March 2010 April 2010 May 2010 June 2010 July 2010
August 2010
September 2010 October 2010
November 2010
December 2010
January 2011
February 2011 March 2011 April 2011 May 2011 June 2011 July 2011 August 2011 September 2011 October 2011 November 2011 December 2011 January 2012 February 2012 March 2012 April 2012 May 2012 June 2012 July 2012 August 2012 September 2012 October 2012 November 2012 December 2012 January 2013 February 2013 March 2013 April 2013 May 2013 June 2013 July 2013 August 2013 September 2013 October 2013 November 2013 December 2013 January 2014 February 2014 March 2014 April 2014 May 2014 June 2014 July 2014 August 2014 September 2014 October 2014 November 2014 December 2014 January 2015 February 2015 March 2015 April 2015 May 2015 June 2015 July 2015 August 2015 September 2015 October 2015 November 2015 December 2015 January 2016 February 2016 March 2016 April 2016 May 2016 June 2016 July 2016 August 2016 September 2016 October 2016 November 2016 December 2016 January 2017 February 2017 March 2017 April 2017 May 2017 June 2017 July 2017 August 2017 September 2017 October 2017 November 2017 December 2017 January 2018 February 2018 March 2018 April 2018 May 2018 June 2018 July 2018 August 2018 September 2018 October 2018 November 2018 December 2018 January 2019 February 2019 March 2019 April 2019 May 2019 June 2019 July 2019 August 2019 September 2019 October 2019 November 2019 December 2019 January 2020 February 2020 March 2020 April 2020 May 2020 June 2020 July 2020 August 2020 September 2020 October 2020 November 2020 December 2020 January 2021 February 2021 March 2021 April 2021 May 2021 June 2021 July 2021 August 2021 September 2021 October 2021 November 2021 December 2021 January 2022 February 2022 March 2022 April 2022 May 2022 June 2022 July 2022 August 2022 September 2022 October 2022 November 2022 December 2022 January 2023 February 2023 March 2023 April 2023 May 2023 June 2023 July 2023 August 2023 September 2023 October 2023 November 2023 December 2023 January 2024 February 2024 March 2024
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29
30
31
News Every Day |

OPEC+ meets as Saudis keep finger on the pumps, Russia wants gradual output increase

OPEC+ meets as Saudis keep finger on the pumps, Russia wants gradual output increase

The Organization of Petroleum Exporting Countries (OPEC) and its allies, a group known as OPEC+, convened for talks chaired by Saudi Energy Minister Abdulaziz bin Salman and Russian Deputy Prime Minister Alexander Novak via videoconference on April 1, approving the adjustment of the production levels for May, June and July, while agreeing to continue to hold monthly meetings to assess market conditions and decide on production level adjustments for the following month, with every adjustment being no more than 0.5 million barrels per day, OPEC said in a statement.

Saudi Arabia will maintain its additional voluntary adjustments of 1 million barrels per day in April for the third month in a row. They recognized the improvements in the market supported by global vaccination programmes and stimulus packages in key economies but noted that the volatility observed in recent weeks warrants a continued cautious and vigilant approach in monitoring market developments, OPEC said. The Ministers noted that since the April 2020 meeting, OPEC and non-OPEC Participating Countries had contributed to adjusting downward global oil supply by 2.6 billion barrels of oil by the end of February, which has accelerated the rebalancing of the oil market.

Chris Weafer, co-founder of Macro-Advisory in Moscow, told New Europe by phone on April 1 that Russia fully supports OPEC+. He noted that Moscow has a different view how the price should be managed than Riyadh but that disagreement does not undermine the OPEC+ structure.

“Russia is absolutely clear in its support for OPEC+, and it will not do anything that would undermine the OPEC+ cooperation and specifically will look to avoid repeating what happened in March 2020 and partly that’s because it’s simply good economics. The oil price obviously is better with OPEC+ managing the process even though there is a disagreement what should the strategy between Russia and Saudi (Arabia), but the oil price and oil market is more predictable with OPEC+. But it’s also good politics,” Weafer said, explaining that Russia wants to continue to cooperate with Saudi Arabia and the rest of the Gulf Arab states, which reinforces Moscow’s position in the Middle East.

Russia has sought for OPEC+ to push ahead with a supply increase but Ministers on April 1 said an increase in oil production would not exceed 0.5 million barrels. “Minister Novak has made that clear. He said that Russia does not want to keep the oil production at the low level until the end of the term which the Saudi more or less advocate because when you get to the end and you say, ‘Okay the agreement is now over,’ the Saudis can fill the gap immediately, whereas Russia would take at least have a year, if not a bit longer, to recover all that lost oil in one go,” Weafer said.

“Its (Moscow) argument is that it needs to be allowed to add back oil in a steady incremental basis so that at the end of the deal it has fully recovered the oil cut as its part of the production because it can’t do it that quickly. It has to do it on a gradual basis whereas Saudi Arabia can do it that quickly and most of the other Arab countries – certainly those based in the Middle East and the Gulf region – can do it that quickly. In that sense, if Russia was to adapt this position those countries then it would lose market share for quite some time at the end of the deal and it says that OPEC should be prepared to live with a more modest oil price i.e. in the 50s and add oil incrementally, which is exactly what suits the Russian position whereas Saudi says they want the higher oil price and partly the reason is that they have much greater flexibility of turning oil on and off in big volumes very quickly and Russia does not have that flexibility,” Weafer explained.

