OPEC agrees on oil cut extension to end of 2018

MNA – OPEC has agreed on Thursday to extend output cuts until the end of 2018 during a 14-country meeting in Vienna.

OPEC agreed to extend its oil-production cuts to the end of next year as the job of rebalancing the market is not yet done, Bloomberg cited unidentified delegates at a ministerial meeting in Vienna as saying.

According to the source, the talks at the ongoing closed-door meeting have now moved on to the mechanism that will be used to review the agreement in the middle of 2018.

Ministers still need to strike agreement with non-OPEC allies, particularly Russia, which has voiced its support for the extension, but is said to want assurances on how and when the agreement will be phased out.

Oil Minister Bijan Namdar Zaganeh who is representing Iran at the OPEC meeting has also voiced support for a six to nine month oil cut extension.

He refused to give a direct answer as to whether Tehran would immediately agree on the oil-cut deals.