OPEC may increase oil production to maximum 2017

© AP Photo / Hasan JamaliНефтяная tower. Archival photoOPEC may increase oil production to maximum 2017© AP Photo / Hasan Jamali

OPEC may increase oil production by 290 thousand barrels per day compared to April — up to a maximum of 2017 to 32.08 million barrels a day, said in a June report by the International energy Agency (IEA).

Compared to October, OPEC oil production declined by 1.13 million barrels per day. Thus, in the reporting month, the cartel has fulfilled the obligations under the agreement by OPEC and other States on the reduction of oil production (OPEC+) 97% after 95% in the previous month. On average, the commitment of the OPEC agreement for the five months of its validity is 96%.

«The growth of oil production in Libya and Nigeria, which are exempt from reduction commitments on production, has led to the increase in total oil production by OPEC in may to 290 thousand barrels per day, up from 32.08 million barrels per day — its highest level this year,» the report says.

OPEC and a number of not members of the organization countries agreed in late 2016 in Vienna on the reduction of its oil production to total 1.8 million barrels per day from October levels, of which 300 thousand are in Russia. The agreement was concluded for the first half of 2017 with possibility of extension. In may, its validity was extended for nine months until the end of March 2018.

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OPEC may increase oil production to maximum 2017© RIA Novosti, Integratiebeleid in fotomonster and objectives of OPEC