Saudi Arabia Oil Production Lowest Since 1990

Saudi Arabia’s crude oil production fell by 1.9 million barrels a day to 6.238 million barrels a day in August 2026, its lowest level since 1990, as the conflict between the US and Iran intensified. Despite the steep fall in output, Saudi Arabia’s oil supply to the market reached 7.122 million barrels a day in August, exceeding production. The gap suggests the kingdom may have relied on inventories to maintain oil supplies to the market amid ongoing disruptions.

Saudi Arabia’s oil supply to the market fell to 7,763 thousand barrels per day in March 2026, the lowest since June 2020, down by 2,348 tb/d from 10,111 tb/d in February, according to OPEC data, as the Middle East conflict severely disrupted exports. Production also dropped to 6,967 tb/d from 10,882 tb/d. Similar declines were seen across the region, with Iraq’s supply falling to 1,906 tb/d from 4,140 tb/d, Kuwait to 1,200 tb/d from 2,580 tb/d, and the UAE to 1,908 tb/d from 3,390 tb/d. The six-week closure of the Strait of Hormuz has forced producers to curb output, tightening global supply. Tensions escalated further after US President Donald Trump threatened to block Iranian flows following failed talks, prompting warnings of retaliation from Tehran. OPEC cut its global demand outlook for the second quarter by 500,000 barrels per day, while maintaining its full-year forecast, with producers set to review output plans again on May 3.