OPEC+ members agree to extend oil production cuts into Q2

Vienna, March 4 (IANS) Several OPEC+ members have extended oil output cuts into the second quarter to maintain stability in the oil markets. OPEC and its allies have announced additional voluntary cuts totaling 2.2 million barrels per day, in an effort to balance market conditions.

OPEC+, consisting of OPEC member countries and their allies, agreed to prolong voluntary output cuts adopted during their ministerial meeting in June 2023. These cuts are in addition to the reductions announced last year, which were extended until the end of 2024.

Saudi Arabia, Russia, and other OPEC+ nations have committed to voluntary production cuts for the second quarter of this year. Saudi Arabia, the leading OPEC member, will continue its 1 million bpd cut until the end of June, keeping its oil production around 9 million bpd. Russia also plans to reduce its crude production and exports by 471,000 bpd in Q2.

Countries like Iraq, the UAE, Kuwait, Kazakhstan, Algeria, and Oman have also decided to extend their voluntary production cuts. However, the OPEC statement mentioned that these cuts will be gradually eased based on market conditions post-June to ensure market stability.

OPEC+ countries are scheduled to convene for a ministerial meeting in June to discuss further production targets. The decisions taken by the member nations reflect their commitment to stabilizing the oil markets and ensuring a balance in supply and demand.


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