MOSCOW, November 12. /TASS/. OPEC+ nations reduced crude production by 40,000 barrels per day in October compared with August to 34.11 mln barrels per day, with compliance of the crude production cut agreement standing at 103%, same as in September, the International Energy Agency said in its Oil Market Report on Thursday.
Output went down due to ten OPEC countries participating in the deal that produced 21.51 mln barrels per day in October. Their compliance totaled 106% of the plan, same as in September. Particularly, the United Arabi Emirates reduced production by 240,000 barrels per day to 2.42 mln barrels per day with 129% compliance.
Non-OPEC states posted 97% compliance for October. The International Energy Agency’s calculations show that non-compliant producers have exceeded their targets by more than 100 mln barrels per day. The largest excess volumes are in the UAE (28 mln barrels per day), Russia (19 mln barrels per day) and Iraq (18 mln barrels per day).
The agency does not expect the planned oil output recovery by 1.9 mln barrels per day starting January 1, 2021 to push global crude reserves up, according to the report.
"Our current balances, incorporating the quota increase of 2 mb/d included in the OPEC+ supply agreement, imply almost zero stock change in the first quarter of 2021. Unless the fundamentals change, the task of re-balancing the market will make slow progress," the report said.
"With a Covid-19 vaccine unlikely to ride to the rescue of the global oil market for some time, the combination of weaker demand and rising oil supply provides a difficult backdrop to the meeting of OPEC+ countries due to take place on 1 December," the agency said.