Iraq Supports JMMC's Unchanged Oil Production Policy

Iraq Supports JMMC's Unchanged Oil Production Policy

Shafaq News / Iraqi Deputy Prime Minister for Energy Affairs and Minister of Oil, Hayyan Abdul Ghani, reaffirmed on Friday the endorsement of the Joint Ministerial Monitoring Committee (JMMC) in OPEC+ to maintain the current production policy without any changes while emphasizing the close monitoring of oil market conditions.

This statement was made during his participation in the 49th meeting of the JMMC of OPEC and OPEC+ members, which took place via videoconference on Friday, 04 August 2023.

Abdul Ghani commended the commitment of OPEC and OPEC+ member countries to the declaration of cooperation. He called on all participating countries to continue their support and dedication, aiming to achieve market balance and stability in the oil markets.

In addition, Ammar Abdul Aal, the General Manager of Iraq's State Oil Marketing Company (SOMO), highlighted that maintaining the OPEC+ production policy aims to stabilize the oil market further.

Furthermore, Asim Jihad, the Iraqi Ministry of Oil spokesperson, emphasized that the JMMC's decision was based on a thorough review of the oil market data and developments over the past months. He also reassured that the committee is ready to take additional measures to ensure excellent stability and balance in the oil market.

Jihad pointed out that OPEC+ ministers convene meetings and discussions as needed, responding to the prevailing circumstances. He reaffirmed that the measures and agreements implemented by OPEC+ have significantly contributed to achieving enhanced stability and balance, effectively addressing various challenges such as geopolitical, security, health, and economic concerns.

During the meeting, JMMC reviewed the crude oil production data for May and June 2023 and noted the overall conformity for participating OPEC and non-OPEC countries of the Declaration of Cooperation (DoC). The committee urged all participating countries to conform and adhere to the compensation mechanism fully.

The committee reaffirmed the commitment of its member countries to the DoC, which extends to the end of 2024 as agreed in the 35th OPEC and non-OPEC Ministerial Meeting (ONOMM) on 04 June 2023.

It also noted to adjust the frequency of the monthly meetings to become every two months for the JMMC and the authority of the JMMC to hold additional sessions or to request an ONOMM as agreed on in the 33rd ONOMM on 05 October 2022.

The committee also expressed its full recognition and support for Saudi Arabia's efforts to support the stability of the oil market. It reiterated its appreciation for its additional voluntary cut of 1 million barrels per day and for extending it for September.

It also acknowledged the Russian Federation for its additional voluntary reduction of exports by 300 kbd for September.

It is noteworthy that the next JMMC (50th) meeting is scheduled for 04 October 2023.

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