Tags: opec | oil | output | cut | prices

OPEC Nations, Russia Agree to Cut Oil Output to Lift Prices

OPEC Nations, Russia Agree to Cut Oil Output to Lift Prices
(Alexlmx/Dreamstime)

Friday, 06 December 2019 09:43 AM EST

The OPEC oil-producing countries and ally Russia said Friday they have agreed to cut their crude production by an extra 500,000 barrels a day as they try to support global energy prices.

The decision came after long discussions at the OPEC headquarters in Vienna. The group’s goal is to to support the price of energy. But they also do not want to lose global market share to the United States, which keeps pumping more oil.

“We have decided to reduce production by 500,000 barrels a day through the first quarter of next year,” said Russian energy minister Alexander Novak.

The cuts come on top of a reduction of 1.2 million barrels a day that they have been observing for the past three years.

The sticking point in the talks appears to be how to share the cuts among the 14 OPEC countries and nations like Russia that have been coordinating their production with the cartel in recent years.

Saudi Arabia has been bearing the burden of the largest share of production cuts recently. But some countries have been producing more than their expected.

Analysts note that if countries are already not complying with the current agreement, voting for more cuts could be pointless.

© Copyright 2024 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


Markets
The countries of the OPEC oil-producing cartel and ally Russia agreed Friday to cut crude production by an extra 500,000 barrels a day.
opec, oil, output, cut, prices
203
2019-43-06
Friday, 06 December 2019 09:43 AM
Newsmax Media, Inc.

Sign up for Newsmax’s Daily Newsletter

Receive breaking news and original analysis - sent right to your inbox.

(Optional for Local News)
Privacy: We never share your email address.
Join the Newsmax Community
Read and Post Comments
Please review Community Guidelines before posting a comment.
 
Get Newsmax Text Alerts
TOP

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved
NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved