Crude Oil - Balance of power

Production and Consumption centers of crude oil

The United States and The EU account for 43% of the world demand. Russia and Saudi Arabia account for 23% of the production.

Data source: CIA website

The consumption is heavily skewed towards developed countries. The USA, Japan, The EU, Korea, China and India are heavily dependent on imports since the demand far outstrips the domestic production. Saudi Arabia, Russia, Iran, Mexico and Venezuela are the leading producers with a very significant part of their produce being available for exports. Asia is also the region which is experiencing the fastest growth on the back of rapid economic development of several countries including two large economies India and China.

Key players in International Trade of crude

Apart from Russia, most of the leading exporters are OPEC nations. The US, The EU, Japan, China, Korea and India are the leading importers

Data source: CIA website

The EU figures in the above list, because it consists of several countries trading amongst themselves. Norway is the most significant exporting nation in Western Europe. Most of the leading exporters are part of OPEC. China, India and Korea have emerged as significant importers and their import requirements are growing fast.

Proven Reserves of Crude oil

Seven OPEC nations control 62% of the world’s proven resources

Figures in Billion barrels

Data source: CIA website

62% of the world’s proven reserves are controlled by Saudi Arabia, Iran, Iraq, UAE, Kuwait, Venezuela and Libya. Saudi Arabia alone controls 20%, and Iran and Iraq account for 18.5% together, while UAE and Kuwait account for another 15% together.