The world oil market will come to the balance of demand and supply this year. This opinion was expressed to the journalists by the Minister of Energy of Russia Alexander Novak before the meeting of the monitoring committee of OPEC + in Oman on January 21.
Saudi colleague Novak Khalid al-Falih specified that the excess supply in the market may remain in the first half of the year, that is, balancing will occur in the second half of the year. In addition, oil reserves in OECD countries will drop to an average for five years.
“The responsible approach of the member countries of the Vienna agreements, many of which demonstrate high performance and go far beyond the commitments undertaken, allows keeping the record (record) at a record high level,” Novak said. the level of 100 percent for five months in a row.While the progress is obvious, we can not relax, we are determined to bring the balance to the end.”
The OPEC + agreement is effective from January 1, 2017 and assumes a total reduction in the level of oil production by 24 countries by 1.724 million barrels per day. The monitoring committee, which includes the ministers of Russia, Saudi Arabia, Venezuela, Kuwait, Algeria and Oman, meets several times a year to publicize the results of the pact and suggest adjusting its terms, if necessary.
Author: Alexandra Vozdvizhenskaya
Article in Russian: RG.ru