An additional reduction in OPEC+ oil production aims to stem the decline in world prices. About this RIA Novosti declaration Alexei Belogoriev, Research and Development Director of the Energy and Finance Institute (IEF).
“I believe that the main task of such a decision is to reverse the negative price dynamics in the oil market. “Prices have been falling since the summer of 2022,” Belogiev said.
According to him, the fall in prices stopped in the winter. But it continued again in March and a barrel of oil hit $78.4, the lowest monthly average since December 2021.
He added that the OPEC+ decision could also be affected by a revaluation of the growth of oil products supply from Russia. Despite the sanctions, the expected reduction did not occur. Also, the situation with supplies from Russia looks much better than forecast. Therefore, against the background of recent events, the world’s leading organizations postponed their forecasts for the transition of the world oil market to a sustainable deficit state to the fourth quarter of the third quarter.
Early Monday, Bloomberg reportedHe said that Saudi Arabia’s decision to reduce its daily oil production by 500,000 barrels a day changed the situation in the global energy market. Thanks to similar measures from other OPEC+ members, including Russia, North Sea Brent crude oil prices could approach $100 a barrel in the near future.