18:09 GMT11 May 2021
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    St. Petersburg International Economic Forum 2018 (64)

    ST.PETERSBURG (Sputnik) - The Organization of the Petroleum Exporting Countries (OPEC) and non-cartel producers, which are part of the oil output cut agreement, plan to work out parameters for easing the oil cuts within a month, Russian Energy Minister Alexander Novak told the RBC broadcaster Saturday.

    "We can see at the moment that the agreement which is valid until the end of 2018 gives us a possibility to slightly change the reduction policy… We may consider partially lowering the quotas we agreed on… We would not want to give the numbers right now, we have agreed to work on this issue additionally within a month, to analyze the current situation very carefully and find some parameters," Novak told RBC at the St. Petersburg International Economic Forum (SPIEF).

    READ MORE: What Will Happen to Oil Prices in 2019?

    The minister added that one of the options was to go back to the quotas that were agreed on when the deal was first signed. He also said that average oil price in 2018 would be at $65-75 per barrel.

    At the same time, Novak noted that the decrease in Iranian oil output would not exceed 10 percent.

    "I believe that the reduction of [Iranian] oil output over sanctions will be less significant than it was predicted – about 10 percent. This is probably the maximum level," Novak said.

    The minister also noted that when sanctions against Iran oil deliveries had been in effect, Tehran was shipping its oil to Asia-Pacific countries.

    On May 8, US President Donald Trump announced his decision to withdraw the United States from the 2015 Iran nuclear agreement. Trump also announced that he would reinstate US sanctions related to Iran’s nuclear program.

    The SPIEF, held annually in Russia's second largest city of St. Petersburg, is a major global platform for communication between business representatives and the discussion of crucial economic issues.

    Sputnik International Information Agency is the official media partner of the forum.

    St. Petersburg International Economic Forum 2018 (64)


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