OPEC and non-OPEC producing countries participating in the 'Declaration of Cooperation' achieved a conformity level of 109 percent in July, showing 'significant progress' towards the goal set at the 4th OPEC and non-OPEC ministerial meeting on June 23, according to a press release issued by OPEC’s Joint Ministerial Monitoring Committee (JMMC) on Thursday.
The JMMC reviewed the monthly report prepared by its Joint Technical Committee including the overall conformity levels of countries as well as the short-term prospects of the global oil markets, the statement said.
The committee expressed 'overall satisfaction' with the collective performance of member countries in the month of July.
The JMMC also expressed its satisfaction with recent market fundamentals showing “good balance” between supply and demand considering seasonal factors.
The Declaration of Cooperation of December 2016 constitutes an 'unprecedented milestone' in the history of the Organization of the Petroleum Exporting Countries.
For the first time ever, the member countries of OPEC coordinated with 11 non-OPEC oil producing countries in a concerted effort to accelerate the stabilization of the global oil market through voluntary production adjustments, which amounted to approximately 1.8 million barrels per day.
According to the statement, the next meeting of the JMMC is scheduled to take place in Algiers, Algeria on Sept. 23. During the Algiers meeting, the JMMC will review the plan for monitoring overall market fundamentals and conformity levels for the remainder of 2018, as well as the framework of cooperation to be established in 2019 and beyond.
By Hale Turkes