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7

OPEC bulletin 11/17

bilateral and multilateral meetings and consultations

concerning these challenges. These consultations gath-

ered pace at the beginning of August 2016 with OPEC

Secretary General, Mohammad Sanusi Barkindo, many

OPEC and non-OPEC ministers, as well as heads of state

and governments engaging in the process of rebalancing

the oil market, and expressing their views on the need to

see sustainable stability return.

This initially led to a decision at the landmark 170

th

(Extraordinary) Meeting of the OPEC Conference in Algeria

on September 28, 2016, at which the Conference opted

for a production target for OPEC Member Countries rang-

ing frombetween 32.5 and 33mb/d. This became known

as the Algiers Accord. OPECMembers overcame their dif-

ferences and took a collective decision for the good of

the market, the industry and producers and consumers

everywhere.

The decision focused on the urgent need to stimu-

late acceleration of the drawdown of the stock overhang,

bring market rebalancing forward and ensure that much-

needed investment returns to the industry. Additionally,

it initiated a process of consultations between OPEC and

non-OPEC oil producing countries to establish a platform

from where these producers could take pro-active meas-

ures that would ensure a balanced oil market on a sus-

tainable basis.

Ongoing consultations and

consensus-building

In the latter part of 2016, OPEC continued to use other

platforms— like the G24Ministerial Meeting and the IMF/

World Bank meetings in Washington (October 7–9) and

the World Energy Congress in Istanbul (October 10–13)

— to undertake additional consultations with non-OPEC

producers.

They intensively discussedmarket outlooks, joint col-

laboration, and the possible implementation of a broad-

based production adjustment. OPEC’s Secretary General

also conducted personal visits to nearly all Member

Countries in an effort to consolidate the decision reached

in Algiers.

During these consultations, which extended to many

non-OPEC oil producing countries, all agreed that OPEC

and non-OPEC dialogue should be institutionalized and

that a way should be found to achieve concrete produc-

tion results.

An exhaustive process was underway to turn the

decision of the 170

th

(Extraordinary) Meeting of the OPEC

Conference into a lasting and viable solution for oil mar-

ket stability. The courage, dedication and compromise of

every OPEC Member Country finally led to OPEC’s land-

mark agreement on November 30 at the 171

st

Meeting

The OPEC/non-OPEC Ministerial Meeting was jointly chaired by Dr Mohammed Bin Saleh Al-Sada (second r), President of the OPEC Conference and Minister of

Energy and Industry of Qatar; and Alexander Novak (second l), Minister of Energy of the Russian Federation; here with Mohammad Sanusi Barkindo (r), OPEC

Secretary General; and Eng Mohamed Hamel (l), Algerian Governor to OPEC, and Chairman of the OPEC Board of Governors (in 2016).