OPEC+ Extends Voluntary Oil Production Cuts Of 2.2 Million Barrels Per Day For Two More Months

MOSCOW, Oct 1 (Bernama-Sputnik) -- OPEC+ extends additional voluntary oil production cuts of 2.2 million barrels per day for two months, even though it previously planned to gradually cancel from October, reported Sputnik.

As part of the agreement, OPEC+ sets oil production quotas for its members. For the current year, the total maximum production level is about 39.425 million barrels per day, excluding Iran, Venezuela and Libya, which are not participating in the quotas.

Many OPEC+ countries, including Russia and Saudi Arabia, have voluntary cuts in addition to the established quotas for all participants. Following the alliance's meetings on June 2, they extended the cuts of 1.66 million barrels per day until the end of 2025. The cartel's members initially decided to gradually reduce the restrictions by another 2.2 million barrels from October.

However, in early September, against the backdrop of a decline in Brent prices to $70 per barrel, OPEC+ announced an extension of the current parameters for another two months, so the exit from additional voluntary reductions is now expected in December.

According to the new plan, in the last month of 2024, OPEC+ should increase production by 180,000 barrels per day, and in January 2025 by another 216,000. Production will gradually increase every month, and as a result, by December 2025, the alliance should be left with cuts of only 1.66 million barrels per day.

-- BERNAMA-SPUTNIK