According to the latest Reuters calculations, the ugly OPEC and its allies (OPEC+) fallout triggered Saudi Arabia’s price war that ensued the massive slump in oil prices, has led to over half a billion dollars wipe out in revenues of the OPEC members.
Key takeaways
“Oil price dive turns up the heat on OPEC finances.
For the most part, oil is a top income source for members of the Organization of the Petroleum Exporting Countries and such a dramatic fall in prices will put a strain on their economies, some of which such as Iran and Venezuela, are already on the brink.
At a four-year low reached earlier today, prices were down nearly $20 a barrel from a high before the meeting of OPEC and its allies on March 6.
This means that in total, and based on their average February production, OPEC members lost more than $500 million in revenue.”
Meanwhile, WTI stalled its recovery mode above the 34 handle to now trade near 33.30, shedding 19.50% so far.
- WTI: Bulls offered reprieve amid profit-taking after over 30% plunge
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