By Andy Sambidge
Oil and gas ministry says production levels dropped to 27.7m barrels last month
Oman's oil and gas ministry has said that the sultanate's crude production output fell by more than four percent in June.
Its monthly report showed production levels dropped by 4.1 percent to 27.7m barrels compared to 28.8m barrels during May.
The report, cited by Oman News Agency, said total exported crude oil in June amounted to 23.3m barrels, an average of 777,483 barrels per day (bpd), up from 22m barrels or 711,779 bpd.
The Asian markets received the bulk share of the Omani crude oil exports with China topping the list in June followed by Japan.
The drop in Oman's oil output came as Brent crude prices dropped significantly last month to an average of $95.77 per barrel.
The weak US dollar, high unemployment rate, sluggish economy and worries over the EU financial crisis and oversupply of oil in the world markets were among the main reasons for the decline of oil prices.
Oman's budget surplus rose to OR1.6bn ($4.2bn) in the first five months of this year as oil revenue soared, while inflation slowed sharply, data showed on Wednesday.
The budget surplus is equivalent to about 5.7 percent of the sultanate's 2011 nominal gross domestic product, according to a Reuters calculation.For all the latest energy and oil news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.