Nigeria, Saudi Arabia, others sign new OPEC Charter

Harvard analyst finds OPEC has more work to do to pull markets back to balance as many players outside the group are producing more oil. Photo by AzmanMD/Shutterstock

By Habiba Broger 

Member and  Non member nations of the Organization of Petroleum Exporting Countries (OPEC) on Tuesday signed a “Charter of Cooperation” in a bid to further strengthen their partnership. 

The charter now replaces the “Declaration of Cooperation “ which was reached in December 2016 between  the two groups of the bloc. 

Speaking at the end of the 6th OPEC and non-OPEC Ministerial Meeting in Vienna Mr Salvador Fernandez , President of the bloc’s Council  reaffirmed  the continued commitment of  the member countries to a stable market as stipulated in the cooperation.

“Participating producing countries are committed to promoting the interest of  producing nations. The efficient, economic  and secure supply to consumers and a fair return on invested capital as well as the return of confidence and investment to the oil industry “ Fernandez said. 

Fernandez who is also the Venezuelan Petroleum Minister  noted that the meeting  focused on  recent oil market developments and immediate prospects as well as collaborative efforts by members. 

In the same vein, Mr Alexandra Novak, Russian Energy Minister and  Co-chair of the meeting described the Charter as not only “ historic but a basis for solidifying cooperation.

“It is not only a historic document which solidifies our cooperation but also a solid foundation for future analysis of the market  and basis for decision making to stabilize the market’’.

Novak who noted the successes achieved  through the Declaration of Cooperation  said 

that the market was currently in a better shape than it used to be .

“To  further stabilise the market we have decided to significantly intensified monitoring in bid to forestall potential uncertainties that could disstabilise the market”

The News Agency of Nigeria( NAN) reports that the  new agreement is being seen as a sign of the bloc’s efforts to stay relevant in the oil market which has been transformed by booming US shale oil output.

Nigeria and 13 other OPEC member nations as well as some non member countries have already signed the charter

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