OPEC bulletin 3–4/17
C o n f e r e n c e N o t e s
a conformity level of 94 per cent, which represented an
increase of eight percentage points over the January 2017
“This demonstrates the willingness of all participat-
ing countries to continue their cooperation,” stressed
The JMMC comprises the Oil and Energy Ministers of
OPEC Members Algeria (Noureddine Boutarfa), Kuwait
(Issam A Almarzooq — Committee Chairman) and
Venezuela (Dr Nelson Martinez), as well as non-OPEC
Oman (Mohammed Hamad Al Rumhy) and the Russian
Federation (Alexander Novak). Also attending the lat-
est meeting by special invitation was Jabbar Ali Hussein
Al-Luiebi, Oil Minister of Iraq; Suhail Mohamed Al
Mazrouei, Minister of Energy of the United Arab Emirates;
and Adeeb Al-Aama, Saudi Arabia’s OPEC Governor.
The press release pointed out that certain factors
had slowed down the positive impact of the production
adjustments on inventory drawdowns.
These factors included low seasonal demand, refin-
erymaintenance and rising non-OPEC supply. At the same
time, said the release, the liquidation of positions by
financial players in the market had also been observed.
However, the Committee maintained that the end of
the refinery maintenance season, coupled with a noticea-
ble slowdown in the United States oil stock-build and the
reduction in floating storage, “would support the positive
efforts undertaken to achieve stability in the market.”
The JMMCwas established following the 171
of the OPEC Conference in Vienna on November 30, 2016,
and the subsequent ‘Declaration of Cooperation’ reached
at the Joint OPEC/non-OPEC Ministerial Meeting in the
Austrian capital on December 10.
The press release noted that under the ‘Declaration’,
OPEC and the 11 participating non-OPEC oil-producing
countries were cooperating in a concerted effort to accel-
erate the stabilization of the global oil market through
voluntary adjustments in combined production of around
1.8 million barrels/day.
It explained that the ‘Declaration of Cooperation’,
which came into effect on January 1, 2017, was for the
first six months of the year, but was extendable for an
additional six months, depending on the status of sup-
ply and demand, including global inventories.
In view of the current situation, the JMMC requested
that the JTC, along with the OPEC Secretariat in Vienna,
review the oil market conditions “and revert to the JMMC
in April 2017 regarding the extension of the voluntary pro-
duction adjustments as stipulated in the ‘Declaration of
Cooperation’, in order to ensure market stability.”
The press release added: “The JMMC will deliberate
Issam A Almarzooq (c), Minister of Oil and Minister of Electricity and Water, Kuwait, and JMMC Chairman; with Alexander Novak (l), Minister of
Energy, Russian Federation; and Mohammad Sanusi Barkindo (r), OPEC Secretary General.