Novak says Russian Federation, other producers support extending global deal

Novak says Russian Federation, other producers support extending global deal

Russian President Vladimir Putin agreed with Saudi Arabia to extend existing output cuts of 1.2 million barrels per day (bpd) by six to nine months. I have no difficulty with the extension of the cut or more cuts but my problem is with unilateralism. "It's going to be an easy meeting as my stance is very clear", Zanganeh told reporters in Vienna.

The United States has overtaken Saudi Arabia and Russian Federation to become the world's biggest oil producer, thanks in large part to a boom in the Permian Basin in West Texas.

This year the OPEC+ alliance has cut production by more than the pledged 1.2 million barrels a day as USA sanctions on Iran and Venezuela slashed output from both countries.

He added that the strategic partnership within OPEC+ has led to the stabilization of oil markets & allows both to increase and reduce production depending upon the market demand, which further contributes to the predictability & growth of investments in the industry.

The group is facing a weaker demand outlook due to slowing global growth.


The Organization of Petroleum Exporting Countries will have its official meeting Monday afternoon.

"Saudi Arabia is doing its best to achieve oil prices at $70 per barrel despite what Trump wants". Iran's oil exports have slumped since the expiry in May of waivers allowing some of its biggest customers, such as India, to continue buying without fear of US legal action.

Iran, a founding member of OPEC, is under pressure from USA sanctions after President Trump withdrew from the Iran nuclear deal.

Russian Federation and Saudi Arabia agreed to extend a deal to keep oil production low owing to abundant world supplies, President Vladimir Putin said on Saturday.

Likewise, the Venezuelan Oil Ministry in a press release informed that Quevedo prior to the Meeting exchanged with Saudi Energy Minister Khalid Al Falih, his Algerian counterpart, Mohamed Arkab, and with OPEC Secretary Mohammed Barkindo.


The news sent NY oil prices shooting above US$60 (RM248.2) per barrel today for the first time since May, with sentiment also buoyed by rising global stock markets following the US-China trade truce.

The output-cutting pact expired on Sunday.

The current version of the OPEC+ deal calls for production curbs of 1.2 million barrels a day, though the alliance has cut more than it pledged as USA sanctions on Iran and Venezuela slashed output from both countries. Monday's meeting started around 1300 GMT. "It has lost its authority and it's on the verge of collapse", Zangeneh said.

"Iran supports cooperation with non-OPEC states, but as long as some OPEC members are hostile against other members, like Iran, OPEC's understandings with non-OPEC states are meaningless and there is no room for cooperation", Zanganeh was quoted as saying by SHANA on Monday.

At the same time, Iran's crude exports have virtually stopped, taking off two million barrels per day from world supplies since early 2018.


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