The authorisation of a new Member State requires the agreement of three quarters of the current OPEC members, including the five founders. [123] In October 2015, Sudan formally applied for membership,[124] but is not yet a member. OPEC-Plus, a group of 23 oil-producing countries, including Russia, agreed on Sunday to cut production by 9.7 million barrels per day for May and June. The agreement also calls on OPEC Plus members to reduce oil production by 6 million barrels per day by April 2022. US President Donald Trump tweeted the success of the negotiations on Sunday morning. In the 1990s, OPEC lost its two youngest members who joined in the mid-1970s. Ecuador withdrew in December 1992 because it was unwilling to pay the US$2 million annual dues and estimated that it had to produce more oil than was allowed by the OPEC quota,[65] although it re-joined in October 2007. Similar concerns led Gabon to suspend its membership in January 1995; [66] In July 2016, she was reinstated. [2] Iraq has been a member of OPEC since the creation of OPEC, but Iraqi production was not part of OPEC quota agreements between 1998 and 2016 due to the country`s frightening political difficulties. [67] International commodity agreements on products such as coffee, sugar, tin and, more recently, oil (OPEC: Organisation of Petroleum Exporting Countries) are examples of international cartels that have concluded public agreements between different national governments. “Prices are expected to be strong from Monday and keep them above $40,” said Bjornar Tonhaugen of Rystad Energy. By agreeing to restart production, members of the 13-member Organization of Petroleum Exporting Countries, led by Saudi Arabia and a group of 10 other major Russian-led producing nations, are effectively betting that the recovery in prices will continue.

The larger group is called OPEC-plus. When OPEC members tired of multi-year supply competition, with lower yields and reduced financial reserves, the organization finally tried to cut production for the first time since 2008. Despite many political obstacles, a September 2016 decision to reduce about 1 million barrels per day was codified by a new quota agreement at the OPEC conference in November 2016. The agreement (which exempted Libya and Nigeria from troubled members) extended into the first half of 2017, in addition to the cuts promised by Russia and 10 other non-members, offset by expected increases in the US shale sector, Libya, Nigeria, unused capacity and increased OPEC production at the end of 2016, before the cuts came into effect. Indonesia has announced a new “temporary suspension” of its OPEC membership, instead of accepting the 5% production cut requested by the organization. Prices fluctuated around $50/bbl and in May 2017 OPEC decided to extend the new quotas until March 2018, with the world waiting to see if and how the amount of oil floods could be fully depleted by then. [98] [99] [100] [101] [102] [103] [3] Long-time oil analyst Daniel Yergin “described the relationship between OPEC and shale as “mutual coexistence,” with both sides learning to live with lower prices than they would like.” [104] These production cuts in non-OPEC countries are generally referred to as OPEC. [105] [106] The Message, April 12, 2020, the Organization of the Petroleum Exporting Countries (OPEC) and other major oil producers, such as Russia, have reached a historic agreement to reduce production by 9.7 million b/d and that further production cuts from other countries, such as Brazil, Norway and Canada, have been hailed as a first step in the fight against the huge oil surplus that is accumulating worldwide.