• Ar
  • Es
Al Mayadeen English

Slogan

  • News
    • Politics
    • Economy
    • Sports
    • Arts&Culture
    • Health
    • Miscellaneous
    • Technology
    • Environment
  • Articles
    • Opinion
    • Analysis
    • Blog
    • Feature
  • Videos
  • Infographs
  • In Pictures
  • • LIVE
News
  • Politics
  • Economy
  • Sports
  • Arts&Culture
  • Health
  • Miscellaneous
  • Technology
  • Environment
Articles
  • Opinion
  • Analysis
  • Blog
  • Feature
Videos
Infographs
In Pictures
  1. Home
  2. News
  3. Europe
  4. OPEC+ to cut oil production by 2mln barrels per day
Europe

OPEC+ to cut oil production by 2mln barrels per day

  • By Al Mayadeen English
  • Source: Agencies
  • 5 Oct 2022 18:36
  • 4 Shares

The OPEC+ member states are decreasing their oil production when the US and Europe need them most.

  • US President Joe Biden
    US President Joe Biden

The Organization of the Petroleum Exporting Countries (OPEC)'s member states voted on Wednesday on cutting their production of oil and agreed to reduce their oil production by 2 million barrels a day in light of the world's surging energy crisis, a delegation source told Russian news agency Sputnik.

Earlier reports suggested that OPEC's Joint Ministerial Committee (JMMC) recommended cutting oil production by 2 million barrels per day.

"They have not formally agreed yet, but have already voted," the source said, commenting on whether the alliance has agreed on a decision to reduce oil production by 2 million barrels per day.

The sources clarified that all members voted in favor of the reduction after discussing oil market reports.

The US is concerned that OPEC's probable decision to reduce oil production will pose serious problems for the country and may even be interpreted as a hostile act, according to a US Treasury report.

The Biden administration assembled its top energy, economic, and foreign policy officials and entrusted them with lobbying Middle East allies such as Saudi Arabia, the United Arab Emirates, and Kuwait to vote against decreasing oil production.

To persuade its OPEC allies, the US proposed to purchase back up to 200 million barrels of oil from its OPEC partners.

In early September, OPEC+ declared its intention to resume oil production at the August level and cut it by 100,000 barrels per day (BPD) in October.

In a statement, the OPEC+ alliance said that "[OPEC+ decodes to] Revert to the production level of August 2022 for OPEC and non-OPEC Participating Countries for the month of October 2022 as per the attached table, noting that the upward adjustment of 0.1 mb/d to the production level was intended only for the month of September 2022."  

Biden had previously tried to convince the organization to increase its oil output in a bid to cool the red-hot energy prices, traveling to Saudi Arabia with hopes of persuading Saudi Arabia to promise to increase its oil output and relieve the pressure on the global supply chain.

However, the price of oil rose even further after he left West Asia without striking a deal with Saudi Arabia on Riyadh pumping out more oil.

Saudi Arabia and the United Arab Emirates have been viewed as the only two countries in the world's producer group, the Organization of Petroleum Exporting Countries, that have some spare capacity and could help increase global deliveries.

United Arab Emirates Crown Prince Sheikh Mohammed bin Zayed told French President Emmanuel Macron in late June that Saudi Arabia and the United Arab Emirates could barely increase oil production.

Attempting to curve the prices of oil in the US when all else failed, Washington has been actively using its Strategic Petroleum Reserve (SPR) for over a year. 

At the current pace of oil production, the reserves will shrink to a 40-year low with only 358 million barrels remaining by the end of October. Last year, the SPR location in Texas and Louisiana reportedly contained 621 million barrels. According to official information, the US is set to stop extractions from SPR in October.

  • United States
  • United Arab Emirates
  • OPEC
  • Europe
  • Russia
  • Joe Biden
  • Saudi Arabia

Trending Now

All
US President Joe Biden

Biden affirms commitment to lowering energy prices following OPEC cut

Most Read

Neo-compradors: the leftist foot soldiers of Imperialism

Neo-compradors: the leftist foot soldiers of Imperialism

  • MENA
  • 2 Feb
Eastern Mediterranean very dangerous at seismic level: Hoogerbeets

Eastern Mediterranean very dangerous at seismic level: Hoogerbeets

  • MENA
  • 7 Feb
Western selective humanitarianism, Syria earthquake falls on deaf ears

Western selective humanitarianism, Syria earthquake falls on deaf ears

  • MENA
  • 6 Feb
Donetsk People's Republic head Denis Pushilin peaks during a news conference on February 23, 2022. (Reuters)

DPR Chief warns Ukrainian forces use drone-dropped chemical weapons

  • Europe
  • 6 Feb

Read this

All
Barcelona Mayor Ada Colau
Palestine

Barcelona suspends relations with Israeli occupation

  • 8 Feb
Screenshot showing the previous summary of the New York Times news article discussing the aid effort to Syria, February 7, 2023 (Social Media)
MENA

NYT makes U-turn after saying Syria can't receive aid due to sanctions

  • 8 Feb
The Lebanese delegation, headed by Lebanese caretaker Foreign Minister Abdullah Bou Habib, meets with Syrian President Bashar Al-Assad in Damascus, Syria, February 8, 2023 (SANA)
MENA

Lebanon sends official delegation to Syria following earthquake

  • 8 Feb
UN security council session on Russia's military operation. (Twitter)
US & Canada

Ukraine war 'illegal' but not 'unprovoked': Pink Floyd lead singer

  • 8 Feb
Al Mayadeen English

Al Mayadeen is an Arab Independent Media Satellite Channel.

All Rights Reserved

  • Privacy Policy
  • About Us
  • Contact Us
  • Authors
Android
iOS