Saudi Arabia helps OPEC fulfill deal by 124%

An additional reduction in oil output in Saudi Arabia as part of the OPEC+ agreement led to a decline in crude production by OPEC states by 0.65 million barrels per day in monthly terms in February - to 24.85 million barrels. But the organization completed the oil deal by 124% against 108% in January, Report informs, citing OPEC's monthly report.

"The total oil production of 13 OPEC countries averaged 24.85 million barrels per day in February 2021, which is 0.65 million barrels per day lower than the previous month. Production increased mainly in Nigeria, Iraq, Iran, Venezuela. and Libya, and declined mostly in Saudi Arabia and Angola," the report reads.

The updated OPEC+ agreements started in May 2020 with the curbs of 9.7 million barrels daily.

Later the conditions were adjusted, and as of February 2021, the restrictions were 7.125 million barrels. Only 10 out of 13 OPEC countries participate in the deal, which excludes Iran, Venezuela, and Libya.

The baseline for all is October 2018, but for Saudi Arabia, it is 11 million barrels.

At the same time, Saudi Arabia, in addition to its quota, pledged to reduce production by another 1 million barrels per day from February while not limiting the duration of additional cuts.

So, oil production in the kingdom in the reporting month fell by 930,000 barrels per day - down to 8.15 million barrels.

In February, OPEC cut output by 5.661 million barrels per day, fulfilling its obligations under the OPEC+ agreement by 124%.

Meanwhile, Gabon remained the lowest-performing country in the OPEC+ deal in February after it fulfilled the agreement terms by only 25%.