BREAKING: Nigeria To Cap Oil Output From 1.8 Million Barrels Per Day
There have been insinuations that Nigeria and Libya would no longer be exempted from crude production output cuts by OPEC.
Well, that appears to be the case.
Nigeria, it is gathered, is now willing to cut its oil production from 1.8 million barrels per day (bpd) if that level is reached and sustained,
According to Oman's oil minister, Mohammed bin Hamad Al-Rumhy, who said this on Monday at the opening of the fourth Joint OPEC-non-OPEC Ministerial Monitoring Committee, an OPEC and non-OPEC joint output monitoring committee had recommended an agreement with Nigeria to limit the country's output at 1.8 million bpd.
But no agreement on Libya's output was reached, he said.
However, Saudi Energy Minister Khalid al-Falih also said that OPEC and 10 other major oil producers remained supportive of conflict-torn Libya and Nigeria as they attempt to recover and increase crude production.
OPEC and some non-OPEC states including Russia agreed in 2016 to cut production by 1.8 million barrels per day (bpd) in a deal that has been extended to March 2018.
Al-Falih said: “Libya and Nigeria, are exempt from our agreement [on oil output cuts].
“Of course, we remain supportive of our brothers and partners in both nations as they work on the recovery of their oil industries and their economies.”
He said the market had faced pressure in recent weeks due to weaker OPEC compliance with cuts and rising production from Libya and Nigeria, which have been exempt from the reductions.