Angola announced its exit from OPEC

Angola has announced its exit from the Organization of the Petroleum Exporting Countries (OPEC) after 16 years of membership over a dispute over production quotas.

The country has rejected production limits imposed by OPEC leaders, thus responding to a significant reduction in the country's oil production capacity, Mineral Resources Minister Diamantino Azevedo said.

The marginal level of oil production for Angola next year was planned to be reduced by 180 thousand barrels per day - to 1.11 million barrels per day. However, Angola has said it does not agree with its quota and plans to extract more than the appropriate level. In 2022, oil production in Angola amounted to 1.19 million barrels per day.

Angola's exit will reduce the membership of the Organization of the Petroleum Exporting Countries to 12 countries. Led by Saudi Arabia, the group and its allies have curbed supplies to keep oil prices higher.

After the statement, Brent oil prices (February resource) fell sharply from $79.32/barrel to $78.42/barrel (-1.6%), WTI oil prices (February resource) fell from $74.08/barrel to $73.06/barrel (-1.6%).