Low crude prices to force major producers to freeze output
UAE Energy Minister Suhail Mohamed al-Mazrouei considers that
the current low oil prices will force the major oil producers to
freeze the black gold [oil] output, RIA Novosti agency reported on
February 18.
“The current prices are inappropriate and will force the producers
to keep the output level and limit investment in more expensive
oil,” reported Reuters citing the Arabian minister as saying.
Al-Mazrouei said Feb. 17 that oil output freeze by the OPEC
countries and Russia will contribute to the balance of supply and
demand in the global market.
During a meeting in Doha Feb. 16, Russia, Saudi Arabia, Venezuela
and Qatar previously agreed to keep oil production at the January
levels if other producers join this initiative.
Later, the Venezuelan Oil Minister Eulogio Del Pino said that the
ministers of Ecuador, Algeria, Nigeria and Oman support the
decision on oil output freeze.
Kuwait also agrees to join the agreement between Russia and three
OPEC countries, according to Bloomberg.
In turn, representatives of the UAE and Iran also said that they
will support any step to improve the situation in the market.
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