Kuwait prolongs oil output cuts in coordination with OPEC+ allies
(MENAFN) In a recent statement, Imad Al-Ateeqi, Kuwait's Deputy Prime Minister and Minister of Oil, announced that Kuwait will prolong its voluntary reduction in oil production by 135,000 barrels per day until the conclusion of the second quarter of this year. This decision, as conveyed by the official Kuwait News Agency, KUNA, is made in alignment with several other nations participating in the OPEC+ agreement.
This extension follows an earlier report by Bloomberg, which cited delegates confirming the OPEC+ alliance's consensus to prolong existing supply cuts until the middle of the year, aiming to prevent potential supply surpluses. Notably, last November, members of the Organization of the Petroleum Exporting Countries (OPEC) and their allies, primarily led by Russia, had initially agreed upon voluntary production reductions totaling around 2.2 million barrels per day for the first quarter.
The OPEC+ coalition has been consistently implementing production cuts since late 2022, a measure aimed at stabilizing the market amidst increasing oil output from the United States and other non-member producers. These efforts have been fueled by concerns regarding demand, particularly as major economies contend with the challenges posed by high interest rates.
In this context, Kuwait's decision to extend its oil production reduction underscores the ongoing collaborative efforts within the OPEC+ framework to navigate market dynamics and ensure stability in global oil markets amidst evolving economic conditions.
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