OPEC+ agree on increasing output by 500,000 bpd

VIENNA, Dec 3 (KUNA) -- Oil Ministers of OPEC+ on Thursday agreed on a gradual increase of up to 500,000 barrels per day as of next January from 7.2-7.7 million bpd to support the stability of the global oil markets.
This came in the final communiquأ© of the 12th ministerial meeting of OPEC and non-OPEC producers as part of the OPEC+ alliance. In their 12th meeting, the ministers affirmed their countries' commitment to ensuring common interests of the producing countries, the economic effective and safe supply to producers.
The conferees have welcomed the positive performance in overall compliance levels of output adjustments since the last OPEC + meeting in June and the constructive response from several countries to the compensation mechanism in accommodating their underperforming volumes as agreed in the ministerial meetings in June that were amended last September, it said.
The ministerial meeting stressed the importance that the participants in the production cut deal remain fully committed to efforts aimed at achieving balance and stability in the market, it added.
The statement noted that the renewed lockdowns due to the stricter measures taken to contain the coronavirus continue affecting the global economy and the recovery of oil demand, with the prevailing uncertainty during the winter months.
The gathering reaffirmed the current commitment, under the OPEC + decision issued on April 12 amended in June and September 2020, to a gradual return with two million barrels per day, taking into account the market conditions, it pointed out.
The conferees agreed on holding monthly ministerial meetings of OPEC and non-OPEC countries as of January 2021 to assess market conditions and take decisions on additional production adjustments for the following month, with other monthly adjustments not more than 500,000 barrels per day, it said.
The countries participating in the OPEC + alliance called on Saudi Energy Minister Prince Abdulaziz bin Salman to continue his role as head of the joint ministerial committee tasked with monitoring the production cut agreement.
These countries praised Prince bin Salman's efforts and perseverance in combating the repercussions of the coronavirus pandemic and in achieving oil market stability through the successful implementation of the objectives of the reduction output agreement.
The ministers also expressed their sincere gratitude to Russian Energy Minister Alexander Novak for his ideal leadership as co-chair of the OPEC + alliance, asking his to remain in his position.
In addition, the ministerial meeting stressed the importance of the fourth anniversary of signing the establishment of the OPEC + alliance amongst OPEC and non-OPEC producers on December 10, 2016. (end) amq.hm