Saudi Arabia and other OPEC countries can start the reduction of oil production earlier than may, as planned, writes The Wall Street Journal citing sources.
According to the newspaper, the discussion of the possibility of such decision is connected with the collapse of oil prices of WTI, which on 20 April for the first time in United States history was reached on the new York Mercantile exchange negative indicators. To 16.36 on the East coast of the United States (23.36 Moscow time) the cost of supply of fossil fuels fell in may for $35,97 (196,88%), to minus us $17.7. The price of the June shipments have been reduced to about $20 per barrel.
“With this horror need something to do. But, it may be too late”, —the newspaper quoted the representative of the government of Saudi Arabia.
Recall that on 12 April was held a new meeting of the OPEC+ (OPEC countries, plus Russia, Kazakhstan and Azerbaijan), in which all 23 States of OPEC agree on reducing oil production. After that, the leaders of the Russian Federation, the United States and Saudi Arabia had a telephone conversation in the course of which confirmed the entry into force of the agreements on the limitation of production of “black gold”.
Read the article: “Delyagin commented on the collapse of prices for WTI crude oil: the end of market relations”
