Sun. Nov 28th, 2021

LONDON (Reuters) – OPEC’s compliance with an agreement among oil producers to reduce output has been acceptable, Iran’s oil minister said on Monday, adding that some changes were needed if participants seek to balance the market.

The Organization of the Petroleum Exporting Countries, Russia and several other producers have cut production by about 1.8 million barrels per day (bpd) since the start of 2017.

Oil prices have risen by 15 percent in the past three months.

Participants have been considering extending the deal beyond the end of March 2018 when it is due to expire.

“OPEC’s compliance has been acceptable overall. However, some changes are needed,” Iran’s oil minister Bijan Zanganeh was quoted as saying by SHANA, the oil ministry’s news agency.

“Firstly, all members should commit 100 percent to the production cut agreement and secondly, the production level of Nigeria and Libya should be brought into consideration,” he said.

OPEC members Libya and Nigeria have been exempted from supply curbs as their oil industries recover from years of unrest.

OPEC also let Iran have a small output increase so it could recover market share lost while under Western sanctions.