• 2 minutes California to ban gasoline for lawn mowers, chain saws, leaf blowers, off road equipment, etc.
  • 6 minutes China and India are both needing more coal and prices are now extremely high. They need maximum fossil fuel.
  • 11 minutes Europeans and Americans are beginning to see the results of depending on renewables.
  • 3 mins Monday 9/13 - "High Natural Gas Prices Today Will Send U.S. Production Soaring Next Year" by Irina Slav
  • 12 mins GREEN NEW DEAL = BLIZZARD OF LIES
  • 3 hours Is China Rising or Falling? Has it Enraged the World and Lost its Way? How is their Economy Doing?
  • 1 min "Here is The Hidden $150 Trillion Agenda Behind The "Crusade" Against Climate Change" - Zero Hedge re: Bank of America REPORT
  • 5 hours Did China cherry-pick the factors that affected the economic slow-down?
  • 29 mins Two Good and Plausible Ideas about Saving Water and Redirecting it to Where it is Needed.
  • 3 days U.S. : Employers Can Buy Retirement Security for $2.64 an Hour
  • 3 days Nord Stream - US/German consultations
  • 5 days "A Very Predictable Global Energy Crisis" by Irina Slav --- MUST READ
  • 5 days An Indian Opinion on What is Going on in China
  • 409 days Class Act: Bet You've Never Seen A President Do This.
  • 3 days Australia sues Neoen for lack of power from its Tesla battery
  • 2 days Forecasts for Natural Gas
  • 5 days Storage of gas cylinders
A Successful Energy Transition Will Need Oil Demand Destruction

A Successful Energy Transition Will Need Oil Demand Destruction

While governments and international institutions…

OPEC Cuts 2021 Oil Demand Forecast

OPEC Cuts 2021 Oil Demand Forecast

In this month’s report, OPEC…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Russia Hits 100% Compliance With OPEC Cut

Russia has effectively reached its 300,000-bpd production cut target under its agreement with OPEC, Energy Minister Alexander Novak said. “Yesterday it was about 298,000 barrels. We can say that we have reached 300,000 barrels,” he told media on Friday.

The milestone comes none too soon, as Russia had promised to achieve this level by end April. Russia had undertaken the cut off its October daily average, which exceeded 11 million bpd in a bid to help OPEC’s efforts to rebalance the market and improve prices. Together, OPEC – bar Nigeria and Libya – and 11 non-OPEC producers agreed last November to take 1.8 million barrels from daily global supply.

However, these efforts have proved challenging, with global supplies actually rising during the first quarter of the year, despite hopes for the opposite and surprisingly high compliance. As Oil & Gas 360 noted in March, prior to the agreement, many countries increased production to record levels. This lessens the effect of any production cut, as the cuts are being made relative to the highest production levels in years.

As a result, despite Saudi Arabia cutting significantly more than it was supposed to and Iraq working its way up to its own target, OPEC is now discussing an extension of the agreement into the second half of the year. Related: Is Canada’s Oil Industry Regaining Momentum?

Russia is taking part in the discussions, Novak said last week, adding that a decision will be made after a meeting with OPEC on May 24, a day before the cartel’s annual meeting that should see an official announcement on the extension.

Meanwhile, shale output in the U.S. is rising and this is pressuring prices, fuelling pessimism that if the rate of output growth there continues, the OPEC extension would not have the desired effect.

At the same time, however, the International Energy Agency warned that unless investments in oil pick up soon, a deficit will emerge after 2020. Middle Eastern producers need higher oil prices for new investments, but shale producers are doing pretty well at US$50 a barrel, with breakeven prices across the shale plays averaging US$35 a barrel, according to data from Rystad Energy.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Naomi on April 29 2017 said:
    OPEC should find something productive to do. Weave baskets. Raise camels. Otherwise pound sand and cut the overhead. Too many eaters spoil the bottom line.

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