Iraq confirms commitment to compensating for surplus oil production
The Majnoon oil field in southern Iraq. Photo: AFP
Baghdad (IraqiNews.com) – The Iraqi Ministry of Oil confirmed on Wednesday its commitment to compensating for any surplus oil production since the beginning of 2024.
The announcement by the Iraqi Oil Ministry comes after sources estimated that Iraq exceeded the quota allocated for May by about 203,000 barrels.
The Iraqi Oil Ministry mentioned in a statement that it is committed to meeting the four million barrels of oil output projected for June and the following months, the Iraqi News Agency (INA) reported.
The statement elaborated that Baghdad will commit to compensating the surplus in oil production since the beginning of 2024, throughout the compensation period, which extends to the end of September 2025.
The Iraqi Minister of Oil, Hayan Abdul-Ghani, confirmed in mid-May that Iraq is committed to OPEC+ voluntary output reduction.
Abdul-Ghani stated that a plan has been prepared to compensate for the increase in oil production during the past period.
Earlier in May, OPEC+ mentioned that Iraq and Kazakhstan agreed to compensate for excess oil production by further reducing their oil output until the end of 2024.
OPEC+ said following an online meeting that Iraq exceeded its quota by pumping 602,000 barrels per day in total in the first three months of 2024, while Kazakhstan exceeded its quota by pumping 389,000 barrels per day.
OPEC+ added that any overproduction that may arise in April 2024 for Iraq and Kazakhstan will be accommodated in the respective compensation plans over the remaining months of 2024.