Opec+ compliance picks up in May: delegate

May compliance among participants to the Opec+ output restraint agreement edged higher on the month, according to an Opec+ delegate.

Opec achieves its conformity figures by averaging the inputs of six secondary sources, including Argus. Average estimates from these institutions put Opec+ May compliance at 114pc, up slightly from the 113pc of April, the delegate said. Angola and Nigeria both lowered their production well below their official deal quotas, reaching respective conformity rates of 178pc and 142pc in May.

The report that assesses market conditions and group compliance for the Opec+ Joint Technical Committee (JTC) and the coalition's Joint Ministerial Monitoring Committee (JMMC) has yet to be circulated among member countries, according to another delegate. Country conformity levels remain preliminary until they are confirmed during JMMC meetings.

Argus had assessed Opec+ compliance at 113pc in May, with Opec member countries reaching 124pc conformity in that period, while their non-Opec counterparties adhered to 94pc of their deal commitments last month.

The Opec+ group will convene again on 1 July to iron out its short-term output policy and its August production quotas, amid lingering uncertainty over Indian demand and ongoing talks that could return Iranian barrels to the worldwide markets.

By Nader Itayim and Ruxandra Iordache