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UAE Energy Minister Suhail Al Mazroui expects market balance to be achieved in the first quarter of 2019 as the production cut agreement between OPEC and non-OPEC members came into effect on Tuesday.
"As we start a new year, I remain optimistic toward achieving the market balance during the 1st quarter after OPEC and Non-OPEC production cut. At this time last year we remember the same pessimistic views which we disagreed with and as we expected 2018 was a good year," he said in a tweet on Tuesday.
The minister said last month that OPEC and non-OPEC producers would consider "deeper cuts" if the reduction isn’t enough to balance the market.
The 15-member OPEC group agreed to trim its output by 800,000 barrels per day (bpd), while Russia and the allied producers will contribute a 400,000 bpd reduction.
International benchmark Brent crude futures fell 82 cents (-1.5 percent) to $52.98 per barrel, West Texas Intermediate (WTI) futures fell 71 cents (-1.5 percent) to $44.70 a barrel on Wednesday morning.
As we start a new year, I remain optimistic toward achieving the market balance during the 1st quarter after OPEC and Non-OPEC production cut. At this time last year we remember the same pessimistic views which we disagreed with and as we expected 2018 was a good year
— سهيل المزروعي (@HESuhail) January 1, 2019
Related News
OPEC+ may consider ‘deeper cuts’ as oil prices drop |
Oil soars as OPEC, allies agree on a higher-than-expected cut |
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