26 June 2018, Quito — Ecuador will boost oil output above the current level of 520,000 barrels per day (bpd) as part of a deal reached by OPEC, the oil minister said on Monday, with new barrels to come from previously announced plans to hike production at large fields.
The Organization of the Petroleum Exporting Countries reached an agreement over the weekend with Russia and other oil producers who are not part of the group to raise output from July by around 1 million bpd in response to a recent run-up in crude prices.
“We have already started (to increase production), we will easily reach 520,000 bpd, which is our commitment to OPEC,” Ecuador’s Oil Minister Carlos Perez told reporters. “We will probably exceed that number in the coming weeks.”
He did not say how much production would rise. Official figures show output at 518,000 bpd over the weekend. The government is betting on the commercial development of its largest oil field, known as IIT, which state-run Petroamazonas projects will reach 80,000 bpd from a current level of 64,700 bpd.
Perez also said Petroamazonas had granted a $25 million services contract to CCDC, a subsidiary of China’s CNPC, to increase production at the Sacha field in the Amazonian province of Orellana.
The contract seeks to boost the field’s output by 5,000 bpd from the current 65,700 bpd, he said, without saying the time frame in which this would take place.
(Reporting by Alexandra Valencia, writing by Brian Ellsworth; editing by Diane Craft)