OPEC production fell in January but is still shy of the group’s production cut target.
According to data collected by S&P Global Platts, the 10 OPEC members that signed onto the cuts achieved 91 percent of their targeted cuts in January.
OPEC members agreed late last year to reduce the group’s total production down to 32.5 million barrels per day, a 1.2 million bpd reduction from its record-breaking October level.
The production deal was effective at the start of the year and will be in place for an initial six month period.
Total OPEC crude output fell by 1.14 million bpd from October levels to 32.16 million bpd in January.
That figure marked a 690,000 bpd decline from the group’s December production level, Platts found.
The production decline was partially offset by output gains from Libya, Nigeria and Iran.
Libya and Nigeria are exempt from the production cuts while Iran is allowed to slightly boost its production under the agreement.
“The survey shows that several OPEC countries covered by the agreement still need to make some progress in lowering output to their allocations, though the overcompliance of Saudi Arabia, Kuwait and Angola helps compensate,” S&P Global Platts said.
According to a survey conducted by Platts, Saudi Arabia’s production fell to 9.98 million in January.
That production level is below the 10.6 million bpd Saudi Arabia is permitted to pump under the deal.
The production drop marked the first time that Saudi Arabia’s production has fallen below the 10 million bpd mark since February 2015, S&P Platts said.
Kuwait’s production declined 130,000 bpd month-over-month to 2.7 million bpd in January.
Kuwait’s production is now just below its target production level of 2.71 million bpd.
Algeria produced about 10,000 bpd above its qouta in January as the country pumped 1.05 million bpd.
Venezuela produced 2.01 million bpd in January, a level that is above its allocation of 1.97 million bpd under the production deal.
Angola’s production dipped below its allocation level after the country’s crude output fell to 1.63 million bpd in January.
Iraq’s output fell to 4.48 million bpd in January.
While Iraq’s January output a 150,000 bpd month-over-month decline, the country’s output was still shy of its 4.35 million bpd quota under the production deal.
Iranian production jumped 30,000 bpd month-over-month to 3.72 million bpd in January.
Under the OPEC deal, Iran is allowed to increase its production up to 3.8 million bpd.
Power shortages and a fire at the Sarir field pushed Libya’s production down to 670,000 bpd in January, down from a peak production rate of 750.000 bpd earlier in the month, S&P Platts said.
Nigeria production averaged 1.65 million bpd last month thanks to “good signs of recovery after recent attacks on infrastructure in the Niger Delta,” S&P Platts added.