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OPEC+ extends oil production cuts until the end of 2025

June 3, 2024 at 1:06 pm

OPEC building [Zamoto Media/Facebook]

The OPEC+ alliance yesterday agreed to extend oil production cuts, with the exception of the UAE, until the end of 2025, saying this will maintain balance and stability in global oil markets.

A statement issued by the coalition countries after their meeting stated that they decided “to extend the additional voluntary cuts of 1.65 million barrels per day that were announced in April 2023 until the end of December 2025.”

The production schedule attached to the statement showed that all OPEC+ countries set the same production level required in 2025 as in 2024, with the exception of the UAE, whose production rose to 3.519 million barrels per day, an increase of 300,000 barrels per day.

The statement explained that the Emirates will increase its production gradually starting from January 2025 until the end of September 2025.

The OPEC+ alliance has made a series of deep cuts in oil production since late 2022 amid growing production from non-member countries such as the US, and concerns about demand amid rising interest rates.

OPEC+ members are currently reducing production by a total of 5.86 million barrels per day, or about 5.7 per cent of global demand, according to numbers monitored by a specialised energy platform.

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