OPEP (Organization of Petroleum Exporting Countries) is close to closing agreement to extend production cuts in the onshore and offshore markets, according to Suhail bin Mohammed al-Mazroui, United Arab Emirates Energy Minister, during forum Economic. The Minister pointed out that, given the current oil stocks, the supply cuts must follow or be extended "at least until the end of the year". In favor of the continuity of the cuts, al-Mazroui added that "the correct decision would be an extension".
Last year, the organization and allied producers, including Russia, agreed to reduce production from January this year to avoid an excess supply, decreasing by 1.2 million barrels per day for six months, using the October production as Base. However, meanwhile, the oil production "shale" in the U.S. continued to grow. "I believe the demand for oil will remain solid in 2020," the minister said.
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