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The Organization of Petroleum Exporting Countries (OPEC) will not hurry with further cut of oil production or eliminate the “exceptions” for yields in some countries, said the oil ministers of five OPEC countries. They will meet on July 24 in Russia to discuss steps to support the market and stabilize the commodity price.

The parties to the agreement reached an agreement to extend the oil extraction restrictions for another nine months, that is, by March 2018, to balance the markets and raise the cost of the raw material. But the news has sparked a sharp drop in oil prices. The reason is that many investors expected a reduction in yield in order to be able to withdraw surplus of oil reserves more quickly.

The crude oil price has fallen as the US, Nigeria and Libya increase production figures, as the last two are OPEC members, but being excluded from the cut-off agreement.

“I do not think it will be achieved soon”, commented a member of the delegation, speaking of the possibility of a larger cut. Most likely, the topic will be discussed at the next meeting in Russia on July 24, attended by the oil ministers of Kuwait, Russia, Venezuela, Algeria and Oman plus Saudi Arabia. They can make a recommendation to the organization that will hold its next meeting in November.

The Oil Ministers may consider measures to halt further production growth in Nigeria and Libya and not to impose restrictions on production.

Another source familiar with the subject commented that reducing of raw material reserves from the market is an option that has not been actively discussed.

