Saudi Arabia extends voluntary oil production cut by 1 million barrels per day
Saudi Arabia announced on Sunday it would extend oil production cuts until June in an attempt to support prices.
An energy ministry source announced that Riyadh would “extend its voluntary production cut of 1 million barrels per day, which was introduced in July 2023, until the end of the second quarter of 2024,” the official Saudi Press Agency reported.
The decision was made in coordination with other members of the Organization of the Petroleum Exporting Countries and allies, known as OPEC+, to ensure the stability of global crude oil markets.
With the extension of the cut, Saudi Arabia's production will remain at about 9 million barrels per day.
The cuts will be phased out depending on market conditions, the SPA said.
Russia will reduce oil production and exports by another 471,000 barrels per day in the second quarter in coordination with some OPEC+ member countries, Russian Deputy Prime Minister Alexander Novak said.
OPEC+ in November agreed to voluntary production cuts totaling about 2.2 million barrels per day in the first quarter, led by Saudi Arabia extending its own voluntary cuts.
OPEC+ members announce production cuts individually. Kuwait said it would cut oil production by 135,000 bpd until June, Algeria by 51,000 bpd and Oman by 42,000 bpd.
Since the end of 2022, OPEC+ has carried out a series of production cuts to support the market.
ORIENT news
