The Gulf Cooperation Council (GCC) Ministerial Council held its 159th session on Sunday (Mar 3) in Riyadh, Saudi Arabia. It was chaired by Qatar’s Prime Minister and Minister of Foreign Affairs HE Sheikh Mohammed bin Abdulrahman bin Jassim Al Thani. Egypt’s foreign minister Sameh Shoukry was also present.
Moscow, Riyadh, and several other OPEC+ members announced extensions to oil production cuts first planned in 2023.
The initial cuts were part of an agreement among oil producers to raise prices in the face of economic uncertainties.
The plan is to extend cuts until mid-2024.
Russia’s Deputy Prime Minister Alexander Novak said that “in order to maintain market stability, these additional cuts will be gradually restored depending on market conditions” after the end of the second quarter.
Russia announced 471,000 bpd of cuts in Q2. Meanwhile, Saudi Arabia’s energy ministry said it would cut its production by one million barrels per day (bpd) from April to June (Q2).
These measures are in addition to the 500,000 bpd cut announced in April 2023 and are valid until the end of 2024. UAE, Kuwait, Iraq, and Kazakhstan also agreed, as they announced that they will extend current cuts until the end of June.
Since the end of 2022, the OPEC+ oil partnership of 22 nations has implemented supply cutbacks of more than five million barrels per day (bpd).
The session also discussed war in Gaza
Both, Qatar’s prime minister and Egypt’s Shoukry, stressed the need to find a solution to the escalating situation in Gaza.
“Peace, security and stability will only be achieved by moving to the path of a serious political solution to the Palestinian issue” added Shoukry in his speech.
(With inputs from agencies)
