• 4 minutes Trump has changed into a World Leader
  • 7 minutes China's Economy and Subsequent Energy Demand To Decelerate Sharply Through 2024
  • 8 minutes Indonesia Stands Up to China. Will Japan Help?
  • 10 minutes US Shale: Technology
  • 13 minutes Which emissions are worse?: Cows vs. Keystone Pipeline
  • 17 minutes Shale Oil Fiasco
  • 30 mins Boris Johnson taken decision about 5G Huawei ban by delay (fait accompli method)
  • 15 hours We're freezing! Isn't it great? The carbon tax must be working!
  • 11 mins Phase One trade deal, for China it is all about technology war
  • 8 hours Angela Merkel take notice. Russia cut off Belarus oil supply because they would not do as Russia demanded
  • 2 hours Might be Time for NG Producers to Find New Career
  • 12 hours Environmentalists demand oil and gas companies *IN THE USA AND CANADA* reduce emissions to address climate change
  • 15 hours Prototype Haliade X 12MW turbine starts operating in Rotterdam
  • 10 hours Swedes Think Climate Policy Worst Waste of Taxpayers' Money in 2019
  • 14 hours Wind Turbine Blades Not Recyclable
  • 14 hours Denmark gets 47% of its electricity from wind in 2019
  • 1 day Beijing Must Face Reality That Taiwan is Independent
Oil Falls Despite Major Outage In Libya

Oil Falls Despite Major Outage In Libya

Oil prices fell on Tuesday…

Russia May Agree To 200,000 Bpd Cut In OPEC+ Oil Deal

Novak

Russia may be ready to cut its oil production by 200,000 bpd as part of a deal with OPEC to reduce oil supply—a higher commitment than 150,000 bpd previously aired, a source at Russia’s energy ministry told Reuters on Friday, as the deal broker of the tedious negotiations, Russian Energy Minister Alexander Novak, is now in the house.

In the past few days, Russia was said to be willing to cut up to 150,000 bpd, much lower than Saudi Arabia’s ask for around 250,000 bpd.

On Thursday, Novak said that it was much more difficult for Russia to cut its oil production in the winter.

The talks within OPEC only, which adjourned with a stalemate on Thursday without any agreement, due to wrangling about exemptions and how to divvy up the cuts, resumed on Friday with Iran still holding firm that it would not be reducing its production in any circumstances while it is under U.S. sanctions.

Then, Russia’s Novak, who arrived in Vienna today, held a meeting with Iran’s Oil Minister Bijan Zangeneh, presumably to try to soften Iran’s firm stance and find a middle ground, offering a ‘symbolic cut’, according to reports.  

As of 7:00 a.m. EDT on Friday, OPEC delegates were telling reporters at OPEC’s headquarters in Vienna that the OPEC talks are deadlocked, with Iran not accepting any cut, ‘symbolic’ or not, and insists on exemption in any OPEC deal.

Saudi Arabia’s Energy Minister Khalid al-Falih and Novak were also holding a two-way meeting, while the cartel has not yet reached any deal on the size of the OPEC cuts and exemptions and on the position of Iran, which continues to refuse to accept wording ‘cut’ and insists on ‘exemption’. According to OPEC delegates, Iran is now the only sticking point in the OPEC talks.

After al-Falih meets with Novak, he may have a new proposal of the size of the cuts within OPEC, depending on how much Russia may be willing to commit.

At any rate, the report that Russia may have accepted a higher-than-previously floated cut pushed Brent Crude up 0.47 percent to $60.34 and WTI Crude up 0.10 percent at $51.44 at 7:23 a.m. EDT, following Thursday’s 3-percent slide.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage


Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play