The OPEC+ group deserves credit for the way it has handled the stability of the oil market in recent months, OPEC Secretary General Haitham told Reuters on Monday.
“Due recognition should be given to our constructive and positive role in supporting global market stability, not least to remind us that the G20 and major consumers around the world have commended us for our historic actions taken since 2020,” Al said. Ghais to Reuters on the sidelines of the conference. Ongoing conference on India Energy Week.
OPEC+ decided in October last year to cut its oil production target by 2 million barrels per day (bpd) from November. Yet the actual reduction is estimated at around 1 million bpd. The cut is in effect until December 2023 or until the alliance decides otherwise.
Last week, OPEC+’s group of experts recommending policy actions, the Joint Ministerial Monitoring Committee (JMMC), ruled that the group should keep production targets and quotas unchanged in a widely anticipated decision given the supply and demand uncertainties.
OPEC crude oil production is estimated to have fallen in January by around 60,000 bpd due to cuts by major Saudi producer that may have been larger than the Kingdom’s quota, according to a Bloomberg survey this week. last.
Yet OPEC and the OPEC+ group, which includes Russia and a dozen other non-OPEC producers, are pumping crude oil at levels well below the collective target set by the OPEC+ alliance in November. 2022.
“We believe there is great confidence in the OPEC+ group and its decisions where we have proven time and time again that we are ready to act immediately and respond to the dynamic nature of the market,” Al Ghais told Reuters .
Last month, OPEC’s secretary general said in an interview with Bloomberg that signs of cautious optimism about a recovery in economies and oil demand had emerged.
OPEC is determined to do “whatever it takes” to keep the oil market balanced in 2023, Al Ghais told Bloomberg Television in mid-January.
By Tsvetana Paraskova for Oilprice.com
More reading on Oilprice.com: