The UAE Minister of Energy and Industry, Suhail bin Mohammed Faraj Faris Al Mazrouei, has revealed that the UAE will voluntarily cut its oil output by 100,000 barrels per day in June in a bid to back Saudi Arabia's efforts to rebalance the world oil market.
The Saudi Ministry of Energy has directed Saudi Aramco to reduce its crude oil production, for the upcoming month of June, by an extra voluntary amount of one million barrels per day, in addition to the reduction committed by the Kingdom in the latest OPEC+ agreement on 12 April, 2020.
This brings the total production cut that will be carried out by the Kingdom, to approximately 4.8 million barrels per day, from the April production level, according to the state-run Saudi Press Agency.
The kingdom’s production for June, after both its targeted and voluntary cuts, will be 7.492 million barrels per day.
The Saudi Ministry has also directed Aramco to reduce its production in the current month of May, from the target level of 8.492 million barrels per day, in consent with its customers.
Through the additional production cuts, the kingdom aims to encourage OPEC+ participants, as well as other producing countries, to comply with the production cuts they have committed to, and to provide additional voluntary cuts, in an effort to support the stability of global oil markets.
Commenting on the supportive measures taken in the UAE, Al Mazrouei said: “While the UAE successfully achieved production of over 4 million barrels a day in early April, it has subsequently reduced its production in line with the OPEC+ agreement.”
He added: “In support of efforts led by the Kingdom of Saudi Arabia to further restore stability to energy markets, the UAE has committed to undertake an additional voluntary cut of 100,000 barrels per day in the month of June.”