OPEC+ oil output cuts compliance falls to 75% in Dec - Petro-Logistics

By Alex Lawler LONDON (Reuters) - OPEC+ compliance with pledged oil output curbs fell to 75% in December, among the lowest levels since the supply pact started in May 2020, tanker tracker Petro-Logistics said on Tuesday.

Reuters January 13, 2021 00:06:33 IST
OPEC+ oil output cuts compliance falls to 75% in Dec - Petro-Logistics

OPEC oil output cuts compliance falls to 75 in Dec  PetroLogistics

By Alex Lawler

LONDON (Reuters) - OPEC+ compliance with pledged oil output curbs fell to 75% in December, among the lowest levels since the supply pact started in May 2020, tanker tracker Petro-Logistics said on Tuesday.

This is a lower estimate of compliance by the Organization of the Petroleum Exporting Countries and allies, known as OPEC+ than others have reported. A trend of lower compliance could weigh on oil prices, which are currently at an 11-month high.

OPEC+ made a record oil-output cut of 9.7 million barrels per day, about 10% of world output, to support prices which were pushed to historic lows by the coronavirus pandemic. They had tapered the cut to 7.7 million bpd by December.

Petro-Logistics, a Geneva-based consultant, said December compliance by the OPEC members participating in the deal fell to 82%, down 10% from November, with top exporter Saudi Arabia among the nations showing weaker adherence.

"Even Saudi Arabia saw its compliance drop 10% to 92%," Petro-Logistics said in an email to Reuters.

The non-OPEC countries involved in the pact, of which Russia is by far the largest producer, was even lower at 64%, down 8% from the previous month.

Other estimates have so far found December compliance to be higher.

A Reuters survey found OPEC delivered on 99% of pledged cuts in December. A survey by Platts, one of the sources OPEC uses to track its output, put adherence by OPEC+ at 99%.

(Reporting by Alex Lawler; editing by Jason Neely and David Evans)

This story has not been edited by Firstpost staff and is generated by auto-feed.

Updated Date:

TAGS:

also read

France, Germany to agree to NATO role against Islamic State - sources
| Reuters
World

France, Germany to agree to NATO role against Islamic State - sources | Reuters

By Robin Emmott and John Irish | BRUSSELS/PARIS BRUSSELS/PARIS France and Germany will agree to a U.S. plan for NATO to take a bigger role in the fight against Islamic militants at a meeting with President Donald Trump on Thursday, but insist the move is purely symbolic, four senior European diplomats said.The decision to allow the North Atlantic Treaty Organization to join the coalition against Islamic State in Syria and Iraq follows weeks of pressure on the two allies, who are wary of NATO confronting Russia in Syria and of alienating Arab countries who see NATO as pushing a pro-Western agenda."NATO as an institution will join the coalition," said one senior diplomat involved in the discussions. "The question is whether this just a symbolic gesture to the United States

China's Xi says navy should become world class
| Reuters
World

China's Xi says navy should become world class | Reuters

BEIJING Chinese President Xi Jinping on Wednesday called for greater efforts to make the country's navy a world class one, strong in operations on, below and above the surface, as it steps up its ability to project power far from its shores.China's navy has taken an increasingly prominent role in recent months, with a rising star admiral taking command, its first aircraft carrier sailing around self-ruled Taiwan and a new aircraft carrier launched last month.With President Donald Trump promising a US shipbuilding spree and unnerving Beijing with his unpredictable approach on hot button issues including Taiwan and the South and East China Seas, China is pushing to narrow the gap with the U.S. Navy.Inspecting navy headquarters, Xi said the navy should "aim for the top ranks in the world", the Defence Ministry said in a statement about his visit."Building a strong and modern navy is an important mark of a top ranking global military," the ministry paraphrased Xi as saying.