OPEC expects the end of the "golden age" of US shale oil
12:11 - 03/12/2019
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WASHINGTON (Reuters) - The Organization of Petroleum Exporting Countries believes the "golden age" of shale oil in the United States has come to an end and that its production growth will slow significantly next year, a US agency said, citing sources familiar with OPEC.
Moscow - Sputnik. Based on this assumption, OPEC ministers will discuss at this week's meeting the extension of the current agreement on production cuts rather than further cuts, Bloomberg wrote.
According to the agency, oil traders and executives of oil companies also believe that US production in 2020 will grow more slowly than this year, at a much slower pace than in 2018.
Oil contracts rose nearly 1 percent on Monday on hints that the Organization of the Petroleum Exporting Countries (OPEC) and its allies may agree to deepen production cuts at a meeting this week.
OPEC and allied producers, including Russia, are expected to extend production cuts this week and may decide to cut further by 400,000 bpd or more, Reuters reported, citing sources. OPEC ministers will meet in Vienna on Thursday, while the broader OPEC + group will meet on Friday.
The Organization of the Petroleum Exporting Countries (OPEC) and its allies, including Russia and OPEC +, are expected to extend at least existing oil production cuts until June 2020, when they meet this week.