Oil market to stabilise as OPEC, non-OPEC countries achieve 138% in output cut

OPEC logo is pictured ahead of an informal meeting between members of the Organization of the Petroleum Exporting Countries (OPEC) in Algiers, Algeria September 28, 2016. REUTERS/Ramzi Boudina/File Photo

OPEC logo is pictured ahead of an informal meeting between members of the Organization of the Petroleum Exporting Countries (OPEC) in Algiers, Algeria September 28, 2016. REUTERS/Ramzi Boudina/File Photo

There are indications that the oil market will witness increased stability as participating nations have recorded 138 per cent in output cut.
In a statement obtained by PETROLGAS REPORT yesterday, OPEC stated that: ‘’Participating OPEC and non-OPEC producing countries have set a new record in February with their voluntary production adjustments, achieving a level of 138%, according to the OPEC-non-OPEC Joint Ministerial Monitoring Committee (JMMC).
‘’The Declaration of Cooperation continues to have a transformative effect on the global oil industry. Participating countries, working in concerted action, have once again demonstrated their dedication to expediting the rebalancing of the oil market.
“This has benefitted a broad range of energy stakeholders, including producers and consumers, as well as the world economy.
‘’February continued the accelerated rebalancing path witnessed in recent months. OECD commercial stocks fell to 2,855 mb in February, further reducing the global inventory glut.
‘’Given the success of the Declaration of Cooperation, the JMMC called on participating countries to consider further opportunities to institutionalize their collaboration.
‘’The Committee stressed that all participating countries should strive to achieve or exceed full conformity with their voluntary production adjustments.
‘’The next meeting of the JMMC will take place in Jeddah, Saudi Arabia, in April 2018.’’