Saudi Arabia, Russia and several OPEC+ producers extend voluntary crude supply cuts until end of June

Heavyweights Saudi Arabia and Russia, alongside several other key OPEC+ producers, will extend their voluntary crude supply cuts until the end of the second quarter.

OPEC+ refers to the coalition of the Organization for the Petroleum Exporting Countries and its allies, steered by Riyadh and Moscow.

Saudi Arabia will stretch out its voluntary crude production cut of 1 million barrels per day until the end of the second quarter, the state-owned Saudi Press Agency said Sunday, citing an official source from the country’s Ministry of Energy.

Riyadh’s crude production will be approximately 9 million barrels per day until the end of June, the announcement said.

Saudi Arabia’s voluntary output reduction, which has been implemented since July last year, was due to expire at the end of this month.

Russia will trim its production and export supplies by a combined 471,000 barrels per day until the end of June, Russian Deputy Prime Minister Alexander Novak said, according to a Google-translated report carried by Russian state-owned agency Tass. Moscow had volunteered to reduce its supplies by a slightly higher 500,000 barrels per day in the first quarter.

OPEC key producers Iraq and UAE will also prolong their voluntary production cuts of 220,000 barrels per day and 163,000 barrels per day, respectively, until the end of the second quarter, according to Google-translated updates from their state-owned news agencies INA and WAM.

Back in November, OPEC+ countries had held a formal policy of collectively reducing their output by 2 million barrels per day until the end of 2024. Separate from the group’s official strategy, several OPEC+ producers, including heavyweights Saudi Arabia and Russia, announced they would voluntarily trim their supplies by a total of 2.2 million barrels per day until the…