On Sunday, Iraqi Prime Minister Mohammed Shia Al-Sudani and Oil Minister Hayan Abdul-Ghani reiterated the nation’s commitment to reducing crude oil output in accordance with the agreement of the OPEC+ group.
A statement issued by the Prime Minister’s Office (PMO) stated that the two sides also confirmed Iraq’s ongoing efforts to develop its oil and gas industries.
The statement was made at a meeting to discuss the country’s responsibilities in relation to projects and oil output.
The meeting also talked about how important it is to keep the world market stable when oil-producing nations work together.
The two sides also confirmed that Iraq is committed to the previously agreed-upon production plan.
Al-Sudani stated that the government is advancing its development plan by increasing investments in gas and oil derivatives projects and the oil sector.
In September, Iraq produced 3.94 million barrels of oil per day, less than the OPEC+ limit of almost four million barrels per day.
According to Reuters, the reasons production had fallen short of the OPEC+ quota were lower domestic consumption, lower exports, and lower Kurdistan Region of Iraq output.
A reliable source stated toward the end of August that the Iraqi government intends to reduce the country’s oil production in September to somewhere between 3.85 million and 3.9 million barrels per day.
To reduce excess production, the step is a part of an agreement with the OPEC+ alliance.
In August, OPEC stated that it had received updated compensation plans from Kazakhstan and Iraq for the first seven months of 2024 for their overproduction.
OPEC and other producers, particularly Russia, began a series of output reductions toward the end of 2022 in order to maintain the market. The majority of these reductions will continue until the end of 2025.
This action demonstrates Iraq’s commitment to enhancing the OPEC+ group’s collaborative efforts to maintain market stability and safeguard oil producers’ and consumers’ interests.
