• 3 minutes Biden Seeks $2 Trillion Clean Energy And Infrastructure Spending Boost
  • 5 minutes While U.S. Pipelines Are Under Siege, China Streamlines Its Oil and Gas Network
  • 8 minutes Gazprom fails to exempt Nord Stream-2 from EU market rules
  • 9 hours Trumpist lies about coronavirus too bad for Facebook - BANNED!
  • 28 mins The World is Facing a Solar Panel Waste Problem
  • 9 hours Rational analysis of CV19 from Harvard Medical School
  • 9 hours Biden admits he has been tested for Cognitive Decline several times. Didn't show any proof of test results.
  • 4 hours The Core Issue Of US Chaos..Finally disclosed
  • 10 hours Trump Suggests Delaying Election Amid Fraud Claims
  • 8 hours Open letter from Politico about US-russian relations
  • 9 hours China's impending economic meltdown
  • 9 hours Why Oil could hit $100
  • 9 hours Brent above $45. Holding breath for $50??
  • 4 hours Pompeo upsets China; oil & gas prices to fall
  • 7 hours Russia Trying To Steal COVID-19 Vaccine Data, Say UK, U.S. and Canada
  • 1 day End Game For Oil? OPEC Prepares For An Age Of Dwindling Demand
COVID Fears Drive Oil Prices Downwards

COVID Fears Drive Oil Prices Downwards

Despite significant oil inventory declines…

A Worrying Sign For Two Major Oil Hotspots

A Worrying Sign For Two Major Oil Hotspots

Two of the world's most…

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

Iran Ready For OPEC Oil Deal Extension

Iran is ready to take part in a further extension of the OPEC oil production cut deal, the country’s Deputy Minister for Trade and International Affairs said at an event yesterday. The cartel is currently discussing extending the deal to the end of 2018 to ensure stable prices but not all agree it is necessary.

“We are pleased with the way OPEC has decided to cut some production in order to bring a semblance of balance between supply and demand. We think that this trend will continue and we will support this trend,” Amir Zamaninia said at the Oil & Money conference, taking place in London.

Late yesterday, Zerohedge tweeted that there was general agreement for an extension, according to an unnamed Iranian deputy oil minister. Earlier this week, however, Kuwait’s Oil Minister said an extension of the agreement may be unnecessary if all OPEC members comply with their production quotas. OPEC officials are masters of mixed signals and we’re likely to see more of these contradicting statements in the coming weeks.

Iran was the only OPEC member that was allowed to increase its oil production, to 3.797 million bpd, under the agreement and is currently producing a bit over this: between 3.8 and 3.9 million bpd, according to Zamaninia. Also, Iran plans to increase its production capacity to 4.7 million bpd by 2021 but in the meantime, it would “match” its production rate and capacity expansion with whatever OPEC decides at its November 30th meeting in Vienna.

Oil prices are currently being supported by the conflict between Baghdad and Kurdistan, which has now become an open fight with a focus on Kirkuk and surrounding oil fields. For a longer-term price stabilization, an extension of the cut deal seems to be unavoidable: if the cartel and its partners decide to leave the March 31, 2018, deadline unchanged, we can reasonably expect a steep price drop as 1.8 million bpd come back on global markets.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News