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MOSCOW/VIENNA, Dec 7 (PRIME) -- OPEC and non-member participants agreed on Friday to reduce production by 800,000 barrels per day for OPEC and 400,000 barrels per day for non-OPEC states, including 230,000 barrels per day for Russia, with the October level set as the base for calculations.
The terms of the deal can be revised in April.
Brent jumped 4.66% as of 4:45 p.m., Moscow time to U.S. $62.78 per barrel.
Bloomberg reported that OPEC wanted to cut production by 650,000 barrels per day for the OPEC states and 350,000 barrels per day for non-OPEC producers.
A source close to the negotiations in Vienna told PRIME that Russian Energy Minister Alexander Novak told the Joint OPEC-non-OPEC Ministerial Monitoring Committee (JMMC) that Russia hopes to reduce oil production by only 100,000–150,000 barrels per day due to seasonal reasons, while OPEC was making an effort to convince Russia to reduce oil production by at least 300,000 barrels per day and was ready for a gradual cut.
In November 2016, OPEC and non-OPEC states including Russia agreed to reduce their oil production to rebalance the market. In 2017, the deal was prolonged until the end of 2018. In June, the participants decided to raise the output by 1 million barrels of oil per day due to a favorable market environment.
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