OPEC and Russia say they are ahead of schedule implementing their historic agreement to curb oil output and boost prices.
Saudi Arabia, Algeria and Kuwait have already made deeper cuts than required, while Russia has reduced supply faster than expected, ministers said as they arrived in Vienna. Producers have already removed 1.5 million barrels a day from the market, according to Saudi Minister of Energy and Industry Khalid Al-Falih.
The sun sets beyond oil pumping units, also known as nodding donkeys or pump jacks, at an oil plant in the Czech Republic.Credit: Bloomberg
"We are ahead of schedule and we will continue," Russian Energy Minister Alexander Novak said. . "We are doing our best to maximise participation in the fulfilment of the agreement."
Saudi Arabia, Kuwait, Qatar, Algeria and Venezuela are meeting non-OPEC nations Russia and Oman to figure out ways to verify that the 24 signatories to the December 10 accord are following through on their pledge to remove a combined 1.8 million barrels a day from the market for six months.
International oil prices rose to an 18-month high of more than $US58 a barrel after the Organisation of Petroleum Exporting Countries and several non-members agreed o end two years of unfettered production and cut output. Crude has since slipped about 5 per cent from that peak as traders await proof that they will follow through.
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There's no indication that the cuts will need to be extended beyond the initial six-month term, Algerian energy minister Noureddine Boutarfa said.
"If we really comply by 80 to 90 per cent, it may not be necessary," Mr Boutarfa said. "We aren't excluding it, but signals are positive."
OPEC's production fell by 220,900 barrels a day to 33.08 million a day in December, led by declines in Saudi Arabia and Nigeria. The organisation agreed to reduce its output to 32.5 million barrels a day, although that total included about 740,000 barrels a day from former member Indonesia.
Bloomberg