Nixse
0

Oil prices rebound after reaching an agreement with OPEC

International oil prices rise close to 1 % this Sunday. On Sunday, the Organization of Petroleum Exporting Countries (OPEC), Russia, Mexico, and other nations agreed on a historic massive cut in oil production.

WTI, the barrel extracted from Texas, surged 0.9 % at $ 22.97. However, a few minutes ago, it was trading at $24.74, according to information from the Bloomberg agency. OPEC Meetings; Oil Increase Helped Cut U.S. Inventories - Finance Brokerage

Meanwhile, Brent, North Sea crude, a benchmark in Europe, earns 1% or 32 cents and sells for $ 31.80 per barrel, after touching a level of 33.99 earlier.

Mexican oil was at its lowest level since April 2 last Thursday at $ 16.54. Still, if international prices continue to gain, the national crude of Mexico will pick up.

 

OPEC + accepted Mexico’s proposal 

Kazakh Ministry of Energy said in a statement today that at the end of the telematic ministerial meeting of OPEC + members and non-OPEC + members, an agreement was signed to cut oil production. It reduced by 9.7 million barrels per day for two months, starting on May 1. 

The Iranian Oil Ministry tweeted that OPEC + members accepted Mexico’s proposal. Which was to reduce its production by 100,000 barrels, during May and June.

Rocío Nahle, head of the Ministry of Energy, stated that Mexico thanks all the support of OPEC on Sunday. The collective agreement of the 23 participating countries will initiate a reduction in the oil platform of 9.7 million barrels from May, tweeted Nahle.

It was decided that the United States will reduce its production by another 300 thousand barrels per day. This is to compensate for what Mexico stops cutting, said the Azerbaijani Ministry of Energy.

Mexico initially had to reduce its production by 400 thousand barrels per day. But it refused to undertake a cut in this scope.

On Thursday, the OPEC + alliance and other crude oil producers reached a basic agreement to reduce their oil supply by 23 %. Due to the drop in demand and the collapse in prices caused by the coronavirus pandemic.

However, the parties failed to seal the agreement. Because Mexico left the telematic meeting due to disagreement with the cut levels.

On Sunday, Kuwait’s Oil Minister Jaled al Fadhel posted on twitter that thanks to wise instructions, constant efforts, and continued talks, a historic agreement has been reached for the cut in crude oil production.

 

 

 

  • Support
  • Platform
  • Spread
  • Trading Instrument
Comments Rating 0 (0 reviews)


You might also like

Leave a Reply

User Review
  • Support
    Sending
  • Platform
    Sending
  • Spread
    Sending
  • Trading Instrument
    Sending