UAE, Kazakhstan, Iraq, Malaysia pledge full compliance with OPEC output cuts
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The United Arab Emirates (UAE), Iraq, Kazakhstan and Malaysia Tuesday pledged full support for the existing monitoring mechanism to fully cooperate with the Joint OPEC-Non-OPEC Technical Committee (JTC) and Joint OPEC-Non-OPEC Ministerial Monitoring Committee (JMMC) in the months ahead in order to achieve the goal of reaching full conformity.
The agreement was reached at the Joint OPEC-Non-OPEC Technical Committee (JTC) two-day meeting which ended, Tuesday, in Abu Dhabi, the UAE, with some of the producing countries participating in the Declaration of Cooperation.
The objective of the meetings was to discuss conformity with the voluntary production adjustments outlined in the extension of the Declaration, which became effective on 1 July 2017.
The session was in view of the UAE’s upcoming presidency of OPEC in 2018 and signals the country’s strong and firm commitment to the full and timely implementation of the production adjustments by OPEC and participating non-OPEC producing countries.
Businessamlive recalls that at the most recent Joint OPEC-Non-OPEC Ministerial Monitoring Committee (JMMC) meeting in St. Petersburg, Russia, the JMMC instructed the JTC to hold additional technical level meetings with some OPEC and non-OPEC participating producing countries with the goal of further improving conformity levels in order to accelerate the rebalancing of the global oil market for the benefit of producers and consumers alike.
According to a statement on the OPEC website, “UAE, Iraq, Kazakhstan and Malaysia, presented their outlook and prospects for their respective production levels in a constructive atmosphere and proved fruitful”.
“The conclusions reached with the countries at the meeting will help facilitate full conformity with the Declaration of Cooperation, which participating countries remain steadfast in their commitment to fulfill.
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“The UAE, Iraq, Kazakhstan, and Malaysia all expressed their full support for the existing monitoring mechanism and their willingness to fully cooperate with the JTC and JMMC in the months ahead in order to achieve the goal of reaching full conformity,” it stated.
The extraordinary meeting of the JTC was co-chaired by Kuwait and Russia, in the presence of Saudi Arabia, the OPEC Conference President.
The body said the conclusions of the extraordinary meeting will be further discussed at the 7th JTC Meeting scheduled to take place on 21 August 2017 in Vienna, Austria.
The Organisation of Petroleum Exporting Countries, Russia and other producers are cutting production by about 1.8 million barrels per day (bpd) until March 2018 to get rid of a glut and support prices.
Meanwhile, crude oil prices rose marginally, Tuesday, following reports that Saudi Arabia is planning to cut exports to Asia next month.
West Texas intermediate futures edged up 0.2 per cent to $49.51 a barrel while Brent crude, the global benchmark, rose 0.2 per cent to $52.46 a barrel.
Saudi Arabia is said to have cut crude sales for next month to some buyers in the world’s biggest oil market, limiting sales to prized buyers as part of its pledge to curb exports and shrink a global glut.