President of the OPEC Conference and Algeria’s Minister of Energy Mohamed Arkab called on OPEC and non-OPEC cointries to fully implement the oil production limiting agreement, OPEC says on its website on Saturday.
“In the face of unprecedented difficulties facing the oil market, it is of the utmost importance that all the signatory countries fully implement the voluntary production reduction agreement and that the objective is to ensure a conformity of over 100%,” the Minister said.
OPEC+ countries at an emergency meeting on April 12 were able to finalize the deal to reduce production in May – June, negotiations on which began on April 9. The deal carried into effect on May 1. The purpose of the agreement is to eliminate the demand and offer imbalance worldwide.
The agreement will be in effect for two years, but from July to December 2020, 7.7 mln barrels per day is already falling under the alliance’s cuts, and from January 2021 to the end of April 2022 – 5.8 mln barrels per day. The deal’s parameters may be revised in December 2021.