Almost OPEC and non-OPEC countries are ready to extend the agreement on output cut for six more months, Saudi Arabia’s Minister of Energy, Industry and Mineral Resources Khalid al-Falih told TASS.
"Iraqi minister of oil Tamer al-Gadban said this publicly and privately. Big producers such as UAE, Kuwait, as well as non-OPEC countries - Oman, Kazakhstan, Azerbaijan support extension of the deal," he said. According to him, Russia was the only oil exporter still undecided on the need to extend an output deal between OPEC and its allies until the end of the year.
"We’ll discuss this issue in three weeks with Russian Energy Minister Alexander Novak," he added.
The minister noted that they had acted as a model to other participants since the first day: "I expect Russia, Iraq, Kazakhstan, UAE to act as models too. Russia was obeying rules in 2017-2018 till we weakened the limitations in June 2018. I hope they will do it again in 2019 too. Fulfillment in May and June was good. I hope Russia will fulfill the obligation by the end of the year after signing of the deal. I heard supportive statements from Russia’s companies, including LUKoil President Vahid Alekberov. Advantages of cooperation are visible. Only 2% reduction by Russia means stability and significant growth. I come to the same conclusion after meeting with Novak. That’s the market should be followed, we must be sure that we direct it to stability."
OPEC+ countries fulfilled the obligation on output cut by 139% in March, 168% in April. Azerbaijan fulfilled obligation by 130%.