Emirates Business 24/7 reported that strong oil prices will ally with high production to boost OPEC's crude export earnings to an all time high of more than USD 1 trillion in 2012 after breaking a historical record in 2011.
The income will boost the cumulative15 year oil export earnings of the 12 nation Organization of Petroleum Exporting Countries to a whopping USD 6.7 trillion since 1998. More than half the income has been achieved during 2008 to 2012 when oil prices were at their highest level and the organization was pumping at nearly capacity.
The figures showed that OPEC earned a record high USD 1.026 trillion in 2011 when the price of the group's basket of crudes climbed to its highest averages of nearly USD 107 a barrel.
Forecasts by the Energy Information Administration of the US Department of Energy showed that OPEC's income could break a new record of around USD 1.154 trillion this year before slipping to about USD 1.117 trillion in 2013.
EIA gave no yearly income breakdown for OPEC members but its figures for the Q1 of 2012 showed Saudi Arabia, the world's dominant oil exporter earned around USD 117 billion. The UAE emerged as the second largest earner in the 42 year old OPEC with its income standing at USD 35 billion in the Q1.
EIA put the Q1 revenue at USD 33 billion in Kuwait, USD 32 billion in Nigeria, USD 29 billion in Iran, USD 26 billion in Iraq, USD 25 billion in Angola, USD 22 billion in Algeria, USD 21 billion each in Venezuela and Qatar, USD 15 billion in Libya and USD 4 billion in Ecuador.
Saudi Arabia made its highest earnings of USD 311 billion in 2011 while those of the UAE also swelled to an all time high of around USD 101 billion. All other OPEC producers also netted higher revenues last year because of the surge in crude prices.
EIA gave no reason for the higher income in 2012 but crude prices are projected to be almost equivalent or even higher than in 2011. The average price of OPEC's basket already surpassed the 2011 price as it stood at USD 110 until October 24.
OPEC is also pumping at one of its highest levels despite a sharp fall in Iran's output because of the US-led international sanctions. Production has remained above 21 million barrels per day over the past few months as Saudi Arabia has used its massive idle capacity to make up for the Iranian shortage. The Gulf Kingdom's output is now close to 10 million barrels per day.
OPEC's previous income record was set in 2008 when it peaked at USD 964 billion before it dived to USD 579 billion in 2009 because of sharp drop in crude prices. The income recovered to nearly 769 billion in 2010. OPEC's basket prices stood at only around USD 24 in 2002 before they began their steady climb in the following years. They rose to USD 28 in
Source - Emirates Business 24/7
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