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Malaysia agrees with oil production cuts by OPEC+

admin2022-10-264

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,Minister in the Prime Minister’s Department (Economy) Datuk Seri Mustapa Mohamed

KUALA LUMPUR: Malaysia has agreed with the recent implementation of oil production cut of 2 million barrels per day by the Organisation of the Petroleum Exporting Countries and allies (OPEC+) with effect from November 2022.

Minister in the Prime Minister’s Department (Economy) Datuk Seri Mustapa Mohamed said the decision was unanimous as OPEC+ countries collectively took into consideration factors that include market fundamentals, particularly to address uncertainties in the global oil supply and demand situation.

"Malaysia supports OPEC+ longstanding initiative and proactive approach, including the Document of Cooperation signed on Dec 10, 2016, that brings together the oil producing countries to adhere to the robust mechanisms in dealing with market challenges,” he said in a statement today.

He said Malaysia, which is a member of OPEC+, would continue its close collaboration with OPEC+ to ensure the stability of the global oil market, in view of the prospect of prolonged uncertainties.

In early October, OPEC+ announced the largest supply cut since 2020 by 2 million barrels per day amid the uncertainty that surrounds the global economy and oil market outlooks.

Malaysia will cut its daily crude oil output by 27,000 barrels to 567,000, under a planned collective production reduction by OPEC+. - Bernama


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