VIENNA: The Organisation of the Petroleum Exporting Countries (OPEC) Secretariat said that it received compensation plans from Iraq, Kazakhstan, and Russia for their overproduced oil volumes in the first half of 2024.
OPEC said in a statement that the combined overproduction from the three countries totalled 2.28 million barrels per day (bpd) during the period. Iraq overproduced 1.18 million bpd, Kazakhstan 620, 000 bpd, and Russia 480, 000 bpd, Xinhua news agency reported.
Iraq and Kazakhstan will begin compensating for their overproduced volumes this month, while Russia will start in October this year.
The three countries will fully compensate for their overproduction by September 2025, with their respective compensation cuts varying from month to month.
In June, a meeting of oil ministers from OPEC and its allies, a group known as OPEC+, reiterated the importance of adhering to full conformity and the compensation mechanism. OPEC+ decided at the meeting to extend its current output cuts at least into the third quarter of this year.