Saudi Arabia will extend the voluntary oil production cut of one million barrels per day (bpd) until the first quarter of 2024, in coordination with some OPEC+ members, said an official source at the Ministry of Energy.
The Kingdom started the voluntary oil output cut in July 2023.
Accordingly, the Kingdom's oil production will reach nearly nine million bpd until March 2024.
Afterwards, in order to support market stability, these additional cut volumes will be returned gradually subject to market conditions.
This is besides the oil output cut of 500,000 bpd previously announced by the Kingdom in April 2023, which is slated to run until December 2024.
Saudi Arabia’s decision on extra voluntary oil supply cuts was taken as a “precautionary” measure that aims to ensure market stability, the source added.
Source : Argaam