Oil prices took a big jump on Thursday following reports that ministers from the largest oil countries will meet to discuss the reduced production. It writes among others Bloomberg.
information about a meeting in February comes from the Russian Energy Minister Alexander Novak.
The head of the Russian pipeline monopoly said that the decision-makers in Russia have decided that they should talk with Saudi Arabia and other OPEC ies to rein in production, in order to push up oil prices, writes CNBC.
Previously, countries like Nigeria and Venezuela wanted to cut down production, but so far little evidence suggested that the major producers have been ready for such a decision. Saudi Arabia has instead sought to protect market share from among other US shale oil producers.
Brent crude jumped to over USD 35 a barrel on Thursday afternoon, 8 percent higher than the 12-year low earlier in January. Also, the American WTI oil rose sharply.
– It looks more and more like this is the first sign that giving up the global production War. After expenses hijacked and projects put on hold would be a 5 percent cut bring the market in balance, said Phil Flynn, analyst at Price Futures Group in Chicago, told Bloomberg.
- We believe that the markets will start to come into balance in 2016, and that the demand for energy in all its forms will continue to increase, says a minister at the Saudi Petroleum and Mineral Department according to CNBC.
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