OPEC’s Strong Start to New Oil Cuts Marred by Usual Suspects

  • Output fell by 5.84m b/d in May to lowest since 2002: survey
  • Compliance with cuts was 77%, undermined by Iraq and Nigeria
Photographer: Tom Saater/Bloomberg
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OPEC’s delivery of its latest oil-production cutbacks, while strong overall, was undermined by its habitual laggards.

The Organization of Petroleum Exporting Countries implemented three-quarters of the cuts pledged in May to re-balance a global market upended by the coronavirus, according to a Bloomberg survey. Yet performance was marred by Iraq and Nigeria, who executed less than half of their agreed reduction.