LONDON, Dec. 9 (UPI) -- Venezuela and Saudi Arabia were the only two OPEC members showing production declines, highlighting challenges ahead for a production deal, Platts reported.
S&P Global Platts reported total crude oil production from members of the Organization of Petroleum Exporting Countries increased by 320,000 barrels per day from October. Of the member states, only Venezuela and Saudi Arabia reported declines.
Platts sourced its data from OPEC officials, traders and shippers, among others. A downturn in the Venezuelan economy meant production declined to just over 2 million barrels per day. Saudi Arabia, which committed to output of around 10 million bpd under the terms of last month's production deal, churned out 10.5 million bpd in November, a slight decline from the previous month.
The report found the gains from other member states means it may be difficult to meet the terms of a deal reached in Vienna to cap production at 32.5 million bpd starting in January.
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"Many members appear to be pumping at or close to their full capacity to maximize revenues before the OPEC deal goes into force Jan. 1," the emailed report read.
According to Platts, total OPEC production for November was 33.86 million bpd.
Venezuela, which agreed to cut about 95,000 barrels from its production to 1.97 million bpd, said it was non-member state Russia that played a pivotal role in securing an agreement aimed at overcoming the supply-side strains that brought crude oil prices to below $30 per barrel early this year.
Russia has offered competing narratives on support for the deal. Dozens of delegates from oil-producing nations are scheduled to meet in Vienna to discuss the terms of the production arrangement. The deal hinges in part on non-OPEC cooperation and Russian output is at or near post-Soviet highs.
