Iraq to Continue Supporting OPEC Efforts on Oil Market Stabilization

Iraq’s Minister of Oil Jabbar Ali Hussein Al-Luiebi said that Iraq would continue to back the OPEC Secretariat and work together with Member Countries, as well as non-OPEC countries, to help stabilize and bring balance to the oil market.

MOSCOW (Sputnik) — Iraq will further support the efforts of the Organization of the Petroleum Exporting Countries (OPEC) aimed at stabilization of the oil market, Iraq’s Minister of Oil Jabbar Ali Hussein Al-Luiebi told the OPEC secretary general on Wednesday.

"HE Al-Luiebi also reiterated Iraq’s support to OPEC in the current oil market environment. He pledged that Iraq would continue to back the OPEC Secretariat and work together with Member Countries, as well as non-OPEC countries, to help stabilize and bring balance to the oil market," a press release published on the OPEC's website said.

OPEC Secretary General Mohammad Sanusi Barkindo said in his turn that Iraq played an important role in helping to achieve the market stability.

He stressed that between June 2014 and January 2016 the OPEC Reference Basket price fell by 80 percent, which was the largest percentage fall over the past three decades.

Barkindo also pointed out that decreased oil price led to "a dramatic drop off in oil market investments." For instance, global exploration and production spending decreased by around 26 percent in 2015 and a further 22 percent drop is expected this year.

On September 28, the OPEC member states reached an agreement on the sidelines of an international energy forum in Algeria to set a production ceiling of 32.5-33 million barrels per day.

On October 23, head of the state-backed Iraqi company State Oil Marketing Organization (SOMO) Falah Al-Amri said Iraq was not going to reduce the achieved oil production level of 4.7 million barrels per day.

The OPEC countries are set to finalize the agreement on oil output freeze at the OPEC summit in Vienna on November 30.