As Saudi Arabia and other Gulf Arab members made larger cuts, OPEC oil output hit the lowest in two decades in June. Despite incomplete adherence by Iraq and Nigeria, the group compliance in a supply reduction pact pushed to above 100 percent.
Down 1.92 million bpd from May’s revised figure, the 13-member Organization of the Petroleum Exporting Countries pumped 22.62 million bpd on average in June.
OPEC, Russia and other producers, a group known as OPEC+, agreed to cuts of 9.7 million bpd, or 10 percent of global output, from May 1. OPEC’s share, to be made by 10 members from October 2018 levels in the case of most countries, is 6.084 million bpd. So far in June, they delivered 6.523 million bpd of the pledged reduction, equal to 107 percent compliance. Compliance in May was revised up to 77 percent.
June’s output would be the lowest by OPEC since at least 2000, excluding membership changes since then. The biggest drop in supply came from Saudi Arabia, which pumped 7.55 million bpd in June, almost 1 million bpd below its OPEC+ quota, and the lowest for the kingdom since 2002.
