Oil decision from Iraq: Voluntary cuts to be made

According to a written statement issued by the Iraqi Ministry of Oil, oil exports will be voluntarily reduced by 100 thousand barrels. The statement indicated that the country's daily oil exports will be reduced to 3 million 300 thousand barrels in the coming months.

FOR COMPENSATION PURPOSES

The voluntary cut, calculated at approximately 100 thousand barrels, will be implemented to compensate for the production quota overages by Iraq within the Organization of the Petroleum Exporting Countries (OPEC).

Iraq, whose daily oil exports averaged 3 million 434 thousand barrels in January and 3 million 339 thousand barrels in February, is the second-largest producer in OPEC.

In a statement released last November, OPEC announced that some member countries would implement additional voluntary production cuts.

Accordingly, it was noted that in the first quarter of 2024, Saudi Arabia would cut production by 1 million barrels per day, Iraq by 223 thousand barrels per day, the United Arab Emirates by 163 thousand barrels per day, Kuwait by 135 thousand barrels per day, Kazakhstan by 82 thousand barrels per day, Algeria by 51 thousand barrels per day, and Oman by 42 thousand barrels per day, and that these voluntary cuts would be gradually phased out depending on market conditions.