• 4 minutes Is The Three Gorges Dam on the Brink of Collapse?
  • 8 minutes The Coal Industry May Never Recover From The Pandemic
  • 11 minutes China Raids Bank and Investor Accounts
  • 4 mins In a Nutshell...
  • 3 hours Is OilPrice a cover for Green Propganda
  • 13 hours Putin Paid Militants to Kill US Troops
  • 2 hours During March, April, May the states with the highest infections/deaths were NY, NJ, Ma. . . . . Today (June) the three have the best numbers. How ? Herd immunity ?
  • 7 hours Putin Forever: Russians Given Money As Vote That Could Extend Putin's Rule Draws To A Close
  • 7 hours Victor Davis Hansen on Biden's mental acuity " . . unfit to serve". 1 out of 5 Democrats admit it. How many Dem's believe it but will not admit it?
  • 2 days Biden admits he has been tested for Cognitive Decline several times. Didn't show any proof of test results.
  • 6 hours Tesla Model 3 police cars pay for themselves faster than expected, says police chief
  • 1 day Apology Accepted!
  • 13 hours The Political Genius of Donald Trump
  • 2 days Why Oil could hit $100
  • 3 days Biden came out of his basement today (Thursday) and said , "we have 120 Million deaths from Covid 19.
  • 2 days U.S. natural gas at major disadvantage in Europe and China.
  • 1 day Per most popular Indian websites it was Indian troops not Chinese troops breach of LAC that caused the clashes. If you know any Indian media that claim to the contrary please provide the link
Is The UK Doing Enough To Stimulate EV Sales?

Is The UK Doing Enough To Stimulate EV Sales?

Electric vehicle sales in the…

Big Oil’s Nightmare Is Coming True

Big Oil’s Nightmare Is Coming True

Royal Dutch Shell has followed…

How To Take Advantage Of The Energy Stock Selloff

How To Take Advantage Of The Energy Stock Selloff

Anything related to oil and…

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

OPEC’s Number Two Suggests Deeper Oil Output Cuts

OPEC and its partners will discuss the possibility of adding another 400,000 bpd to its oil production cut during this week’s meeting, Iraq’s Oil Minister Thamer al-Ghadban told a local media outlet.

"OPEC and its allies will look at increasing the current production cuts by approximately 400,000 barrels a day, to 1.6 million barrels a day," al-Ghadban said, essentially confirming rumors that OPEC, Russia and their smaller partners may heed calls for deeper cuts to prop up prices.

However, discussing the topic does not necessarily mean it will be agreed. Not all OPEC producers want to cut deeper, and Russian oil companies are close to the end of their tether with the current cuts, so sentiment there will not be favorable for additional reductions in output, either.

There are currently two main scenarios that OPEC, Russia and their partners will discuss—either roll over the cuts through June next year when they meet early next month, or postpone a decision on the deal for early 2020, before the current cuts expire in March and again, roll over the production restrictions until June. In other words, there is no official confirmation from the cartel that deeper cuts are on the agenda.

“It is more likely that we will extend the agreement in December to send a positive message to the market. The Saudis don’t want oil prices to fall, they want to put a floor under the prices because of the [Aramco] IPO,” a source from OPEC told Reuters earlier this month.

Russia, on the other hand, continues to exceed its production quota under the OPEC+ agreement. It had committed to produce 11.19 million bpd, but this month, like most of the year, it produced more, with the average for November 1-26 at 11.24 million bpd, according to official data.

In other words, even if deeper cuts are agreed, chances are they will not be implemented.

OPEC meets on Thursday in Vienna, with the meeting with its external partners scheduled for Friday.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Mamdouh Salameh on December 02 2019 said:
    The 400,000 barrels a day (b/d) that the Iraqi oil minister is suggesting adding to the production cuts are equivalent to the volume that Iraq and Nigeria have failed to cut from their production under the OPEC+ production cut agreement.

    If both Iraq and Nigeria honour their share of the cuts, there will be no need for OPEC+ to consider deepening the cuts.

    OPEC + should only agree to extend the current production cuts by a few months but should never consider deepening them because such a measure is futile while the trade war is going on as it ends up losing market share with no positive impact on prices. Furthermore, Russia will never agree to that.

    Dr Mamdouh G Salameh
    International Oil Economist
    Visiting Professor of Energy Economics at ESCP Europe Business School, London
  • jone al sharon biriyani indian on December 03 2019 said:
    the world today

    people with no science background are discussing oil/energy policy. worse these are apppointed officials. simiallry rag tag road side hiippies single moms woiht no education protesting cllimate change. as if these moms know anythign. they are forced into this by these green peace (liberaal funded) organisation.

    People of the workld must realise the real probem/real criminals is Bush and his CIa network. this will hv to be dismantled to find cure fro all problem including that of diseases and other fruad.


    fianlly, so amny news about oil prices/prodn like this some street foodd review. so lightly the matter is discussed.
    no one has indepth (pun intendted) klnowldge.

Leave a comment




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