The Organisation of the Petroleum Exporting Countries (Opec) Secretariat has announced that several Opec+ countries have agreed to additional voluntary cuts to the total of 2.2 million barrels per day, aimed at supporting the stability and balance of oil markets.

 

These voluntary cuts will be led by Opec+ heavyweight Saudi Arabia with a 1 million bpd followed by Iraq with 223,000 bpd; UAE (163,000 bpd); Kuwait (135,000 bpd); Kazakhstan (82,000 bpd); Algeria (51,000 bpd) and Oman (42,000 bpd) starting from January 1 until the end of March 2024. 

 

Afterwards, in order to support market stability, these voluntary cuts will be returned gradually subject to market conditions, said a press release from Opec.

 

These voluntary cuts are calculated from the 2024 required production level as per the 35th Opec Ministerial Meeting held in June, and are in addition to the voluntary cuts previously announced in April 2023 and later extended until the end of 2024, said a press release from Opec.

 

The above cuts will be in addition to the announced voluntary cut by the Russian Federation of 500,000 bpd for the same period which will be made from the average export levels of the months of May and June 2023, and will consist of 300,000 bpd of crude oil and 200,000 bpd of refined products.