Azerbaijan Joins Oil Producers in Freezing Output

The president of an Azerbaijan's oil company said that the country supported OPEC decision to freeze oil production as global oversupply and weak demand hit member countries dramatically.

BAKU (Sputnik) – Azerbaijan joined the Organization of the Petroleum Exporting Countries (OPEC) member states’ decision to freeze oil production, the head of the former Soviet republic’s national oil company said Sunday.

"Frankly, we are joining this stance. We are thinking of freezing oil production in 2016 and leaving it at the same level," State Oil Company of Azerbaijan Republic (SOCAR) President Rovnag Abdullayev told the Azerbaijan News Service broadcaster.

Abdullayev specified that certain projects aimed at increasing production have been suspended, and added that projected output rates would not exceed those of 2015.

In mid-February, the energy ministers of Saudi Arabia, Qatar, Venezuela, and Russia agreed to freeze oil production at January levels throughout 2016 if other countries followed suit. A number of other states, including Venezuela and non-OPEC member Oman, have expressed interest in the deal.

Nigerian Petroleum Minister Emmanuel Kachikwu said this week he expected OPEC members and other oil producers to meet on March 20 to finalize the so-called Doha output freeze deal.

Global oil prices fell from $115 to less than $30 per barrel between June 2014 and January 2016, hitting their lowest levels since 2003 largely because of global oversupply and weak demand.