• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 38 mins GREEN NEW DEAL = BLIZZARD OF LIES
  • 2 hours How Far Have We Really Gotten With Alternative Energy
  • 4 hours If hydrogen is the answer, you're asking the wrong question
  • 4 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 5 days The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 17 hours Biden's $2 trillion Plan for Insfrastructure and Jobs
  • 4 days "What’s In Store For Europe In 2023?" By the CIA (aka RFE/RL as a ruse to deceive readers)
Bullish Sentiment Finally Breaks Out in Oil Markets

Bullish Sentiment Finally Breaks Out in Oil Markets

Bullish sentiment is finally seeping…

Damir Kaletovic

Damir Kaletovic

Damir Kaletovic is an award-winning investigative journalist, documentary filmmaker and expert on Southeastern Europe whose work appears on behalf of Oilprice.com and several other news…

More Info

OPEC To Meet In Vienna This Weekend For Oil Cut Compliance

This weekend the representatives of OPEC and several other major oil producers outside of this group, including Russia, are meeting in Vienna for their first meeting to monitor compliance with the oil output cut agreement.

The meeting will establish a compliance mechanism to verify that producers are sticking to a deal to reduce output by 1.8 million barrels per day, said OPEC's Secretary General Mohammed Barkindo.

Their plan is to figure out how to confirm that all 24 signatories of this historic deal are keeping to their pledges to reduce output and keep the agreed on amount of supply off the market for six months.

OPEC is keen to demonstrate that it has shed its hard-earned reputation for cheating, and that the group is serious about tackling the supply glut and lifting oil prices.

OPEC’s agreement to reduce output in tandem with non-OPEC Russia and several other producers in December was the first such move in 15 years.

"I have no doubts in Russia's commitment to continue to participate with us and solidify this platform effectively establishing a stabilizing forum for the short, mid and long-term," Barkindo said.

International oil prices rose to an 18-month high of more than US$58 a barrel after the OPEC and several non-members agreed on December 10 to end two years of unfettered production and instead cut output. Crude has since slid back down some 5 percent as speculators are concerned that commitments will not be met.

Related: Oil Slides After Massive Rig Count Gain

In December, OPEC’s production fell by 220,900 barrels a day to 33.085 million barrels a day, with the biggest drops coming from Saudi Arabia and Nigeria, according to secondary source data in the group’s monthly report published on 18 January.

The organization agreed to reduce its output to 32.5 million barrels a day, although that total included about 740,000 barrels a day of output from former member Indonesia.

Russia has pumped an average of 11.1 million barrels a day so far in January—108,000 barrels a day less than official government figures for November and December, according to initial data from the Energy Ministry, compiled by Bloomberg. Russia agreed to cut 300,000 barrels a day by April or May.

ADVERTISEMENT

OPEC will meet in May to decide whether to propose to extend the output cutting measures together with non-OPEC countries.

By Damir Kaletovic for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment
  • fran m farrell on January 21 2017 said:
    With overhead photography it is easy to spot preparation for increased production. No tongues needed, forked or otherwise.

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News