Azerbaijan`s production commitments were approved for the next 3 months

The ministers of OPEC plus confirmed the decision adopted at the 15th Ministerial Meeting of OPEC and non-OPEC countries on production commitments for May-June-July. Within the Declaration of Cooperation, Azerbaijan has also set production quotas for the next three months. The new production commitments of Azerbaijan  will make up as 115 thousand barrels for May, 108 thousand barrels for June and 98 thousand barrels for July. Throughout the country, the crude oil production will be maintained at 603 thousand barrels in May, 610 thousand barrels in June and 620 thousand barrels in July respectively.  The daily crude oil production will be increased by 8 thousand barrels in May, 7 thousand barrels in June and 10 thousand barrels in July.

Minister of Energy Parviz Shahbazov said that the gradual increase in production and mitigation of shortages are adequate to the market and will contribute to the regulatory process: "Recently, the global oil market has become more balanced, commercial oil reserves have declined and the oil price corridor has become relatively stable. In this respect, the situation is appropriate for the implementation of our three-months production plans. In addition to the positive trends in the oil market, the risks still remain, which necessitates the growth of production within the scope of the intended volumes, not exceeding quotas and the implementation of compensations. I believe that an adherence by participants of the Declaration of Cooperation to their commitments will ensure the necessary support to the oil market in the future.”

It should be reminded that the three months plan was adopted at the 15th Ministerial Meeting of OPEC plus on 1 April 2021, in which the production commitments of the participants of the Declaration of Cooperation were set as 6.55 million barrels for May, 6.2 million barrels for June and 5.76 million for July.