KUALA LUMPUR (May 8): Petroliam Nasional Bhd (Petronas) said it is committed to continue with the agreed production cut between OPEC and some non-OPEC oil producing countries that was initiated last year, in the event the arrangement is extended.

"We have committed to a 20,000 barrel per day cut and that's our commitment. If there is an extension of the agreement, of course we are committed to continue with the same production cut," said Petronas president and CEO Datuk Wan Zulkiflee Wan Ariffin at a press conference today, held in conjunction with the 19th Asia Oil & Gas Conference.

His statement was made following Saudi Arabia's minister of energy, industry and mineral resources Khalid Al-Falih's comment that the agreement between OPEC — which stands for the Organization of Petroleum Exporting Countries — and non-OPEC producers could be extended further.

"The producer coalition is determined to do whatever it takes in bringing stock levels to the five-year-average.

"Based on the consultation I have had with participating members, we are confident that the agreement will be extended to the second half of the year and beyond," Khalid said during his opening speech at the event earlier.

OPEC and several non-OPEC nations had agreed to an output cut back in December last year to stem the decline in global crude oil prices, brought about by an oversupply in the market.

The agreement, implemented on Jan 1, sought to cut production by 1.2 million barrels per day for the first half of 2017, with non-OPEC countries agreeing to cut output by 556,000 barrels per day.