OPEC: Joint Technical Committee Convenes To Review Oil Market Development

The Organisation of Petroleum Exporting Countries (OPEC), Joint Technical Committee (JTC) of the Declaration of Cooperation (DoC) held its 61st meeting to examine the oil market situation and relevant trends.

The meeting took place via videoconference ahead of the 39th meeting of the Joint Ministerial Monitoring Committee (JMMC) and the 27th OPEC and non-OPEC Ministerial Meeting (ONOMM).

OPEC in a statement on Wednesday in Abuja said that the JTC was preparatory to the 39th JMMC and 27th ONOMM slated for March 31.

OPEC Secretary-General, Dr. Mohammad Barkindo in a remark highlighted the vital roles played by JTC in providing timely and reliable analysis of oil market conditions to facilitate decision-making processes, particularly during periods of uncertainty witnessed since the outbreak of COVID-19.

The Secretary-General also commended the efforts undertaken by the DoC participating countries in supporting stability and the rebalancing process in the global oil market.

“The heavy lifting done by the DoC countries has been instrumental in supporting these efforts.

“Leading international organisations and institutions came together in the early days of the pandemic to endorse efforts to stabilise the energy markets.

“This high level of cooperation provided pivotal support to collective efforts undertaken by DoC countries,” Barkindo said.

In reference to recent market developments, he said: “We urge global leaders to follow this example of multilateralism to once again ensure an unhindered, stable, and secure flow of energy to the whole world.”

Barkindo enjoined the DoC participants to stay the course regarding the DoC decisions and remain vigilant and attentive to ever-changing market conditions.

“We must remain focused on balancing the oil market,” he said.

Barkindo said that world oil demand was projected to grow by around 4.2 mb/d in 2022 to reach 100.9 mb/d, exceeding pre-pandemic levels.

Barkindo also welcomed plans by industry stakeholders to increase investment and launch new projects, including Aramoc’s intention to boost upstream capital spending by around 50 billion dollars this year.

“This underscores the commitment of the Kingdom of Saudi Arabia to address the world’s future energy needs,” he stated.

The Secretary-General concluded by wishing attending delegates a blessed Holy Month of Ramadan.

The OPEC and non-OPEC Ministerial Meeting – the DoC’s decision-making body – is supported by the JMMC, which is mandated to examine oil market conditions, review the conformity of the DoC voluntary production adjustments and recommend further actions.