• 3 minutes Will Iron-Air batteries REALLY change things?
  • 7 minutes Natural gas mobility for heavy duty trucks
  • 11 minutes NordStream2
  • 10 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 1 hour U.S. Presidential Elections Status - Electoral Votes
  • 14 hours Evergrande is going Belly Up.
  • 6 hours Is China Rising or Falling? Has it Enraged the World and Lost its Way? How is their Economy Doing?
  • 16 hours Monday 9/13 - "High Natural Gas Prices Today Will Send U.S. Production Soaring Next Year" by Irina Slav
  • 3 days Poland Expands LNG Powered Trucking and Fueling Stations
  • 3 days World’s Biggest Battery In California Overheats, Shuts Down
  • 2 days The unexpected loss of output from wind turbines compels UK to turn to an alternative; It's not what you think!
  • 1 day Ten Years of Plunging Solar Prices
  • 1 day Extraction of gasoline from crude oil.
  • 4 days The coming Cyber Attack
  • 4 days Is the Republican Party going to perpetuate lies about the 2020 election and attempt to whitewash what happened on January 6th?
  • 4 days Ozone layer destruction driving global warming
  • 4 days 'Get A Loan,' Commerce Chief Tells Unpaid Federal Workers
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

Putin Hints Russia May Participate In Newest Round Of OPEC Cuts

Russia’s President Vladimir Putin has hinted that Russia may once again join OPEC in its efforts to stimulate oil prices even though Russia itself has no problem with current price levels.

“I want to stress that for the Russian budget, for our economy, the current oil prices level is acceptable,” Putin said during a meeting with energy industry representatives, as quoted by Reuters. “Our accumulated reserves, including the National Wealth Fund, are enough for ensuring a stable situation, the fulfilment of all budget and social liabilities, even under a possible deterioration of the global economic situation.”

Russia has been budgeting for lower prices for years now, after it suffered the fallout of the 2014 oil price collapse.

Yet the Russian president also recognised the need for steps to be taken to support prices, including, he said, “together with foreign partners,” as the partnership between Russia and OPEC has “proved to be an effective instrument to ensure long-term stability on global energy markets.”

At the same time, however, Putin noted there was no guarantee that deeper production cuts would improve demand for oil, which has been pummelled by the Chinese coronavirus outbreak and its international expansion.

The latest updates are discouraging: Italy had confirmed 1,694 cases as of the time of writing, which made it the country with the most cases outside of China. In the United States, there were 69 confirmed cases per data from the CDC as of Friday. Globally, the coronavirus, dubbed Covid-19, has spread to at least 60 countries with the number of infected at more than 87,100, although it could be a lot higher if mild cases that go unreported are included.

Amid the panic caused by the outbreak, even though experts note that the mortality rate could be as low as 1 percent, oil has been falling. At the time of writing, Brent crude was trading at $51.29 a barrel with West Texas Intermediate at $46.10 a barrel. Unless demand patterns change fast, especially in China, prices could drop further, endangering the economies of mot OPEC members.

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 March 02 2020 said:
    President Putin who made Russia the world’s superpower of energy understands the global oil market well enough to realize that any new production cuts by OPEC+ or a deepening of existing ones will be futile with no positive impact whatsoever on oil prices as long as the coronavirus outbreak is raging. It will only lead to a loss of market share.

    Russia’s economy can live with an oil price of $40 a barrel or less compared with $85 or even higher for OPEC members. Moreover, Russia has reserves estimated at more than $550 bn so it can afford to wait until the outbreak is contained before making an assessment as to whether oil prices will need new support with production cuts.

    What President Putin is telling OPEC is that he is not against cuts as long as they work but they have no chance of success whilst the outbreak is raging.

    Dr Mamdouh G Salameh
    International Oil Economist
    Visiting Professor of Energy Economics at ESCP Europe Business School, London

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