OPEC members and 10 other oil producing nations, including Russian Federation, on Friday agreed to cut output by 1.2 million barrels a day from January in a bid to reverse recent falls in prices.
"Saudi Arabia has a long-term goal of managing the oil market to avoid the sharp falls and spikes which hurt demand and the ability of the industry to develop supply".
The move to cut 1.2 million barrels per day from the market was not easy, according to UAE Minister of Energy Suhail Mohamed Al Mazrouei.
The move defied populist US President Donald Trump who has been pressuring oil producing nations to maintain output levels to keep prices at the pump down.
"Secretary Perry advocated for the expansion of joint partnerships with the United States as Qatar seeks to grow its LNG operations around the world", the Department of Energy said.
U.S. West Texas Intermediate crude futures ended Wednesday's session down 50 cents, or 1 percent, at $51.15 a barrel, after earlier hitting a session high of $52.88. "OPEC refused to specify which country would cut how much".
Brent crude futures, the worldwide benchmark for oil prices, traded at around $61-62 a barrel at the time of writing this article.
USA equity markets and European stocks rallied earlier as investors weighed the prospects for success in American-Chinese trade talks.
Undermining the supply cuts is soaring output in the United States, where crude production C-OUT-T-EIA has hit a record 11.7 million bpd.
"Oil has opened the week lower as U.S".
The cartel's allies, who include Russian Federation and nine other non-OPEC oil producing nations, will also contribute to the deal by trimming their output by 400,000 bpd over the same period.
Russian Federation is the second largest crude oil producer in the world after the United States.
Most of the large oil producers have reached to the agreement to cut the oil production.
OPEC and its partners made a decision to extend its production cuts till the end of 2018 in Vienna on November 30, as the oil cartel and its allies step up their attempt to end a three-year supply glut that has savaged crude prices and the global energy industry. "Opec is no longer the 30 million barrel (per day) group".
- Mizoram Election Results 2018: Tight fight between Mizo National Front, Congress
- Doubt cast over tomorrow's crucial Brexit deal vote
- Strasbourg shooting suspect, ID'd as extremist, still at large; 5 others arrested
- U.K. disarray: May to face no-confidence vote by lawmakers
- Kevin McCarthy anxious about Google’s next steps in China
- Brexit to be cancelled?
- Far Cry Is Heading To The Post-Apocalypse
- Mukesh Ambani receives the groom at Antilia
- Holloway stops Ortega by TKO at UFC 231 in Toronto
- India central bank chief Urjit Patel steps down