[Quito 1st Reuters]-Ecuador announced on January 1 that it will withdraw from the Organization of Petroleum Exporting Countries (OPEC) on January 1 next year. The Department of Energy stated in a statement that it had decided to withdraw to address issues related to fiscal sustainability. “It will keep pace with government policy to curb public spending and create new revenue sources.” However, Ecuador said it would continue to contribute to the stabilization of the global crude oil market even after withdrawal.
Ecuador's oil production is 545,000 barrels a day. The company plans to increase production to increase revenues, and has so far failed to comply with coordinated production reductions led by OPEC.
Ecuador joined OPEC in 1973. Withdrew in 1992 and rejoined in 2007.