Gabon has been readmitted into the Organisation of Petroleum Exporting Countries (OPEC) as the 14th member of the oil cartel after 20 years of staying independent of OPEC.
The central African country, which joined OPEC in 1975, as its smallest member by oil production, pulled out of the cartel in 1995, following what it called “high membership fees” considering its low production.
The country, which has oil as 39 percent of government revenue, produces about 240,000 barrels of oil per day.
Ali Bongo, Gabonese president, had said earlier in the year that the country was coming back to OPEC to help protect the market as low oil prices hurt its own economy.
Advertisement
At the just concluded OPEC meeting however, OPEC welcomed the country, with no indication of settling membership fees.
“The Conference considered Gabon’s request to rejoin the Organization, and decided to approve its admission with effect from 1st July 2016,” OPEC secretariat said.
It return may have little or no effects on the cartel, experts argue.
Advertisement
Add a comment
