OPEC+ countries agree to reduce oil production from 2024

The participants in the OPEC + agreement agreed to reduce the overall level of oil production from 2024. About this says in a statement by the organization following the 35th meeting of OPEC and non-member countries.

The member countries of the organization adjusted the level of oil production to 40.46 million barrels. per day, follows from the document. According to the agreement, Russia must adjust oil production from next year to 9.828 million barrels per day.

The production levels of other countries were: Saudi Arabia – 10.478 million barrels per day, Iraq – 4.431 million barrels per day, Kazakhstan – 1.628 million barrels per day, Azerbaijan – 0.551 million barrels per day, etc.

In mid-March, OPEC raised forecast for oil production (including gas condensate) in Russia in 2023 by 150,000 barrels per day – up to 10.28 million barrels per day. The production forecast for the first quarter was raised by 620,000 bbl/d to 10.9 million bbl/d.

The organization attributed the adjustment to higher production levels in the country in January-February this year. At the same time, the organization expected a sharp decline in Russian oil production in the II quarter to 10 million barrels per day. In Q3, production, according to OPEC, will recover to 10.1 million barrels per day, and in the fourth quarter – up to 10.15 million barrels per day.

Earlier, Deputy Prime Minister Alexander Novak, who oversees the fuel and energy complex, said that he expects oil production in Russia to fall to 515 million tons in 2023 (-3.7% compared to last year). This will come as Russia has decided to voluntarily cut production this year by 500,000 bbl/d.