Baku Energy Forum - Energy Ministry praises Azerbaijan’s performance under OPEC+ agreement

Energy Ministry praises Azerbaijan’s performance under OPEC+ agreement


Over the past nine months, Azerbaijan has fulfilled its oil production obligations under OPEC+ agreement by 145 percent, the Ministry of Energy said in a statement published in its official website.

According to the information provided by the Ministry, over the period of January-September 2019, oil production in Azerbaijan amounted to 767,000 barrels per day, whereas under OPEC+ agreement provides for 776,000 barrels per day.

“This means that Azerbaijan fully meets its obligations under OPEC+ agreement,” the Ministry noted.

The Ministry of Energy mentioned that the daily oil production in Azerbaijan amounted to 755,000 barrels in September 2019 compared to 749,000 barrels in August 2019.

"In September, the daily volume of oil production in Azerbaijan amounted to 755,000 barrels, of which 683,000 barrels accounted for oil, 72,000 barrels for condensate," the Ministry informs.

In September 2019, the daily volume of oil export from Azerbaijan amounted to 560,000 barrels. As for the daily export of condensate and oil products, 68,000 and 6,200 barrels were exported, respectively.

"Data on Azerbaijan’s daily oil production in September was submitted to the joint technical commission of the OPEC monitoring committee," the Ministry said.

The joint technical commission was established on January 22, 2017 under the monitoring committee created to monitor the fulfillment of the countries' commitments to reduce oil production. At the 5th OPEC and non-OPEC Ministerial Meeting in Vienna on December 7, 2018, an agreement was reached to reduce daily oil production by 1.2 million barrels.

The implementation of the Declaration of Cooperation is planned from July 1, 2019 to March 31, 2020. The quotas of OPEC + countries established by the agreement of December 7, 2018, which came into force on January 1, 2019, remain unchanged: cartel countries cut production by 800,000 barrels per day, and non-OPEC countries - by 400,000 barrels.

Note that the average daily oil production in Azerbaijan amounted to 792,600 barrels in 2018.

OPEC is a permanent intergovernmental organization created at the Baghdad Conference on September 10–14, 1960, by Iran, Iraq, Kuwait, Saudi Arabia and Venezuela. It was created by oil-producing states to control production quotas.

OPEC+ is 14 countries that are OPEC members plus another 10 oil producing states, including Azerbaijan. The total number is 24 participants, which account for the bulk of global oil production.