Kuwait Cuts Oil Production

Kuwaiti officials say the OPEC-member country has reduced oil production this month to around 2.707 million barrels per day, in line with the targeted amount under the OPEC output cut agreement reached on November 30. So far, Saudi Arabia, Kuwait, Iraq and Venezuela are reportedly honoring the commitment to cut output, while Iran uses the time to shore up lost market share, and Libya and Nigeria struggle to ramp up production to avoid destabilization, Oil Price reported. Kuwait agreed in November to cut output by 131,000 barrels per day, starting on January 1. This figure is down from its October baseline production of 2.838 million barrels per day, and down from December’s 2.9 million bpd in production, news agencies cited industry sources as saying. On January 21-22, a committee responsible for monitoring whether the agreed upon cuts are being made will meet in Vienna to hash out a way to monitor compliance with the deal. On Sunday, OPEC Secretary General Mohammad Barkindo is set to visit Kuwait for preliminary discussions with the oil minister regarding mechanisms for monitoring compliance.