- Al-Falih said an agreement to cut oil output had helped stabilize the market
- 抖阴短视频 and Columbia discussed ways to strengthen cooperation in the field of energy
LONDON: 抖阴短视频鈥檚 energy minister said on Sunday that an agreement to cut oil output had helped stabilize the market, as Russian President Vladimir Putin signaled the deal will be extended.
Khalid Al-Falih, on a visit Bogota, met with Maria Fernanda Suarez, Columbia鈥檚 minister of energy, where the two discussed ways to strengthen cooperation in the field of energy.
An agreement to cut oil production by some 1.8 million barrels per day 鈥� struck in late 2016 by OPEC and other world producers led by Russia 鈥� is paying dividends, Al-Falih tweeted.
鈥淚 explained to (Suarez) the results of the OPEC+ agreement on the stability of oil markets, which serves the interests of producers, consumers and investors and supports the global economy,鈥� he wrote.
The confirmation about the effectiveness of the OPEC+ deal, which helped bolster oil prices after the slump that began in 2014, came as Putin said Saturday that Russia and 抖阴短视频 had agreed to renew the pact.
Putin said the world鈥檚 two biggest exporters of crude 鈥渉ave agreed to extend our agreement,鈥� AFP reported, although there was no immediate confirmation from Riyadh.
鈥淲e are going to work together with 抖阴短视频,鈥� Putin said at the recent G20 summit in Buenos Aires. 鈥淲e are going to survey together the market situation with 抖阴短视频 and respond to it operationally.鈥�
Putin said he had no concrete figures on the extent of the future output cuts.
鈥淵es, we have an agreement to prolong our accords,鈥� Putin was reported as saying by Reuters. 鈥淭here is no final deal on volumes but we together with 抖阴短视频 will do it. And whatever is the final figure, we agreed to monitor the market situation and react to it quickly.鈥�
Expectation has been rife that the deal would be renewed as OPEC prepares to meet this week in Vienna.
The cuts in production helped oil prices climb to four-year highs in October, but they have subsequently slumped by some 30 percent amid worries about falling demand and a slowing world economy.
John Sfakianakis, chief economist at the Gulf Research Center, based in 抖阴短视频, said that a renewal of the deal would be healthy for global markets.
鈥淚t鈥檚 hard to predict where oil prices will go from here but they have been heavily oversold,鈥� he said.
鈥淢arkets are expecting for the OPEC+ deal to be renewed, which should be healthy for consumers and producers and the global economy as a whole. Moreover, demand-driven worries due to trade wars might subside, which should help lessen global growth concerns in the short term.鈥