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OPEC sees smaller oil glut, upbeat on non-OPEC cut compliance

Published 18/01/2017, 12:07
© Reuters. FILE PHOTO -  A flag with the OPEC logo is seen before a news conference in Vienna

LONDON (Reuters) - OPEC signalled a falling oil supply surplus in 2017 on Wednesday as the producer group's output declines from a record high and outside producers show positive initial signs of complying with the first joint supply-reduction deal since 2001.

The Organization of the Petroleum Exporting Countries, excluding Indonesia, pumped 33.085 million barrels per day (bpd) last month, according to figures OPEC collects from secondary sources, down 221,000 bpd from November, OPEC said in a monthly report.

The November OPEC production figure was the highest since at least 2008.

As well as reporting lower output from its own members, OPEC cut its forecast of supply in 2017 from non-member countries following pledges by Russia and other non-members to join OPEC in limiting output.

© Reuters. FILE PHOTO -  A flag with the OPEC logo is seen before a news conference in Vienna

OPEC now expects non-OPEC supply to rise by 120,000 bpd this year, down from growth of 300,000 bpd last month, despite an upwardly revised forecast of U.S. supply.

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