All news

OPEC+ not considering revision of deal’s terms, says Russian minister

Putin said earlier that crude reserves should be reduced to a reasonable level so that they do not put pressure on oil prices

RIYADH, October 14. /TASS/. The countries participating in the OPEC+ agreement on crude production cap are not considering revision of the deal’s terms, Russian Energy Minister Alexander Novak told reporters on the sidelines of the Russian-Saudi investment forum on Monday.

"No, that (revision of deal’s terms) is not under consideration. Today we are going to sign a long-term cooperation charter," he said when asked whether revision of the deal’s terms is under consideration.

Russian President Vladimir Putin said earlier in an interview with RT Arabic, Al Arabiya and Sky News Arabia TV channels that crude reserves should be reduced to a reasonable level so that they do not put pressure on oil prices. "I think that President meant the successful experience of the OPEC+ on balancing the market and the adoption of certain measures in this regard if necessary," Novak commented on Putin’s statement.

The OPEC+ production reduction pact aimed at stabilizing crude prices is valid until the end of March 2020. In total, the countries participating in the agreement should reduce production by 1.2 mln barrels per day to the level of October 2018. Under the deal, Russia and Saudi Arabia, being the biggest oil producers, have the largest quotas for reducing production. They are obliged to cut their oil output by 228,000 and 322,000 barrels per day, respectively.

OPEC+ nations postponed indefinitely the talks on additional output reduction at the meeting in Abu Dhabi on September 12. Instead, several countries of the alliance that previously failed to meet their quotas, should remove excess supply amounting to almost 400,000 barrels per day from the market within the next two months.