Russia, Saudi Arabia Seek Extension of Oil Output Cut Deal

Russia and Saudi Arabia are reportedly lobbying for the extension of the deal limiting crude oil production.

MOSCOW (Sputnik) – Russia and Saudi Arabia are pushing for the extension of the oil output cut deal for another three months, up to the end of June 2018, media reported Monday.

The issue was discussed by Russian Energy Minister Alexander Novak and his Saudi counterpart Khalid Falih in St. Petersburg last month, The Wall Street Journal reported citing its sources.

Both ministers have reportedly been lobbing the initiative during their conversations with representatives of other members of the oil output cut agreement since the July meeting.

The ministers have not responded to The Wall Street Journal’s requests for comments on the issue.

In 2016, the Organization of the Petroleum Exporting Countries (OPEC) reached an agreement in Vienna to reduce daily oil production during the first half of 2017 in an effort to stabilize global oil prices.

The agreement was also supported by 11 non-OPEC states, which promised to jointly reduce oil output by 558,000 barrels per day. In May, the deal was extended by nine months, till March 2018.