Oman Oil Minister: Majority of OPEC, Allies Support Cuts

A majority of OPEC and allied oil exporters support a cut in the global supply of crude, Oman Oil Minister Mohammed bin Hamad al-Rumhi said on Sunday. 
“Many of us share this view,” the minister said when asked about the need for a cut. Asked if it could amount to 500,000 or one million barrels per day, he replied: “I think it is unfair for me to throw numbers now,” Reuters reported. 
He was speaking in Abu Dhabi where an oil market monitoring committee was held on Sunday, attended by top exporters Saudi Arabia and Russia. 
“We need a consensus,” he said, indicating that non-OPEC Russia would need to approve any decision. Oman is also not a member of the Organization of the Petroleum Exporting Countries. 
Saudi Arabia is discussing a proposal to cut oil output by up to 1 million barrels per day by OPEC and its allies, two sources close to the discussions told Reuters on Sunday. 
OPEC and its allies gathered for a meeting in Abu Dhabi amid signs that they will consider cutting production next year.
The producers are considering a range of output cutbacks, including a reduction by as much as 1 million barrels a day, according to delegates. 
A technical committee representing the coalition projected on Saturday a global oil surplus will resurface in 2019 if they continue to produce at current rates, according to delegates familiar with its conclusions.
Nonetheless, Saudi Arabia’s Energy Minister Khalid Al-Falih -- representing OPEC’s biggest member -- said ahead of Sunday’s meeting between the Organization of Petroleum Exporting Countries and its allies in Abu Dhabi that it was “too premature” to discuss output cuts.
At least three countries which are members of the Joint Ministerial Monitoring Committee consider that it’s necessary to discuss the possibility of output cuts in 2019, according to delegates. .

Russia Position Unclear

Russia is not ready to reveal its position on whether the group should reduce output further before the meeting on Sunday, according to a person familiar with the matter.
Al-Falih agreed in a meeting in Baghdad on Saturday on joint coordination with Iraq to achieve more stability in the oil market, Iraqi Oil Ministry spokesman Asim Jihad said by phone. 
The kingdom’s energy minister flew into Baghdad for a meeting with Iraqi Prime Minister Adel Abdul Mahdi.
OPEC and its allies meet under mounting pressure to consider renewed production cuts after a slump in oil prices. 
Crude on both sides of the Atlantic tumbled Friday as the US reported rising stocks and Washington granted waivers that lessen the impact of sanctions on Iranian exports. 
Brent plunged below $70 a barrel for the first time in six months, shedding 4% last week. WTI futures also tumbled, losing around 5%.