Deputy Prime Minister Alexander Novak took part in a meeting of eight countries implementing voluntary oil production cuts – Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Algeria, and Oman – held on the sidelines of the 38th OPEC+ ministerial meeting.
The meeting aimed to enhance the OPEC+ measures to maintain stability and balance in the oil markets.
The participants agreed to extend the additional voluntary oil production cuts of 1.5 million barrels per day until the end of December 2026. In addition, the eight countries will extend the additional voluntary cuts of 2.2 million barrels per day until the end of March 2025.
Subsequently, the parties to the agreement will gradually cancel the adjustments of 2.2 million barrels per day on a monthly basis until late September 2026, while increasing production in a stage-by-stage manner to maintain market stability in accordance with the agreement. The monthly oil production increases by the eight participating states may be suspended or cancelled depending on market conditions.
The participants in the deal have committed to achieving full conformity with its terms and to resubmit a renewed schedule of compensations for overproduction that occurred from January 2024 to late December 2024 to the OPEC Secretariat, as coordinated at the 52nd Meeting of the Joint Ministerial Monitoring Committee. The compensation period shall be extended until the end of June 2026.
