SAUDI FEBRUARY CRUDE OUTPUT PUT AT 3.5 MLN BPD

  Saudi crude oil output last month fell
  to an average of 3.5 mln barrels per day (bpd) from 3.8 mln bpd
  in January, Gulf oil sources said.
      They said exports from the Ras Tanurah and Ju'aymah
  terminals in the Gulf fell to an average 1.9 mln bpd last month
  from 2.2 mln in January because of lower liftings by some
  customers.
      But the drop was much smaller than expected after Gulf
  exports rallied in the fourth week of February to 2.5 mln bpd
  from 1.2 mln in the third week, the sources said.
      The production figures include neutral zone output but not
  sales from floating storage, which are generally considered
  part of a country's output for Opec purposes.
      Saudi Arabia has an Opec quota of 4.133 mln bpd under a
  production restraint scheme approved by the 13-nation group
  last December to back new official oil prices averaging 18 dlrs
  a barrel.
      The sources said the two-fold jump in exports last week
  appeared to be the result of buyers rushing to lift February
  entitlements before the month-end.
      Last week's high export levels appeared to show continued
  support for official Opec prices from Saudi Arabia's main crude
  customers, the four ex-partners of Aramco, the sources said.
      The four -- Exxon Corp &lt;XON>, Mobil Corp &lt;MOB>, Texaco Inc
  &lt;TX> and Chevron Corp &lt;CHV> -- signed a long-term agreement
  last month to buy Saudi crude for 17.52 dlrs a barrel.
      However the sources said the real test of Saudi Arabia's
  ability to sell crude at official prices in a weak market will
  come this month, when demand for petroleum products
  traditionally tapers off. Spot prices have fallen in recent
  weeks to more than one dlr below Opec levels.
      Saudi Arabian oil minister Hisham Nazer yesterday
  reiterated the kingdom's commitment to the December OPEC accord
  and said it would never sell below official prices.
      The sources said total Saudi refinery throughput fell
  slightly in February to an average 1.1 mln bpd from 1.2 mln in
  January because of cuts at the Yanbu and Jubail export
  refineries.
      They put crude oil exports through Yanbu at 100,000 bpd
  last month, compared to zero in January, while throughput at
  Bahrain's refinery and neutral zone production remained steady
  at around 200,000 bpd each.
  

