Kuwaiti Oil Minister Essam al-Marzouq said on Monday current oil prices were good and are expected to rise with higher compliance to an output reduction deal agreed to by OPEC and non-OPEC producers. Marzouq added the compliance of OPEC member countries was 92 percent while that of non-OPEC producers was 50 percent.
"We understand why the level of compliance of non-OPEC is as such but we also aim to reach 100 percent compliance," Marzouq told reporters at an industry conference.
He added that the non-OPEC countries have pre-set commitments and that compliance to the cut would be gradual. Eleven of the 13 members of the Organization of the Petroleum Exporting Countries are cutting crude output by about 1.2 million barrels per day (bpd) from 1 January while Russia leads 11 non-OPEC producers which have agreed to cut output but half that amount.
Russia cut oil production by 100,000 barrels per day (bpd) in January and plans to deepen the reduction to 300,000 by the end of April. A ministerial committee meeting between OPEC and non-OPEC is scheduled to take place in Kuwait on 26 March. This will be the second meeting after ministers met in Vienna in January to monitor compliance.