OREANDA-NEWS. February 13, 2017. Venezuela's efforts to maintain coordinated Opec and non-Opec output reductions of at least 1.75mn b/d during all of 2017 are gaining support from key oil producers, the foreign ministry said.

Foreign minister Delcy Rodriguez and new energy minister Nelson Martinez have visited seven countries this week, including Russia, Iran, Iraq, Kuwait, Saudi Arabia, Qatar and Oman today, to review implementation of a six-month output reduction agreement reached last December by Opec and 11 non-Opec producers.

The International Energy Agency said in its latest Oil Market Report (OMR) that January Opec production fell to 32.06mn b/d, implying a "record initial compliance of 90pc with the output agreement" that the group struck at the end of last year. Argus assesses that Opec production dropped by around 1.15mn b/d in January, pointing to a 98pc adherence to the group's cut pledge.

All government officials the Venezuelan ministers have met with in the visited countries indicated a willingness to support extending the current six-month output cuts for the entire year, the foreign ministry said.

Besides reviewing producer compliance, Rodriguez is making a case for President Nicolas Maduro's proposal for a 10-year market stabilization pact between Opec and non-Opec producers, the ministry said.

The Venezuelan proposal contemplates initially extending the six-month output reductions for a full 12 months through December 2017, assuring market stability that Caracas expects should boost oil prices to a range of \\$60-70/bl by end-2017.

Keeping the output reductions in effect also gives Opec and non-Opec producers more time to agree on the date, location and agenda of a heads of state summit that Maduro hopes will lead to an institutionalized long-term pact to ensure strong oil prices with coordinated supply reductions, the foreign ministry said.