OPEC+ commits to maintaining the reduction during 2024 in accordance with the levels agreed last June

2023-11-30 19:00:45

ALGIERS- OPEC+ countries agreed, during their 36th ministerial meeting, held Thursday by videoconference, to continue reducing oil production until the end of December 2024, in accordance with the levels agreed last June, in order to support prices on the market.

During this meeting, held with the participation of Algeria, the ministers in charge of oil and representatives of OPEC+ countries, stressed that “the global economic situation remains uncertain as to its evolution in the short term, particularly in due to sluggish growth in industrialized countries, still high inflation as well as a moderate rebound in economic growth in many emerging countries,” according to a press release from the Ministry of Energy and Mines.

“Even if global oil demand remains at relatively appreciable levels for the moment thanks to the growth of the transport and petrochemical sectors, the uncertainties weighing on economic growth in many regions are likely to contain its increase over the coming months,” the statement added.

At the end of the discussions, “it became evident that the decisions taken, collectively and individually, to adjust the production of OPEC+ countries during this year were beneficial and demonstrated their effectiveness in achieving balance and market stability.

Thus, “the 23 OPEC+ countries have decided to reaffirm their commitments to reduce their production for the whole of 2024, in accordance with the levels agreed at the 35th ministerial meeting of June 4, 2023”.

In a preventive manner and in coordination with several members of OPEC+, Algeria has decided to carry out a voluntary and additional reduction in its crude oil production by 51,000 b/d between January 1 and March 31, 2024, thus bringing its supply at 908,000 b/d during this period.

“Subsequently, in order to support market stability, these deducted volumes will be gradually returned depending on market conditions,” underlines the ministry.

As a reminder, this voluntary reduction is in addition to the reduction of 48,000 b/d previously announced in April 2023, which extends until the end of December 2024.

1701412910
#OPEC #commits #maintaining #reduction #accordance #levels #agreed #June

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.