economy Since 2017-05-24 at 17:20 (Baghdad time)
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The meeting of the Higher Committee for the follow-up and accompaniment of the implementation of the agreement on the reduction of oil production begins today at the headquarters of the Organization of Petroleum Exporting Countries in Vienna, according to an agreement at the ministerial meeting No. 172 of the Organization on Thursday to extend production cuts for nine months.
Algeria strongly wants to support the production reduction agreement until March 2018, three months further than the previous proposal to extend the six-month production cut to the end of 2017. Algerian Energy Minister Noureddine Bouterfa, for this purpose, visited Baghdad and Moscow to support the proposal between All OPEC members and producers outside.
To date, Algeria, Iraq and Syria have expressed their support for extending the agreement by an additional nine months, the same position taken by Saudi Arabia and Kuwait, and Venezuela has supported the extension of the agreement.
A joint Saudi-Russian statement was issued confirming the support of the two countries for the extension of the Vienna agreement, which was described as historic for nine months. Kuwait then gave its full support to this position, which aims to rebalance global supply and demand by restoring the level of world oil reserves to the level of the past five years.
Iran's oil minister, Bijan Zankana, told Fars that his country expects the production cut-off agreement to be extended between six and nine months. Tehran has no problem in extending it, and therefore will agree to what the majority agrees with. To say that at the moment there is no discussion about the reduction of Iran's production.
The Vienna agreement, signed in December 2016, cuts oil production by 1.8 million barrels a day to counter the fall of oil prices globally due to abundant stocks. The agreement applies to the 13 OPEC member states, Million barrels per day, while the 11 countries committed to non-OPEC production reduction of 600 thousand barrels per year.
The proposal to extend the agreement after it succeeded in raising oil prices, reaching a period of time to $ 54 a barrel, and one of the biggest obstacles facing OPEC and outside producers, the continuation of the United States in oil production, especially with the activities of exploration for rock oil in the country. Crave