The OPEC+, which gathers the Organisation of Petroleum Exporting Countries (OPEC) and allied crude oil producers led by Russia, has agreed to extend until the end of 2024 oil production cuts of 3.66 mb/d, amounting to 3.6% of global demand, including 2 mb/d agreed in 2022 and voluntary cuts of 1.66 mb/d agreed in April 2023. Part of the production cuts correspond to adjustment in targets for Russia, Nigeria and Angola, to bring them into line with current production levels. Meanwhile, the United Arab Emirates has been allowed to raise output targets by around 0.2 mb/d to 3.22 mb/d.
In addition, the group also decided to reduce overall production targets from January 2024 by a further 1.4 mb/d versus current targets to a combined of 40.46 mb/d. Finally, Saudi Arabia pledged to reduce its output from 10 mb/d in May 2023 to 9 mb/d in July 2023.
Consequently, the production level for the OPEC 10 group members is set at 25 mb/d (including 10.5 mb/d for Saudi Arabia) for 2024, that of non-OPEC producers 15.5 mb/d (with 9.8 mb/d for Russia) leading to the production of the OPEC+ to an average of 40.5 mb/d.