Introduction:

Following differences on its production targets, Angola, which is the second largest oil producer in Africa, has announced that it will be withdrawing from the Organization of the Petroleum Exporting Countries (OPEC), which is led by Saudi Arabia.

OPEC

The decision was made during a meeting of the cabinet, and President João Lourenço gave his approval to the move. Following the decision made by the producer group to reduce Angola’s oil output target in the previous month, which was part of a series of cuts led by Saudi Arabia to assist in maintaining prices, the decision was made.

Angola became a member of the Organization of the Petroleum Exporting Countries (OPEC) in 2007, although it has been at odds with Saudi Arabia during recent meetings on efforts to reduce its production.

After walking out of an OPEC meeting in June, it eventually agreed, along with Nigeria and the Republic of Congo, that its production baseline should be evaluated by an independent third party.

This was a significant step forward for the country. Over the course of almost a decade, Angola has been struggling to reverse the process of diminishing production.