Iraq’s Oil Revenues Continue To Climb In May 2021

Oil prices have continued to climb into the spring providing Iraq with some much needed cash to cover the largest budget in its history. Despite its petroleum exports dropping in May 2021 its revenues were up.

 

In May Iraq exported an average of 2.899 million barrels a day of oil. That was down from 2.9 million barrels a day over the previous three months. Despite that its revenues reached a 16 month high of $5.882 billion. Profits have been climbing slowly since hitting a low of $1.51 billion in April 2020. That’s due to Iraq’s oil prices passing the $60 per barrel mark in February. In May its petroleum went for $65.45 per barrel up from $62.77 in April.

 

This is all good news for Baghdad. Its 2021 budget was the largest in history and so was its projected deficit. It was based upon $45 per barrel however. The prime minister’s financial adviser told the media the rising oil prices will now cover the deficit and will mean the government no longer has to borrow to cover its spending. The energy market always goes through ebbs and flows and is now on an upturn which greatly helps Iraq the most oil dependent country in the world.

 

Federal Oil Exports, Prices, Revenues 2019-2021

Month	Avg Export (Mil)	Avg Price	Earnings (Bil)
Jan 2019	3.649	$56.15	$6.367
Feb	3.621	$60.83	$6.179
Mar	3.377	$63.80	$6.709
Apr	3.466	$67.41	$7.021
May	3.572	$66.68	$7.329
Jun	3.52	$60.58	$6.372
Jul	3.566	$61.15	$6.692
Aug	3.603	$57.41	$6.413
Sep	3.576	$59.14	$6.321
Oct	3.447	$57.15	$6.121
Nov	3.5	$59.82	$6.305
Dec	3.428	$63.05	$6.698
2019 Avgs	3.527	$61.09	$6.543
Jan 2020	3.306	$60.14	$6.163
Feb	3.391	$51.37	$5.053
Mar	3.391	$32.73	$2.962
Apr	3.438	$13.80	$1.51
May	3.212	$21.00	$2.136
Jun	2.816	$33.86	$2.871
Jul	2.763	$40.70	$3.492
Aug	2.597	$43.69	$3.492
Sep	2.613	$40.40	$3.173
Oct	2.876	$38.48	$3.457
Nov	2.709	$41.77	$3.404
Dec	2.846	$47.76	$4.235
2020 Avgs	2.996	$38.80	$3.493
Jan 2021	2.868	$53.29	$4.765
Feb	2.96	$60.33	$5.013
Mar	2.946	$63.32	$5.787
Apr	2.947	$62.77	$5.549
May	2.899	$65.45	$5.882

 

SOURCES

 

Al Mada, “Governmental Adviser: The surplus of oil revenues will cover the deficit and cancel borrowing,” 5/25/21

 

NINA, “Oil Ministry: More than (5) billion dollars, the amount of exports for the last month,” 6/1/21

 

Reuters, “Iraq’s May oil exports averaged about 2.9 mln bpd 0 oil ministry,” 6/1/21

 

Xinhua, “Iraq’s crude oil exports exceed 89 mln barrels in May,” 6/1/21