‘All on board to extend output cuts by 9 months’
LONDON/DUBAI: All producers agree to extend crude output cuts by nine months to help trim a supply glut, according to Saudi Arabia’s energy minister.
The extension through the first quarter of next year would help producers reach their goal of trimming global stockpiles to a five-year average, said Khalid AlFalih.
The Organisation of the Petroleum Exporting Countries (Opec) and other global producers such as Russia had agreed to reduce production in the first six month of this year, and the decision to extend the cuts would be taken when they meet in Vienna at the end of the month, said AlFalih.
“We think we have everybody on board,” he said in Riyadh on Saturday. “Everybody I’ve talked to indicated that nine months was a wise decision.”
Al-Falih was speaking as United States President Donald Trump started a visit in Saudi Arabia, the world’s biggest crude exporter, on his first overseas trip.
Representatives from Opec and officials from several nonmembers discussed in Vienna on Friday the outlook for rising US shale oil production, which has