OPEC reviews members production data as oil prices drop to $89.36 per barrel

Organisation of Oil Petroleum Exporting Countries, OPEC, in what seems like a panic mode has reviewed the production data of member states and allies as oil prices dropped by 8 per cent to $89.36 per barrel, from $97.17 per barrel recorded last week. The organisation, which reviewed the data at the just-concluded 50th Meeting of the Joint Ministerial Monitoring Committee, JMMC, urged its members and allies to remain committed to conformity for participating OPEC and non-OPEC countries of the Declaration of Cooperation (DoC). In a statement released in Vienna by OPEC Secretariat said  “the JMMC reviewed the crude oil production data for the months of July and August 2023 and noted the overall conformity for participating OPEC and non-OPEC countries of the Declaration of Cooperation (DoC). The committee urged all participating countries to achieve full conformity and adhere to the compensation mechanism.

It further said “The committee reaffirmed the commitment of its member countries to the DoC which extends to the end of 2024 as agreed in the 35th OPEC and non-OPEC Ministerial Meeting (ONOMM) on 4th of June 2023. It also noted the adjustment for the frequency of the monthly meetings to become every two months for the JMMC and the authority of the JMMC to hold additional meetings, or to request an OPEC and non-OPEC Ministerial Meeting as agreed on in the 33rd OPEC and non-OPEC Ministerial Meeting (ONOMM) on 5th of October 2022. The committee will continue to closely assess market conditions noting the willingness of the DoC countries to address market developments and stand ready to take additional measures at any time, building on the strong cohesion of OPEC and participating non-OPEC oil-producing countries.

“The committee also expressed its full recognition and support for the efforts of the Kingdom of Saudi Arabia aimed at supporting the stability of the oil market and reiterated its appreciation for the Kingdom’s additional voluntary cut of 1 million barrels per day and for extending it till the end of December 2023. The committee also acknowledged the Russian Federation for extending its additional voluntary reduction of exports by 300 kbd till the end of December 2023.”