OPEC’s oil output is set to fall by more than 1mn barrels per day (bpd) this month, a Reuters survey found this week, pointing to a strong start by the exporter group in implementing its first supply cut deal in eight years.
The Organisation of the Petroleum Exporting Countries agreed to cut its output by about 1.20mn bpd from January 1st to prop up oil prices and get rid of a supply glut.
Supply from the 11 OPEC members with production targets under the deal in January has averaged 30.01mn bpd, according to the survey based on shipping data and information from industry sources, down from 31.17mn bpd in December.
Compared with the levels that the countries agreed to make the reductions from, in most cases their October output, this means the OPEC members have cut output by 958,000 bpd of the pledged 1.164mn bpd, equating to 82% compliance.
