Saudi Arabia To Cut Oil Production By Additional 1 Million Bpd
By Arab News
Saudi Arabia said on Monday it will reduce its crude oil production for June by an additional one million barrels per day.
The voluntary cut is in addition to reductions already announced by the Kingdom as part of the OPEC+ agreement last month.
Oil prices increased on the announcement.
The Ministry of Energy official said Saudi Aramco had been directed to reduce production.
“This brings the total production cut that will be carried out by the Kingdom to around 4.8 million barrels per day, from the April production level,” the official said. “Therefore, the Kingdom’s production for June, after both its targeted and voluntary cuts, will be 7.492 million barrels per day.”
The ministry also directed Aramco to reduce production for the rest of May, from the target level of 8.492 million barrels per day, in consent with its customers.
The official said the Kingdom “aims through this additional cut to encourage OPEC+ participants, as well as other producing countries, to comply with the production cuts they have committed to, and to provide additional voluntary cuts, in an effort to support the stability of global oil markets.”
Kuwait also joined Saudi Arabia on Monday in announcing fresh oil production cuts to be implemented in June.
Oil Minister Khaled Al-Fadhel said Kuwait would slash production by 80,000 barrels per day in June, on top of the cuts already agreed with OPEC+.
