OPEC+ keeps current oil production cut policy unchanged 

The OPEC+ alliance yesterday announced that it is keeping the current oil production cut policy unchanged, in an attempt to maintain global stability in crude oil supplies.

In a statement, OPEC stated that it will maintain the current production cut policy, which has been ongoing since November 2022, in addition to voluntary cuts by some countries that started in July 2023.

The ministerial committee of OPEC+ stated in the announcement that it has reviewed crude oil production data for January and February 2024 and noted the “high” compliance of OPEC member countries and non-OPEC countries with production quantities.

The mandatory crude oil production cut for members is around 3.66 million barrels per day, continuing until the end of this year, while voluntary cuts amount to 2.2 million barrels per day, continuing until June next year.

The committee welcomed Iraq and Kazakhstan’s commitment to full compliance and compensating for excess production, as well as Russia’s announcement that its voluntary adjustments in the second quarter of 2024 will be based on production rather than exports.

The participating countries with excess production in January, February and March 2024 will submit their detailed compensation plans to the OPEC Secretariat by 30 April.

The next meeting of the alliance committee is scheduled for 1 June.

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