Major OPEC and other crude producers will meet in Russia, possibly next month, in a new push to agree on an output freeze to shore up oil prices, Iraq’s Deputy Oil Minister Fayyad Al-Nima said.
Iraq sees oil prices rising slowly despite the failure of OPEC and other producers including Russia to reach an agreement on an output freeze in Doha on April 17, Al-Nima, who assumed the duties of oil minister after Adel Abdul Mahdi suspended his participation in the cabinet last month, said in a phone interview. There is still no agreement on an oil meeting in May, Russian Energy Minister Alexander Novak said after Al-Nima’s comment.
“Iraq will take part in this meeting,” Al-Nima said. “Iraq’s view is to have a freeze in output for a short period to help protect the interests of both producers and consumers equally by easing the surplus from the market and improving prices.”
Talks in the Qatari capital Doha between the world’s largest producers about capping production failed after Saudi Arabia insisted it wouldn’t restrain output without commitments from all members of the Organization of Petroleum Exporting Countries, including Iran, which has ruled out freezing for now. Tensions between regional antagonists Saudi Arabia and Iran have flared as they take opposite sides in bloody conflicts in Yemen and Syria.
Iran is seeking to boost crude production and exports after years of sanctions. The Persian Gulf country is vying for market share, which it says was captured by Saudi Arabia and other producers. Iraq is also struggling to rebuild its energy industry and regain customers lost during decades of conflict and sanctions.
Iraq’s crude production, including from fields in the semi-autonomous northern Kurdish region, is currently at a level of between 4.7 million barrels a day and 4.8 million barrels, Al-Nima said. Exports are currently 3.9 million barrels a day, including from the Kurdish region, and are due to remain at the same level in May, he said.
Bob Owens on Wed, 20th Apr 2016 2:10 pm
Another useless meeting to do nothing. All of OPEC will continue to pump at max because they must generate income or die. The same with shale operators; they will pump even in bankruptcy.
Davy on Wed, 20th Apr 2016 2:24 pm
New European effort to reduce migration and increase oil production….and try their hand at nation building. We know how that ends with savages and the idiots who try to tame them.
http://www.zerohedge.com/news/2016-04-20/europes-inevitable-intervention-libya-will-add-13-million-barrels-world-oil-glut
Plantagenet on Wed, 20th Apr 2016 2:47 pm
Iraq is now a client state of Iran. If Iraq is calling for a freeze on production it may be a signal that there is some new flexibility from Iran on a production freeze
Cheers!
Plantagenet on Wed, 20th Apr 2016 2:49 pm
Let me add that I think we should be giving Obama the credit for the oil glut and the low energy prices we are currently enjoying. When Obama signed the non-nuclear pact with Tehran, he also allowed Iran to export oil, creating the current oil glut.
Its a brilliant maneuver, and has helped lower energy bills across the world
Cheers!
makati1 on Wed, 20th Apr 2016 6:22 pm
“Iraq Says OPEC, Others to Meet on Output Freeze Possibly in May”
Another lie to keep the suckers on the hook.
joe on Thu, 21st Apr 2016 4:44 am
Americas experiment with using jihad to control the ME and threaten Russia and foil European Russophiles and basically do everything it wants politically. The house of saud would not exist but for America. Islam is much the worse for Americas support for the ideology the Saudis export. Islam in Europe must be enabled to develop and take its own form, the same way that Christianity did. Then Europe can take over the middle east, and the old patterns of history will repeat.
Kenz300 on Thu, 21st Apr 2016 7:47 am
If oil prices rise shale and tar sands producers will come back………….OPEC needs higher prices but the sooner we get them the sooner the competition will come back.
KSA and Iran have different agendas. KSA want to crush Russia, Iran and US shale producers and reduce their competition……..Iran just wants to make money……..