• 1 hour South Iraq Oil Exports Close To Record High To Offset Kirkuk Drop
  • 4 hours Iraqi Forces Find Mass Graves In Oil Wells Near Kirkuk
  • 5 hours Chevron Joint Venture Signs $1.7B Oil, Gas Deal In Nigeria
  • 6 hours Iraq Steps In To Offset Falling Venezuela Oil Production
  • 8 hours ConocoPhillips Sets Price Ceiling For New Projects
  • 3 days Shell Oil Trading Head Steps Down After 29 Years
  • 3 days Higher Oil Prices Reduce North American Oil Bankruptcies
  • 3 days Statoil To Boost Exploration Drilling Offshore Norway In 2018
  • 3 days $1.6 Billion Canadian-US Hydropower Project Approved
  • 3 days Venezuela Officially In Default
  • 3 days Iran Prepares To Export LNG To Boost Trade Relations
  • 3 days Keystone Pipeline Leaks 5,000 Barrels Into Farmland
  • 4 days Saudi Oil Minister: Markets Will Not Rebalance By March
  • 4 days Obscure Dutch Firm Wins Venezuelan Oil Block As Debt Tensions Mount
  • 4 days Rosneft Announces Completion Of World’s Longest Well
  • 4 days Ecuador Won’t Ask Exemption From OPEC Oil Production Cuts
  • 4 days Norway’s $1 Trillion Wealth Fund Proposes To Ditch Oil Stocks
  • 4 days Ecuador Seeks To Clear Schlumberger Debt By End-November
  • 4 days Santos Admits It Rejected $7.2B Takeover Bid
  • 5 days U.S. Senate Panel Votes To Open Alaskan Refuge To Drilling
  • 5 days Africa’s Richest Woman Fired From Sonangol
  • 5 days Oil And Gas M&A Deal Appetite Highest Since 2013
  • 5 days Russian Hackers Target British Energy Industry
  • 5 days Venezuela Signs $3.15B Debt Restructuring Deal With Russia
  • 5 days DOJ: Protestors Interfering With Pipeline Construction Will Be Prosecuted
  • 5 days Lower Oil Prices Benefit European Refiners
  • 5 days World’s Biggest Private Equity Firm Raises $1 Billion To Invest In Oil
  • 6 days Oil Prices Tank After API Reports Strong Build In Crude Inventories
  • 6 days Iraq Oil Revenue Not Enough For Sustainable Development
  • 6 days Sudan In Talks With Foreign Oil Firms To Boost Crude Production
  • 6 days Shell: Four Oil Platforms Shut In Gulf Of Mexico After Fire
  • 6 days OPEC To Recruit New Members To Fight Market Imbalance
  • 6 days Green Groups Want Norway’s Arctic Oil Drilling Licenses Canceled
  • 7 days Venezuelan Oil Output Drops To Lowest In 28 Years
  • 7 days Shale Production Rises By 80,000 BPD In Latest EIA Forecasts
  • 7 days GE Considers Selling Baker Hughes Assets
  • 7 days Eni To Address Barents Sea Regulatory Breaches By Dec 11
  • 7 days Saudi Aramco To Invest $300 Billion In Upstream Projects
  • 7 days Aramco To List Shares In Hong Kong ‘For Sure’
  • 7 days BP CEO Sees Venezuela As Oil’s Wildcard
Fuel Crisis Hits Kazakhstan Hard

Fuel Crisis Hits Kazakhstan Hard

Amid an ongoing fuel crisis,…

The Wireless Power Grid: More Than A 100 Years In The Making

The Wireless Power Grid: More Than A 100 Years In The Making

In fulfilling Nikola Tesla’s dreams,…

Zainab Calcuttawala

Zainab Calcuttawala

Zainab Calcuttawala is an American journalist based in Morocco. She completed her undergraduate coursework at the University of Texas at Austin (Hook’em) and reports on…

More Info

Iran and Iraq Asked to Freeze, Not Cut, Oil Production

Refinery

Qatari Energy Minister Mohammed Al Sada told reporters on Thursday that both Iran and Iraq have been asked to freeze production at “current levels” as the Organization of Petroleum Exporting Countries (OPEC) scrambles to finalize the terms of bloc-wide production cap at the end of this month.

"We are discussing with both countries on that and we are looking at various ways and means of coming to a mutual understanding," Sada said, according to ArabianBusiness.com.

Qatar, the world’s largest liquefied natural gas (LNG) producer, also hopes the decline of oil and gas investments will prevent the current supply glut in the oil market from increasing in size.

OPEC’s oil production cut will cap output at 32.5 million barrels per day in order to rebalance the supply-side of the oil market, Saudi Arabia’s oil minister Khalid al-Falih said earlier today, thus clarifying the extent of the much-anticipated reduction deal.

OPEC must cut more than 1 million bpd if it wants to squeeze under that ceiling, and Saudi Arabia will be expected to do most of the heavy lifting as Iran and Iraq – two of the bloc’s largest oil producers – will only be freezing production at current levels, not cutting.

Related: Microsoft Bets Big On Wind

OPEC’s production was 33.64 million bpd last month—a new record, according to OPEC secondary sources. The newly announced cap could burden OPEC members with even deeper cuts than they had originally hoped to weather.

Previous reporting on the coming deal said that Iran, Libya and Nigeria would be exempted from the agreement’s production restraints due to the international sanctions, civil wars and domestic insurgencies each country has faced, respectively.

Once the special exemptions were announced, Iraq also demanded an exemption from the deal as it faces the hiking costs of the battle against the Islamic State in Mosul – one of the terrorist group’s last major strongholds in the country.

By Zainab Calcuttawala for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment
  • Antonio on November 23 2016 said:
    What is the difference between a cut and a freeze?

Leave a comment

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