Russia and Saudi Arabia will reduce their production by 2.5 million barrels per day (mbd) in equal parts from a level of 11 million barrels, according to the draft agreement that the ministers of the OPEC + alliance and other producers have handled today. The official TASS agency had access.
Thus, in May and June, the production of each of these two oil giants should be 8.5 million barrels per day.
According to the draft agreement, in total, the countries of the OPEC + alliance will limit their production to 10 million barrels per day, from 43.8 mbd to 33.8 mbd.
For each country participating in the cut, production should decrease by 23%, according to TASS.
Thus, the pact provides for Iraq to lower its pumping by one million barrels per day, the United Arab Emirates by 700,000 bd, Nigeria by 420,000 bd and Mexico by 400,000 bd.
The objective is to keep supplies limited for two years, although with slight incremental increases: from next July 1 and until December 31, the cut of 10 mbd will be lowered to 8 mbd, and to 6 mbd between January 2021 until April 2022.
OPEC partners Venezuela, Iran and Libya will remain exonerated from the commitment to limit their withdrawals due to unintentional falls in their oil activities due to various causes.
More than ten hours after opening the teleconference of the oil ministers of the producer group, the proposal had been agreed by all countries with the exception of Mexico.
After a break to allow consultations, the telematic meeting has resumed with Mexico, sources from a delegation participating in the negotiations told Efe.