Angola withdraws from OPEC, disagreement with oil quotas

Angola withdraws from OPEC disagreement with oil quotas

Rebound within OPEC+ which brings together oil exporting countries. Angola, an oil heavyweight on the African continent, has decided to withdraw from the organization. The reason: disagreements over the reduction in quotas desired by the main world producers.

2 mins

Angola’s decision was announced this Thursday, December 21, by the Minister of Natural Resources, Oil and Gas, Diamantino Pedro de Azevedo following a Council of Ministers. President João Lourenço immediately signed a presidential decree.

This is not a rash, untimely decision », Specified the minister. “ So far we have had no influence on the quotas, but if we were to remain in OPEC we would suffer the consequences of the decision to respect the production quotas “, he told public television TPA. “ One of OPEC’s mechanisms is the allocation of production quotas for its member countries. And it is certain that by continuing within this mechanism, sooner or later, Angola would have been forced to reduce its production, which goes against our objectives of stabilizing it. », explained the minister.

We have always done our duty, but Angola saw fit to leave. Now is the time for our country to focus more on its goals », further justified the minister on television. Angola has been very active “ but our role within the organization no longer seems relevant to us at present “, he said, adding. “ Current results do not serve our interests “.

At the end of November, Angola and Nigeria, the two oil heavyweights on the African continent, showed themselves unhappy with their quotas. OPEC had established a quota of 1.11 million barrels/day for Angola. Luanda had clearly indicated that it wanted to maintain its production at 1.18 million barrels/day.

Founded in 1960, OPEC, which brings together 13 members under the leadership of Saudi Arabia, formed an alliance in 2016 with ten other countries, including Russia, in the form of an agreement called OPEC+, with the aim of to limit supply and support prices in the face of the challenges posed by American competition.

This departure from Angola could therefore be part of President João Lourenço’s strategy. which consists of fostering close ties with the United States », Underlines Marisa Lourenço, political and economic risk analyst specializing in the region, cited by AFP.

rf-5-general