SAUDI ARABIA spearheaded a deal Friday that will see the OPEC+ group of oil producers commit to some of the sector’s deepest output cuts in a decade aiming to avert oversupply and support prices.

Saudi with OPEC peers and allies led by Russia backed a plan that could see cuts of as much as 2.1 million barrels per day (bpd), Saudi Energy Minister Prince Abdulaziz bin Salman said.

The figures include an extra 500,000 barrels per day in cuts to take the OPEC+ target 1.7 million bpd, or 1.7 percent of global demand, plus Saudi continuing to cut 400,000 bpd more than its quota.

“The Saudi goal was not necessarily to push oil prices significantly higher, but rather... to put a firm floor under them during the first quarter to temper any seasonal weakness,” said Amrita Sen, co-founder of Energy Aspects.

OPEC+, which includes more than 20 producers, pump over 40 percent of the world’s oil. They are taking action ahead of expected output increases next year by countries not participating in the cuts led by top producer the United States.

Producers will meet again in early March to decide their next move, Prince Abdulaziz told reporters at the conclusion of a meeting with OPEC+ producers, adding that there was “deep belief” their collaboration would continue.

“The jury is still out where will we be in March,” he later said.

Of the 500,000 bpd additional cuts, OPEC will shoulder 372,000 bpd and non-OPEC producers an extra 131,000 bpd, OPEC announced.

(SD-Agencies)