OPEC says compliance with OPEC+ deal at 124% in February

MOSCOW, Mar 11 (PRIME) -- The OPEC countries reduced their oil production by 650,000 barrels per day on the month to 24.85 million barrels per day in February, improving its compliance with the OPEC+ oil output reduction deal to 124% in the month from 108% in January, OPEC said in a monthly report on Thursday quoting secondary sources.

The reduction is due to Saudi Arabia’s decision to cut output by 1 million barrels per day additionally.

The global oil production decreased by 1.31 million barrels per day to 92.28 million barrels per day in February, with production outside OPEC falling by 670,000 barrels to 67.43 million barrels per day mainly due to cold weather in the U.S.

At the same time, the organization upgraded its forecast for demand growth in 2021 by 0.1 million barrels per day to 5.9 million barrels. This means that on the whole demand will amount to 96.3 million barrels per day this year thanks to economic recovery and vaccinations. OPEC also increased its forecast for the increase of oil output outside OPEC by 950,000 barrels to 63.8 million barrels a day in 2021.

The organization also increased the forecast for output of oil and condensate in Russia by 70,000 barrels per day to 10.66 million barrels in 2021 instead of a contraction by 210,000 barrels to 10.22 million barrels.

Commercial reserves of oil and oil products in the countries of the Organization for Economic Cooperation and Development (OECD) went down by 11.3 million barrels on the month in January, and exceeded 5-year average reserves by 92.2 million barrels.

The OPEC+ countries agreed to reduce their oil output by significant 9.7 million barrels per day in May to fight the consequences of the global coronavirus crisis, with Russia’s share of 2.5 million barrels per day. Later, the cut was prolonged at 9.7 million barrels per day for July, narrowed to 7.7 million barrels per day for August–December, and then to 5.8 million barrels per day until May 2022. The agreement is valid until April 30, 2022, but the members will revise its extension in December 2021.

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