OPEC, non-OPEC members record 98% production compliance level

The joint OPEC-Non-OPEC ministerial monitoring committee (JMMC) reported that based on the report of the Joint OPEC-Non-OPEC Technical Committee (JTC) for the month of March, OPEC and Non-OPEC countries have continued their high level of conformity with their voluntary adjustments in production.

The JMMC expressed its satisfaction with the progress made towards full conformity with the voluntary production adjustment and encouraged all participating countries to press on towards 100 per cent conformity.

As at March 2017, the OPEC and participating non-OPEC countries achieved a conformity level of 98 per cent, an increase of four percentage point over the February 2017 performance. This demonstrates the significant willingness of all participating countries to continue their cooperation.

The JMMC was established following OPEC’s 171st Ministerial Conference Decision on 30th November 2016, and the subsequent declaration of cooperation made at the Joint OPEC/Non OPEC Ministerial meeting, held on 10th November, 2016; at which 11 non-OPEC oil producing countries cooperated with OPEC member countries in a concerted efforts to accelerate the stabilization of the global oil market through voluntary adjustment in combined production of around 1.8mbpd.

The resulting declaration, which came into effect on 1st January 2017, is for six month and it is extendable for additional six month. Depending on the status of supply and demand, including global inventories.

The next JMMC meeting to be held in Vienna on 24th May 2017, will be followed by the Joint OPEC-NON-OPEC/Non-OPEC conference during which the decision on extending the period of the production management will be taken.