Vienna, Austria — An OPEC+ panel on Thursday reaffirmed the oil cartel’s current output reduction strategy, supported by Saudi and Russian cuts, intended to boost flagging prices.
In an effort to shore up prices, the OPEC+ oil alliance of 23 nations has implemented supply cuts of more than five million barrels per day (bpd) since the end of 2022.
Oil prices were up slightly on Thursday and hovering around $80 per barrel.
In 2022, Russia’s invasion of Ukraine sent oil prices soaring to $140, raising earnings across the industry.
In a statement following a meeting via videoconference, the Joint Ministerial Monitoring Committee (JMMC) of OPEC+ stopped short of making any recommendations on its output policy.
However, the panel said it “reviewed the crude oil production data for the months of November and December 2023”, noting the “high conformity” among participating nations.
It added that it will continue to closely assess market conditions, while reiterating its “readiness to take additional measures at any time”.
The next JMMC meeting is scheduled for April 3, the statement said, which also stressed the group’s “strong cohesion” following the recent upheaval.
In a surprise move in December, Angola exited OPEC over a disagreement on a decision backed by heavyweight Saudi Arabia, to cut production, dealing a further blow to the oil cartel.
The meeting comes after oil firm Saudi Aramco earlier this week announced that it would abandon a plan to ramp up its production capacity to 13 million bpd by 2027.
The Gulf kingdom’s daily production stands at approximately nine million bpd, far below its capacity of 12 million bpd.