Iraq Pledges 139,000 B/D Cut

Iraq’s Oil Ministry says it will cut output by almost 140,000 b/d during the first half of 2019 in order to comply with last week’s Opec+ deal (see above and MEES, 7 December ). This equates to a 3% cut for Opec’s No.2 producer from its 4.65mn b/d October output, a record high.

The deal comes at an awkward time for Baghdad given last month’s deal to resume exports via the KRG pipeline from Kirkuk to Turkey ( MEES, 16 November ), effectively enabling a 100,000 b/d output boost. State firm Basra Oil is adding production left and right ( MEES, 12 October ) and PetroChina is on pace to hit 400,000 b/d at Halfaya within a matter of weeks adding another 200,000 b/d to nationwide production ( MEES, 23 November ). (CONTINUED - 348 WORDS)