London — OPEC has committed to 800,000 b/d in output cuts, and 10 non-OPEC producers led by Russia will slash another 400,000 b/d for six months beginning January, under a preliminary deal reached Friday after two days of tense negotiations.
Iran, Libya and Venezuela will be effectively exempt from the cuts, though the text of the deal will say they received "special considerations," Iraqi oil minister Thamir Ghadhban said.
As for the rest of the countries: "Up to 3% cuts for everyone," using October output levels as the baseline for cuts, except for Kuwait, which will use September, due to bad weather affecting its production in October.
The deal, if finalized, will be up for review in April.
The 24-country OPEC/non-OPEC coalition will meet later Friday to discuss the deal and, if approved by all members, sign it into force.
"In 2019 our focus needs to be to maintain balance," UAE energy minister Suhail al-Mazrouei said in prepared remarks after the deal was announced. "We will always focus on what we can do regarding market fundamentals."
--Edited by Alisdair Bowles, firstname.lastname@example.org