OPEC Agrees to Cut Oil Output by 9 Months, Moving Forward to Discuss with Russia Today!
OPEC has agreed to cut oil output for nine months while moving forward to discuss with non-OPEC allies today for approval.
OPEC had made an agreement on Monday, July 1, 2019, to extend production cuts by nine months, endorsing a policy designed to support oil prices amid a weakening global economy.
On Tuesday, July 2, 2019, the group will meet with non-OPEC allies, such as Russia, for approval on the deal with quite a positive look after both Iraq and Iran’s oil ministers reportedly agreed on the deal.
OPEC and non-OPEC allies have been cutting oil output since 2017 to prevent prices from sliding while the U.S. keeps pumping nonstop, producing 12.1 million bpd — which has become the world’s top producer this year ahead of Russia and Saudi Arabia. The cuts are running at a volume of about 1.2 million bpd.
Yesterday, Brent crude for September rose 32 cents to 65.06 dollars per barrel. Today, after the announcement from OPEC, Brent dipped 0.13 cents to 64.93 dollars per barrel.
