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OPEC unlikely to agree on continuing oil cuts – Iran

Gasoil News - Published on Wed, 05 Dec 2018

Image Source: Middle East Monitor
Iran’s OPEC governor Hossein Kazempour Ardebili said that OPEC and its allies are unlikely to extend their production cut agreement when they meet this week. He said “Some countries to pull out of the agreement in protest over behaviour that had sharply decreased oil prices. The cooperation agreement is unlikely to be renewed.At least some member states will not join it, in which case any renewal will be out of the question.”

He added “In fact, some producers without the capacity to pump more may leave OPEC altogether.”

He said “Some producers have limited production capacity. Therefore, they may be faced with lower demand for production, while on the other hand, they lack any spare capacity for increased production, if need be. That strengthens the possibility of exit by minor member states. That is not impossible.”

OPEC meets Thursday in Vienna to discuss output strategy, with Saudi Arabia, the UAE and other members pushing for a cut that they say will be needed to avoid a supply glut. Officials have cited market forecasts showing a surplus of 1 million to 1.4 million b/d in the months ahead.

Source :

Posted By : Joykumar Irom on Wed, 05 Dec 2018
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