The Macro-Advisory expert predicted that the oil price is much more likely to go below $60 per barrel before it rallies up to the high 60s again. “At the beginning of the year, there was optimism that all major economies would start to recover in the spring and that the coronavirus would be under control by the spring and we would be back to business as usual by the summer and now the evidence is that this is not the case. It is happening perhaps in the US, it is happening in the UK, and Russia and some other parts of the world but Europe and some Latin American countries, it is clearly not happening and it’s going to take a lot longer to bring coronavirus under control and therefore for the economies to get back to normal,” Weafer said, noting that the oil price went up to the high 60s earlier in the year reflecting that optimism but now has dropped as it has become clear that it will take a lot longer for a big part the global economy to recover.

“Suez was a temporary blip, provided an opportunity for traders to make money but now they are reflecting the fact that it’s going to take longer and there is a more sober view of recovery that 2021 is going to be a tough year for most of the year for many parts of the economy. So, the delay is being shoved further out and that’s why the actions OPEC+ takes will reflect that,” Weafer said. He noted that Saudi Arabia has to keep the voluntary cut in place for longer than they hoped because they want the oil price to stay in the 60s otherwise it will come down more likely in the mid-50s where Russia is more comfortable with this and the US is even more comfortable as well.

US Secretary of Energy Jennifer Granholm called bin Salman ahead of the OPEC+ meeting. “I had a productive call with Saudi Energy Minister Abdulaziz bin Salman al-Saud today. We reaffirmed the importance of international cooperation to ensure affordable and reliable sources of energy for consumers,” she wrote in a tweet. “We also discussed closer collaboration to solve common challenges and develop renewable energy sources, increase efficiency, reduce methane in oil and gas production, and develop clean forms of hydrogen to combat climate change.”

Weafer noted the Americans support a modest oil price. “The Biden administration simply does not have any reason to support the US oil sector,” he said, adding, “In fact very much the opposite, it wants investment to go into renewables and, secondly, the lower oil price or more modest price increases is a net positive for global economic recovery while a spike in the oil price could be damaging, it can slow economic recovery”.

Москва

Сергей Собянин: Завершаем строительство московского городского вокзала Щербинка

Top 10 Emmanuelle Seigner Movies

I was diagnosed with cancer aged 39… you are never too rich, too famous or too young, says Dr Philippa Kaye

The 10 Intense New Action Movies on Netflix That Left Me on the Edge of My Seat!

Top 10 Love Affair Movies of the 2000s and 2010s

Ria.city






Read also

Girl, 3, dies after drinking caustic soda she thought was fruit juice

Barcelona looking to take advantage of 32-year-old Arsenal ace’s contract issues

Monster plane lands anywhere, delivering giant wind turbine blades without roads

News, articles, comments, with a minute-by-minute update, now on Today24.pro

News Every Day

Top 10 Love Affair Movies of the 2000s and 2010s

Today24.pro — latest news 24/7. You can add your news instantly now — here


News Every Day

The 10 Intense New Action Movies on Netflix That Left Me on the Edge of My Seat!



Sports today


Новости тенниса
WTA

Рыбакина, наряду со Свёнтек, имеет 70% побед на WTA-1000 против соперниц из топ-10



Спорт в России и мире
Москва

GeekVape в сотрудничестве с Absolute Racing выиграла чемпионат в категории GT3



All sports news today





Sports in Russia today

Москва

Sitronics Group рассказала о достижениях компании в области корпоративного спорта


Новости России

Game News

Для Wuthering Waves проходит предрегистрация в App Store и Google Play


Russian.city


Москва

Жителей Химок пригласили на военную службу по контракту


Губернаторы России
Россия

Новые цены на жилье утвердили в России


Заказать недорогой ремонт шкафов купе в Москве и Московской области

Гражданина Узбекистана арестовали на Алтае за поддержку теракта в «Крокусе»

Всероссийский конкурс артистов балета и хореографов пройдет в Йошкар-Оле

Газпром Нефть, Сбербанк или Яндекс? – чье мероприятие стало событием года?


Семен Слепаков решил избавиться от последнего бизнеса в России

Похудевший Лазарев не может больше выступать — что известно о состоянии певца

Макаревич ответил на обвинения в отсутствии сочувствия после теракта в "Крокусе"

Вывод Песни, Альбома, Клипа в ТОП Музыкальных Чартов!


Россиянка покинула WTA-1000 из-за проблем со здоровьем

Теннисистка Касаткина отреагировала на высказывания Винер о россиянах

Битые корты: Медведев и Александрова вышли в четвертьфинал Miami Open

Рыбакина, наряду со Свёнтек, имеет 70% побед на WTA-1000 против соперниц из топ-10



Шапки женские вязаные на Wildberries, 2024 — новый цвет от 392 руб. (модель 466)

Пассажир рейса Москва — Пермь попал в реанимацию

Архитектурные доминанты округов Москвы

Перенос дат II этапа культурного проекта «Классика: история и современность» в Дмитрове


Тариф – Большой Концертный Тур. Организация серии больших концертов.

Раньше срока. Собянин: новая развязка улучшит движение для 600 тыс. человек

ТНТ запускает ежедневное утреннее шоу с Анной Хилькевич и Анатолием Цоем

«Авангард» победил «Локомотив» со счетом 3:2 и сравнял счет в серии плей-офф КХЛ


Транспортные полицейские Белорусского вокзала продолжают мероприятия по профилактике травматизма

Свыше 400 спортсменов примут участие во всероссийских соревнованиях по синхронному плаванию в Чехове

Маршруты МЦД продлят до 11 регионов России

«Развлекает гостей»: Московский зоопарк показал «рабочие» дни панды Катюши



Путин в России и мире






Персональные новости Russian.city
Певица

Певица Mia Boyka призналась, что в детстве ходила в церковь почти каждый день



News Every Day

The 10 Intense New Action Movies on Netflix That Left Me on the Edge of My Seat!




Friends of Today24

Музыкальные новости

Персональные новости