Search ForexCrunch

Russian oil companies told Energy Intelligence that they may be willing to extend the OPEC+ oil output cut accord if current unsupportive market conditions persist. However, there were no official comments from Novak or the companies afterward.

While sources said that the companies may postpone a scaling back of the production cuts scheduled for Jan. 1, they would not support an increase in the OPEC+ output cuts. 

Back in April, OPEC+, a group of major producers led by Saudi Arabia and Russia, announced an output cut of nearly 10 million barrels per day to put a floor under oil prices, which took effect on May 1. The production cuts were revised lower to 7.7 million barrels per day in the third quarter. 

The US oil prices rallied from $10 to $43 in the four months to August and have recently come under pressure due to a resurgence of coronavirus. At press time, the WTI oil s trading at $36.93 per barrel.