Related Articles
Forward article link
Share PDF with colleagues

Ecuador cannot afford falling prices or an Opec output cut

Opec’s smallest group has limited sway over policy

Ecuador is a minnow swimming with Opec’s sharks. The country’s 560,000 barrels a day (b/d) of oil production is the smallest in the organisation, making up just 2% of its overall output, and the country has limited sway over Opec policy.Ecuador has had a rocky relationship with Opec. It suspended its participation in 1992, when Opec’s other members refused to lift the country’s production quota while the group as a whole was being forced to lower output. Ecuador only returned to the cartel in 2007 as president Rafael Correa overhauled the country’s oil policy, which also included re-negotiating the government’s oil contracts.Since its return, the country has typically sided with its hawkish

Also in this section
Happy days ahead for Tullow Oil
14 December 2017
The company's bottom line suffered when crude prices crashed in mid-2014, but a landmark maritime boundary resolution should lead to a welcome boost for company revenues
Egypt: Clearer thinking
13 December 2017
The country has committed itself to reducing the volume of associated gas that’s flared at oilfields
Mexico's rainy-day fund
12 December 2017
The sovereign-wealth fund is a good idea—now it just needs some wealth to manage. The FMP’s executive coordinator spoke to Petroleum Economist