African Countries Have Informed Opec Of Plans To Reduce Production With Compensation Until October
Nigeria, Angola, Gabon, as well as the Asian Brunei submitted to OPEC+ schedules for reducing oil production in July - September this year, taking into account the compensation for the outstanding volume in May and June.
Four countries along with Iraq and Kazakhstan in may did not fully comply with the terms of the OPEC+ deal to reduce oil production. The new OPEC+ agreement came into force on May 1. It assumes a reduction in oil production by the Alliance countries by 9.7 million b/d during May - July. However, in May, the deal was executed only by 87%. Only 46% of its production quota was reduced by Iraq, which ranks second in OPEC in terms of production, and 40% by Gabon. Kazakhstan had better indicators - 71%, Angola, and Nigeria-74% each. Thus, OPEC+ failed to remove about 1.3 million barrels per day from the market in order to achieve full compliance with the deal.
Iraq and Kazakhstan have already presented their plans to compensate for the missing volume at the meeting of the Ministerial monitoring Committee on June 18. The others had to submit them by June 22. They were asked to schedule a reduction in production, taking into account compensation during July - September.