Ministry of Energy about obligations of Azerbaijan for oil production

In the framework of the adopted “Declaration on Cooperation”, Azerbaijan production quotas are defined for the next three months. Thus, the new obligations of Azerbaijan on extraction will amount to 115 thousand barrels in May, 108 thousand barrels in June and 98 thousand barrels in July. The daily mining of crude oil in the country will continue at the level of 603 thousand barrels in May, 610 thousand barrels in June and 620 thousand barrels in July, respectively. Daily mining of crude oil will increase by 8 thousand barrels in May, for 7 thousand barrels in June and 10 thousand barrels in July.

Minister of Energy Parviz Shakhbazov said that a gradual increase in production and mitigation of the reduction of adequately situation in the market and will contribute to the regulatory process:

“Recently, there has been a tendency to balance the global oil market, reducing the commercial oil reserves and relative stabilization of the corridor of reasonable prices. In this aspect, the situation is favorable to start selling our production plans on three-month graphics. Along with positive trends in the oil market, but At the same time, persistent risks, it is necessary that the growth of production was within the framework of the outlined volumes, did not exceed the quota and was not carried out at the expense of compensation. I believe that the commitment of the participants of the Declaration on Cooperation “with its obligations and will continue to provide the necessary support for the oil market.”

Recall that on April 1, 2021 at the 15th meeting of the ministers of OPEC Plus countries, the participants of the Declaration on Cooperation signed a Memorandum of Understanding and a three-month plan was adopted in terms of oil production reduction in May 6.55 million barrels, In June, 6.2 million barrels, and in July by 5.76 million barrels per day.