OPEC Deal Extension Could Be Shorter Than 6 Months

2 May 2017   OPEC

OPEC could extend its crude oil production cut agreement by less than six months – the period that is widely assumed to be the logical continuation of the initial deal, which will be in force until June 30. According to Sam Barden, director of commodity trader and advisor SBI Markets, as quoted by Trend, there is “no chance” of a six-month extension – OPEC producers need their oil production and their market share, which has suffered as a result of the initial agreement that, together with 11 non-OPEC producers, aimed to shave off 1.8 million barrels from global daily supplies. Barden went on to suggest that Iran and Iraq will not partake in an extension, despite declarations from both countries’ oil ministers that they support the deal. Just this Saturday, Iran’s Oil Minister Bijan Zanganeh told media once again that Tehran will “support” the extension, but mentioned nothing of […]

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