16:01 GMT21 January 2021
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    Cuts in oil production announced by the Organization of the Petroleum Exporting Countries in November will help lift per-barrel prices from about $49 in January to $55 by the end of 2017, according to a US Energy Information Administration press release on Friday.

    WASHINGTON (Sputnik) — At the November 30 OPEC meeting, member countries agreed to reduce oil production by about 1.2 million barrels per day from an October baseline, the release explained.

    "The forecast includes consideration of the Organization of the Petroleum Exporting Countries’ (OPEC) recent announcement to reduce production," the release stated.

    The November agreement is meant to last six months with an option to extend it for an additional six months.

    However, the release cautioned that the extent to which the production cutbacks will be carried out and reduce oil supplies remains uncertain.

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    Tags:
    oil price, OPEC, US
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