OPEC news

• An Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC technical committee concluded a meeting on April 21 and recommended that producers extend a global deal to cut oil supplies for another six months starting in June, Bloomberg reported citing sources familiar with the matter. The recommendation is part of an effort by OPEC to clear a glut of crude that has weighed on prices. OPEC members, Russia and other producers originally agreed to cut production by 1.8 million barrels per day (bpd) for six months effective Jan. 1 to support the market. The committee found that overall compliance with pledged cutbacks stood at 98 percent in March, Reuters reported citing a source.
• Russian Energy Minister Alexander Novak said on April 21 a decision on extending a global pact to cut oil production had not yet been taken but would be discussed with OPEC on May 24. Novak said information on the oil market’s situation and forecasts were being digested in order to draw a conclusion. A joint committee of ministers from OPEC and non-OPEC producers that monitors compliance with the accord is expected to meet in Vienna before the OPEC ministers hold their meeting on May 25. He also said Russia’s oil output cuts had reached 250,000 bpd and would hit a targeted 300,000 bpd by the end of April.
• OPEC Secretary-General Mohammed Sanusi Barkindo told CNBC in an interview that the group’s “credibility is at stake.” He said: “We are giving the implementation process the top priority that it deserves because our credibility is at stake… I can tell you that we are very committed to complying fully with the voluntary decisions that we took and so far so good.” Barkindo told CNBC on April 19 that the oil market is “robust,” adding the numbers look “very encouraging” moving forward. On the compliance shown from both OPEC and non-OPEC producers to date, the OPEC chief said he was satisfied.
• All the six Gulf Cooperation Council (GCC) countries, which are part of the current OPEC and non-OPEC supply deal, have agreed to push for an extension of the cuts, Oman’s Oil Minister Mohammed Al-Rumhy told Bloomberg on the sidelines of a forum in Abu Dhabi on April 19.

Source: Arab News