Reached a production reduction agreement! Saudi Arabia announces an additional daily reduction of 1 million barrels of crude oil production in July. Saudi Arabia | Conference | Crude Oil
From June 3rd to 4th local time, OPEC and non OPEC oil producing countries held a meeting in Vienna. After difficult negotiations, major oil producing countries reached a production reduction agreement. The statement released after the meeting stated that the production reduction agreement reached between OPEC and non OPEC oil producing countries in 2023 will continue until the end of the year. Countries have agreed to adjust the daily crude oil production of OPEC and non OPEC oil producing countries to 40.463 million barrels per day from January 1, 2024 to December 31, 2024. Compared with the current production, the daily crude oil production in 2024 has been reduced by about 1.4 million barrels.
On June 4th local time, according to the Saudi Ministry of Petroleum, in order to cooperate with the OPEC+meeting and jointly maintain the stability of the international crude oil market, starting from July, we will voluntarily reduce crude oil production by another 1 million barrels per day, that is, voluntarily reduce crude oil production by 500000 barrels per day to 1.5 million barrels per day for a period of one month. The reduction measures may be considered for extension.
Starting from May this year, Saudi Arabia voluntarily reduced its crude oil production by 500000 barrels per day. After two voluntary production cuts, Saudi Arabia's daily crude oil production will decrease to 9 million barrels by July this year.
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Deputy Prime Minister of Russia: Russia's oil production reduction measures will be extended until the end of 2024
Moscow, June 4th (Xinhua) - Russian Deputy Prime Minister Novak announced on June 4th that the country's daily reduction of an additional 500000 barrels of crude oil production will be extended until the end of 2024. By 2024, Russia's crude oil production is expected to decrease to an average of 9.328 million barrels per day.
According to TASS, Novak stated that the ministerial meeting of the Organization of the Petroleum Exporting Countries and non OPEC oil producing countries held that day decided to extend the previously agreed production reduction agreement until 2024. In addition, non OPEC oil producing countries that announced voluntary additional production cuts in April this year have also agreed to extend their additional production reduction plans until the end of 2024. After consultation with various countries, Russia has decided to extend the measure of reducing daily production of an additional 500000 barrels of crude oil until the end of 2024.
In February this year, Russia announced a reduction of 500000 barrels of daily crude oil production starting from March. The production reduction plan was originally scheduled to end by the end of this year.