1985
- January: Nine OPEC members adjust prices to cut gap between light and heavy crudes from $4 to $2.40 per barrel. Saudi light price cut one dollar to $28 per barrel.
- March 11–19: Iranian offensive; heavy casualties.
- May–June: "Battle of the cities" - heavy bombing from both Iran and Iraq.
- June: OPEC output falls to 20-year low of 13.7 Mbbl/d (2,180,000 m3/d).
- June: Iran begins hit-and-run raids on Iraq.
- July: OPEC loses customers to cheaper North Sea oil. More OPEC price cuts.
- Aug: Saudi Arabia links prices to spot market. Output rises from 2 Mbbl/d (320,000 m3/d) in August to 5 Mbbl/d (790,000 m3/d) in early 1986.
- Aug 15: First Iraqi air raid on Iran's main oil export terminal, Kharg Island.
- November 6: Exploratory well in Ranger, Texas, blows out, spilling 150,000 bbl (24,000 m3) of crude oil.
- December: OPEC output hits 18 Mbbl/d (2,900,000 m3/d) boosting a glut and triggering a price war.
Read more about this topic: 1980-1989 World Oil Market Chronology