NEWS
Oil  

OPEC Cuts Have Oil Market on Path

The oil market is on its way to rebalancing, and the 1.2 million barrels per day in supply cuts by OPEC and its allies will be enough to finish the job in the first half of this year, UAE Energy Minister Suhail al-Mazrouei said Wednesday.

"We have seen the correction in December, in January definitely we will continue correcting the market," Mazrouei said in Abu Dhabi, Platts reported.

OPEC crude output fell 630,000 bpd in December to a six-month low of 32.43 million bpd, according to the latest S&P Global Platts OPEC production survey released Tuesday.

But the 11 members who have quotas for 2019 still need to reduce supplies by 950,000 bpd to become fully compliant with the deal, which went into force January 1.

Mazrouei, who served as OPEC's president in 2018, noted that even though the agreement exempts sanctions-hit Iran and Venezuela, he expected output declines in both countries will factor into OPEC's market rebalancing efforts.

The deal also exempts Libya, whose production has been volatile due to disruption by militants.

Mazrouei added that the US may need to recalibrate its position on oil prices if it wants to maintain a healthy economy. OPEC has been under pressure from US President Donald Trump to keep prices low by pumping more crude, but Mazrouei said US producers would suffer.

"Low prices [are] not good for the US economy," Mazrouei said, adding that growth in shale production "is not going to happen if the price is not right. We have seen slowdown in the US in the last month. Investors are not going to be keen on [low prices] in the US because they will be losing money."

News No: 3216
Date: 2019/01/10 - 06:35
News Source: FARS News Agency

OPEC  Oil  UAE  Suhail al-Mazrouei  Mazrouei 

Comments:

Leave a Comment:

   
   
   
 

Larijani Highlights US Failure to Cut Iran’s Oil Exports to Zero

Iranian Parliament Speaker Ali Larijani highlighted the futility of US plots to hit the Islamic Republic’s economy and said Washington has failed in its attempts to cut Tehran’s oil exports down to zero.
 

New Oilfield Discovered in Southwest Iran

Iran has discovered a new oilfield near the southwestern city of Abadan, Oil Minister Bijan Namdar Zanganeh said Wednesday.
 

Imports of Easy Open Aluminum Can Lids Hit $11m

About 1,882 tons of easy open aluminum can lids worth about $11 million were imported into Iran during the first half of the current Iranian year (March 21-Sept. 22), data released by the Islamic Republic of Iran Customs Administration show.
 

Oil, Gas Executives Expect Spending Boost

The majority of senior energy industry executives expect to maintain or increase spending this year to meet demand for oil and gas after years of austerity, a survey by DNV GL shows.
 

IMF Cuts 2019, 2020 Oil Price Forecast

The International Monetary Fund Monday cut its forecast for average oil prices to just below $60 per barrel in 2019 from close to $70 per barrel in its last World Economic Outlook in October on concerns about global economic growth.
 

Japan Refiners Load Iran Crude

Fuji Oil, jointly with Showa Shell, has loaded the first Iranian crude oil cargo being lifted by Japanese refiners since the country won a 180-day waiver from the US to import oil from Iran, a Fuji Oil official told S&P Global Platts Monday.
Upcoming Events
Publications
 Mines & Metals

Mine & Business Today

 Scrap & Recycling

Ahangan

Our partners