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OPEC+ Ready for Extra Meeting

OPEC+ Ready for Extra MeetingOPEC+ Ready for Extra Meeting

OPEC and allied oil producers are ready to hold an extraordinary meeting and will do what is needed if the current cut in oil output by 1.2 million barrels per day does not balance the market next year, the United Arab Emirates’ energy minister said on Sunday.
Extending the output agreement signed in early December will not be a problem and producers will do as the market demands, Suhail al-Mazrouei told a news conference at a gathering of the Organization of Arab Petroleum Exporting Countries in Kuwait, Reuters reported.
“What if the 1.2 million barrels of cuts are not enough? I am telling you that if it is not, we will meet and see what is enough and we will do it,” Mazrouei said. 
“The plan to cut oil production is well studied but if it does not work, we always have the power in OPEC to call for an extraordinary meeting,” he added. 
“If we are required to extend for another six months, we will do it... I can assure you an extension will not be a problem.” 
OPEC and its Russia-led allies agreed earlier this month to slash oil production by more than the market had expected. 
Still, oil prices fell on Friday to their lowest since the third quarter of 2017 as global oversupply kept buyers away from the market ahead of holidays over the next two weeks. 
The UAE minister said a joint OPEC and non-OPEC monitoring committee would meet in Baku at the end of February or the beginning of March, as producers aim to return the oil market to the balance reached in the summer of 2018. 
Oil prices edged up on Monday after evidence that a recent fall to 15-month lows may be affecting output in the United States, the world’s largest producer, although concern about the outlook for demand tempered gains. 
Brent crude futures were up 12 cents at $53.94 a barrel, while US crude futures lost 3 cents to $45.56. 

 

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