Azerbaijan fulfills its commitments under OPEC+ agreement in May

By Azernews

By Ayya Lmahamad

Azerbaijan fulfilled its obligations under OPEC+ agreement in May by maintaining its production of crude oil at 586,000 barrels.

In May, the country’s daily oil production, including condensate, amounted to 674,000 barrels. Out of the total daily oil production, crude oil amounted to 586,000 barrels and condensate to 88,000 barrels.

Azerbaijan has supported the OPEC+ agreement on increasing the crude oil production up to 1.1 million barrels during May-July, reached at the 15th ministerial meeting. Under the new Declaration of Cooperation, the country’s daily crude oil production should be maintained at 603,000 barrels in May, 610,000 barrels in June and 620,000 barrels in July.

In April 2020, OPEC and non-OPEC countries entered into an agreement on the reduction of daily oil production by 9.7 million barrels in May-June and 164,000 barrels for Azerbaijan.

In the second phase of the agreement, covering the period from August 1 to December 31, the daily production of crude oil in OPEC+ countries was reduced by 7.7 million barrels, which is 18 percent less than in October 2018.

According to the agreement reached at the 12th Ministerial Meeting, Azerbaijan had to increase daily oil production by 8,000 barrels and keep production at the level of 595,000 barrels in January.

Additionally, at the 13th Ministerial Meeting of the OPEC+ countries, it was decided to continue the existing quotas on daily crude oil production in February-March, and later, at the 14th Ministerial Meeting to continue with the existing quotas on daily crude oil production in April.