OPEC+ producers agree to cut output by 2M bpd starting from November

ISTANBUL

The Organization of Petroleum Exporting Countries (OPEC) and allies, known as OPEC+, agreed Wednesday to cut production by 2 million barrels per day (bpd) from the August 2022 required production levels, starting November.

The 23 members of the group held the 33rd ministerial meeting to discuss the production volumes.

The meeting was the first in-person ministerial meeting since March 2020.

The group pointed to the uncertainty that surrounds the global economic and oil market outlooks, and noted "the need to enhance the long-term guidance for the oil market."

The group also extended the duration of Declaration of Cooperation until Dec. 31, 2023.

The next meeting of OPEC and non-OPEC members is scheduled for Dec. 4.

OPEC+ had reduced daily crude oil production by approximately 10 million barrels in April 2020 due to the sharp decline in demand following the emergence of the COVID-19 pandemic.

As global economies and oil demand started to recover, the group also began to ease these cuts incrementally from April 2021.

The member countries had agreed to cut production by 100,000 bpd in October.