World Perspectives

OPEC Cuts Quotas to Match Actual Production and Establish Price Floor

On Sunday, OPEC + announced voluntary cuts in oil production that will amount to 1.657 million barrels per day (bpd). Saudi Arabia, Russia, Algeria, Gabon, Iraq, Kuwait, the UAE, Oman, and Kazakhstan are all planning on production cutbacks starting in May and are planned for the remainder of 2023. The announcement came as a surprise the day before OPEC members were scheduled to meet in Vienna. Yesterday’s announcement comes on top of a previous production cutback of 2 million bpd in October 2022. At the time, Saudi Arabia explained the reason for the 2 million bpd cut as a response to stabilize oil prices against a weaker global economy and increasing interest rates in western countries that had implications for economic growth and...

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From WPI Consulting

Weighing in on strategic realignment

WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.

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