OPEC And Non-OPEC Countries Unite To Sustain Crude Oil Production Through 2025

The 37th OPEC and non-OPEC Ministerial Meeting has resolved to extend the overall crude oil production levels for OPEC and non-OPEC Participating Countries in the Declaration of Cooperation (DoC) from 1 January 2025 until 31 December 2025. This decision underscores the ongoing commitment to maintaining a stable oil market.

Participating Countries have agreed to grant the UAE a new reference production level of 3.519 million barrels per day in 2025. This represents an increase of 300,000 barrels per day, which will be gradually implemented from January 2025 to September 2025.

The total voluntary cuts adopted by some member countries have reached 2.2 million barrels per day. Meanwhile, the total cuts by OPEC+ members amount to 5.86 million barrels per day, extended until the end of next year.

Commitment to Market Stability

An OPEC statement highlighted that today's decisions reflect the continued commitment of OPEC and non-OPEC Participating Countries in the DoC to achieve and sustain a stable oil market. The approach remains precautious, proactive, and pre-emptive.

Reaffirmations and Extensions

The Participating Countries have reaffirmed the Framework of the Declaration of Cooperation, signed on 10 December 2016, and endorsed in subsequent meetings. They also reaffirmed the Charter of Cooperation, signed on 2 July 2019.

The assessment period by three independent sources has been extended to the end of November 2025. This will be used as guidance for the 2026 reference production levels.

Monitoring and Meetings

The mandate of the Joint Ministerial Monitoring Committee (JMMC) has been reaffirmed to closely review global oil market conditions, oil production levels, and conformity with the DoC. The JMMC will be assisted by the Joint Technical Committee (JTC) and the OPEC Secretariat.

The JMMC meeting is scheduled to be held every two months. Additionally, the OPEC and non-OPEC Ministerial Meeting (ONOMM) will take place every six months in accordance with the ordinary OPEC scheduled conference.

Authority for Additional Meetings

The JMMC has been granted the authority to hold additional meetings or request an OPEC and non-OPEC Ministerial Meeting at any time to address market developments whenever necessary.

Conformity Monitoring

The DoC conformity will be monitored considering crude oil production using the average of seven approved secondary sources and according to the methodology applied for OPEC Member Countries. The critical importance of adhering to full conformity and compensation mechanisms has been reiterated.

The next meeting, the 38th OPEC and non-OPEC Ministerial Meeting, is scheduled for 1 December 2024.

With inputs from WAM