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Saudi crude stockpiles at record high

Kuwait City - Commercial crude stockpiles in August rose to 326.6 million barrels, the highest since at least 2002

Saudi Arabia, the world's largest oil exporter, is storing record amounts of crude in its quest to maintain market share as it cut shipments.
Commercial crude stockpiles in August rose to 326.6 million barrels, the highest since at least 2002, from 320.2 million barrels in July, according to data posted on the website of the Riyadh-based Joint Organisations Data Initiative. Exports dropped to seven million barrels a day from 7.28 million.
"The fall in Saudi crude exports reflects the market reality," Mohammed Ramady, an independent London-based analyst, said on Sunday by phone. "It's normal to see this fall knowing that the market is becoming highly competitive, with many countries in Opec selling at discounts and under-pricing the Saudi crude."
Crude inventories have been at record highs since May, a month before Saudi Arabia's production hit an all-time high of 10.56 million barrels a day. The nation has led the Organisation of Petroleum Exporting Countries in boosting production to defend market share, abandoning its previous role of cutting output to boost prices.
Brent crude oil prices have slid 13 per cent this year as Saudi Arabia led Opec in boosting production to defend the group's market share amid a global supply glut. Brent futures for December settlement dropped 1.5 per cent to $49.69 a barrel in London on Monday.
Saudi Arabia cut back oil production in August to 10.27 million barrels a day from 10.36 million in July, according to the JODI data. The kingdom told Opec that it produced 10.23 million barrels daily in September. It pumped at an all-time high of 10.56 million barrels a day in June, exceeding a previous record from 1980. - Bloomberg