The Secretary-General of the Organization of the Petroleum Exporting Countries (OPEC), Mohammed Barkindo, announced that the group will be meeting non-OPEC countries in Vienna to finalize a global oil production cut agreement early December, Ecofin Agency reported. Oman, Azerbaijan, Kazakhstan, Mexico, Bahrain and other non-OPEC producers could join the deal.
This comes as OPEC’s oil output set another record high in November, helped by higher Iraqi exports and extra barrels from Nigeria and Libya, which are exempted from cutting supply. Supply from OPEC increased to 34.19mb/d in November from 33.82mb/din October, according to Reuters survey based on shipping data and information from industry sources, informed Oil Price.
November’s supply from OPEC excluding Gabon and Indonesia, at 33.23mb/d, is the highest since Reuters survey records began in 1997, with Indonesia suspending its membership again during OPEC’s last meeting.
Based on the November survey, OPEC is pumping 1.69mb/d above the 32.50mb/d production target that it agreed to adopt from January 2017. Furthermore, The group is hoping that non-OPEC countries will contribute another 600,000b/d to the cut. Accordingly, Russia plans to cut its oil output by up to 300,000b/d as a part of its agreement to steady global oil market together with OPEC.