-Falih added.
The executive said that Saudi Aramco will provide the 600,000 barrel-a-day Motiva refinery with 325,000 barrels of crude oil a day for the next few months as the refinery completes its unit testing. After that period, the refinery will buy crude oil from a variety of sources, he said.
-By Ben Lefebvre, Dow Jones Newswires