OPEC+ Agrees to Stick to Steady Oil Production Increase 

NUR-SULTAN – OPEC (Organization of the Petroleum Exporting Countries) and non-OPEC partners, an energy alliance known as OPEC+, agreed to stick to the existing oil production plan during their 26th ministerial meeting on March 2, reports the organization’s press service. Kazakhstan was represented by Energy Minister Bolat Akchulakov. 

In April 2020, the 23-member group and non-OPEC oil-producing nations agreed to a historic production cut of 9.7 million barrels a day or ten percent of global oil output. Photo credit: 24.kz

The alliance, which includes Russia, has agreed to adjust the monthly overall output by 400,000 barrels per day for the month of April, in accordance with their earlier plan. 

Kazakhstan’s commitments for April 2022 will be 1.621 million barrels per day. It has reduced its 2022 oil production plan to 87.5 million tons from the 87.9 million tons envisioned in the national budget.

“It was noted that current oil market fundamentals and the consensus on its outlook pointed to a well-balanced market and that current volatility is not caused by changes in market fundamentals but by current geopolitical developments,” said the statement. 

OPEC+, which accounts for 40 percent of the world’s oil supply, also stressed the importance of adhering to full conformity of the oil production plan.

Following the meeting, oil prices grew again reaching $117.11 a barrel, the highest since 2014. West Texas Intermediate reached $114.63 a barrel. 

They are expected to meet on March 31 to discuss further adjustments.  

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