Mexican Energy Minister Rocio Nahle on Wednesday revealed the details of the freshly inked deal on collective reduction in daily oil output by the OPEC-non-OPEC alliance members in terms of how much each of the 23 countries gets to reduce its production
MOSCOW (Pakistan Point News / Sputnik - 15th April, 2020) Mexican Energy Minister Rocio Nahle on Wednesday revealed the details of the freshly inked deal on collective reduction in daily oil output by the OPEC-non-OPEC alliance members in terms of how much each of the 23 countries gets to reduce its production.
The Organization of the Petroleum Exporting Countries (OPEC) and non-cartel oil producers agreed to a collective 9.7 million barrels per day (bpd) cut to output last Sunday.
According to data presented by Nahle at a daily briefing, the signatories have committed to cutting production by 23 percent throughout May-June, then by 18 percent from July-December, and then by 14 percent thereafter until April 2020, with the baseline level set on October 2018.
Russia and Saudi Arabia have their own baseline, 11 million bpd, and will account for the largest reduction � first by 2.5 million bpd and then by 2.007 million bpd, eventually down to an output of 8.9 million bpd. Mexico, too, will have its own separate quota for the May-June period, namely of 100,000 bpd daily reduction.
The list of countries with the next largest cuts in descending order includes Iraq, which is to reduce production by 1.06 million bpd in phase one from May-June and by 849,000 bpd in phase two from July-December; the United Arab Emirates (772,000 bpd in phase one and 578,000 bpd in phase two); Kuwait (641,000 bpd in phase one and 512,000 bpd in phase two); Nigeria (417,000 bpd in phase one and 334,000 bpd in phase two); Kazakhstan (390,000 bpd in phase one and 312,000 bpd in phase two); Angola (348,000 bpd in phase one and 279,000 bpd in phase two); Algeria (241,000 bpd in phase one and 193,000 bpd in phase two); Oman (201,000 bpd in phase one and 161,000 bpd in phase two); and Azerbaijan (164,000 bpd in phase one and 131,000 bpd in phase two).
The reduction in production by Congo, Equatorial Guinea, Gabon, Bahrain, Brunei, Malaysia, Sudan and South Sudan will follow the general pattern equivalent to agreed percentage from the baseline.
Iran, Venezuela and Libya are exempt from the deal.
