OPEC announced its commitment to continue cooperation and discussions within the OPEC+ alliance, planning a meeting on February 1 to review the recent oil output cuts. Despite Angola’s decision to exit OPEC last month, OPEC emphasized the importance of cooperation among its members and allies like Russia for the benefit of producers, consumers, investors, and the global economy.
The statement didn’t directly address Angola’s departure but emphasized the unity among OPEC members. Oil prices rose 3% due to supply disruptions in Libya, pushing Brent crude above $78 a barrel. However, doubts about OPEC+’s unity have contributed to Brent’s decline from around $98 in September.
Analysts attribute the current lower prices to oversupply and concerns about the OPEC+ alliance’s stability. OPEC+ plans to continue voluntary oil output cuts of about 2.2 million barrels per day for the first quarter of 2024 to support the market. The Joint Ministerial Monitoring Committee (JMMC), comprising key alliance members, will meet virtually on February 1 and can call for a full OPEC+ meeting if necessary.
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