OPEC+ nations’ output 550,000 barrels per day above target in January
A number of OPEC+ members, including Russia, stick to voluntary oil production cuts from the spring of 2023 to the end of 2024
OPEC+ member states reduced crude production by 220,000 barrels per day in January 2024 to 34.87 mln barrels per day, though their output was 550,000 barrels per day above the target considering voluntary cuts, the IEA (International Energy Agency) said in its February Oil Market Report.
The targeted production level for OPEC+ countries within the agreement considering voluntary cuts totaled 34.32 mln barrels per day for January, while real output stood at 34.87 mln barrels per day, which brings the gap to 550,000 barrels per day.
Among countries that have announced new oil output cuts since January 2024, Kuwait reported the highest reduction (-120,000 barrels per day), followed by Iraq (-100,000 barrels per day). Russia slashed production by 40,000 barrels per day compared with December to 9.44 mln barrels per day. Saudi Arabia increased output slightly – by 20,000 barrels per day to 8.97 mln barrels per day without going beyond its quota though.
A number of OPEC+ members, including Russia, stick to voluntary oil production cuts from the spring of 2023 to the end of 2024. The volume of reduction total 1.66 mln barrels per day.
Moreover, Saudi Arabia additionally reduces production by another 1 mln barrels per day from last July to the end of the first quarter of 2024. Russia has deepened the reduction of oil supplies to global markets from 300,000 barrels per day to 500,000 barrels per day from January to the end of March. Several more OPEC+ nations cut output by 700,000 barrels per day in Q1 2024.
