Russia takes into account oil production with OPEC

This Wednesday, Russian Prime Minister Anton Siluanov told Reuters that Russia will carefully review the scope of the oil-reduction agreement with the Oil Exporting Organization and other producers.

He added that Moscow would weigh in particular the positive effect of the oil price agreement versus losses on US companies‘ market share.

“There are many arguments in favor of enlargement and against it,” Siluanov said at the sidelines of a conference in Kazakhstan.

“Obviously, we need price stability and predictability, that’s good,” he said. “But we see that all these deals with OPEC result in our US partners pushing for the production of shale oil and seizing new markets.”

Siluanov said Russia’s energy ministry and the government would determine their stance on expanding the pact, as they weigh these pros and cons and the longevity of current market trends.

OPEC, Russia and other producers agreed to cut production by 1.2m barrels a day (bpd) from January to six months to raise oil prices by reducing global inventories.

OPEC and other producers involved in the supply agreement, an alliance known as OPEC +, are scheduled to meet to discuss the expansion of the pact in Vienna during an OPEC meeting scheduled for June 25 and 26.

The meeting, however, may be postponed back to July 3 and 4, two OPEC sources said on May 20th./Investing.com

Stay updated with INFOEUROPEFX to find out the latest news about commodities.