Deputy Prime Minister for Energy and Oil Minister Thamer Al-Ghadhban announced that OPEC producers and non-OPEC members will reach an agreement to reduce output at 1,200 million barrels per day starting January 1, 2019 for a period of six months.
"Iraq had an active and positive role in reaching this decision and in cooperation with the large member states of the Organization such as Saudi Arabia and the UAE, in addition to the positive role of Russia during the meetings," he said, adding that Iraq had hoped that the decision would be for one year, I asked to be 6 months.
The minister said that OPEC countries will bear the bulk of the decision to cut production, which will be (800) thousand barrels per day and non-OPEC countries (400) thousand barrels, considering that the share of production of the OPEC countries, about (32) million barrels per day, while countries Outside the "OPEC" is about (18) million barrels per day.
Al-Ghadhban said the impact of the agreement was positive and fast on world oil prices, where it saw a rise of 5% a few hours after the leak of the decision to the media.
"The share of Iraq from the reduction will be 139 thousand barrels per day instead of 220 thousand barrels per day, which was committed to Iraq previously during 2017," noting that "the reduction is acceptable to us, especially that the price of oil that was adopted within the budget of 2019 is $ 56 a barrel One with a total deficit of 20% and therefore we need a price better practical rather than planning. "
The spokesman for the ministry Assem Jihad said that Iraq played a major role in the convergence of views during the meetings proved to be deserved by reaching a resolution after the crisis during the meeting last day, because of the divergence of views between the parties gathered, but Iraq with other countries played a role Large and positive and were able to reach consensus within the organization to pass the resolution.
The oil minister met on the sidelines of the ministerial meeting with oil and energy ministers in Kuwait, Qatar, Iran, Algeria, Saudi Arabia and Russia, where bilateral cooperation was discussed to serve the common interests.
Source: Ministry of Oil