Global oil markets were refreshed after OPEC+ reached the agreement for an output cut of 1.2 million barrels per day beginning in January.
In November, Iran’s oil output fell to below 3 million barrels per day (
Iran’s exports are expected to be around 1.1 million to 1.3 million
Qatar’s announcement to withdraw from OPEC, effective Jan. 1, won’t impact the OPEC+ agreement as Doha’s focus is on natural gas and it produces only around 600,000 barrels of crude per day. Qatar’s departure is not of any significance for the operations or effectiveness of OPEC as an international organization. OPEC+ will be closely monitoring the impact of the supply levels on the oil market and will review market data in April 2019.
It is unclear yet if Saudi Arabia will be shouldering most of the output cuts, while Russia will cut 230,000 barrels per day out of the 400,000 barrels agreed to among the non-OPEC producers.