OPEC says compliance with OPEC+ deal at 196% in May

MOSCOW, Jun 14 (PRIME) -- The OPEC countries decreased their oil production by 176,000 barrels per day (bpd) on the month to 28.51 million bpd in May, raising its compliance with the OPEC+ oil output reduction deal to 196% in the month from 162% in April, OPEC said in a monthly report on Tuesday.

Production in Saudi Arabia, the United Arab Emirates, and Kuwait grew, but it fell in Libya, Nigeria, Iraq, Gabon, and Iran, the organization said.

The organization reduced its growth forecast of the combined oil production outside OPEC by 250,000 bpd to 2.15 million bpd in 2022. The average annual oil output should amount to 65.7 million bpd this year. It also now expects Russia’s oil output of oil and condensate to shrink by 200,000 bpd to 10.6 million bpd this year instead of a previously expected increased by 100,000 bpd.

OPEC still expects the global oil demand to rise by 3.4 million bpd in 2022 to 100.3 million bpd.

Commercial reserves of oil and oil products in the countries of the Organization for Economic Cooperation and Development (OECD) went up by 1.8 million barrels on the month in April, and were below the average annual reserve level for 2015–2019 by 299 million barrels.

The OPEC+ countries agreed to reduce their oil output by significant 9.7 million barrels per day in May 2020 to fight the consequences of the global coronavirus crisis, with Russia’s share of 2.5 million barrels per day. Reduction quotas were adjusted several times, and the alliance has been raising its production by 400,000 bpd a month since August 2021, and it was to expand the output by 432,000 bpd in May and by 648,000 bpd in June.

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