Iraq says OPEC+ commitment to output target helped absorb excess oil supply

The commitment of the OPEC+ group of oil exporting nations to output targets have contributed to absorbing an excess of supply in the market, Iraq’s state-news agency cited the Oil Ministry as saying on Friday, Reuters reports.

The assessment made by the Iraqi Oil Ministry of an excess in oil supply appears to aim to alleviate global concerns of energy supply disruptions caused by Russia’s invasion of Ukraine, which Russia calls a “special operation”.

It may be interpreted as a sign that Iraq wants the Organisation of Petroleum Exporting Countries and its allies to stick to production targets and not to increase output.

Iraq pumped 4.15 million barrels per day (bpd) of oil in March, 222,000 bpd short of its production quota under an agreement with other OPEC+ producers, according to state-owned marketer data.

READ: OPEC+ set for only slight output target increase despite Ukraine – sources