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Russia's Novak says demand should determine oil deal easing

Published 05/06/2018, 20:06
Updated 05/06/2018, 20:10
© Reuters. Russian Energy Minister Novak attends a session of the St. Petersburg International Economic Forum

VIENNA (Reuters) - Russian Energy Minister Alexander Novak said on Tuesday that oil demand should determine how OPEC and non-OPEC countries should adjust a current deal on oil output curbs.

The Organization of the Petroleum Exporting Countries and other oil producers led by Russia will convene in Vienna on June 22-23 to decide on a possible adjustment of the current oil output cuts deal, which is valid until the end of the year.

With oil recently reaching $80 a barrel, the highest since 2014, producers are now discussing easing some of the cuts.

"We have to look into the situation which has panned out on the market today, from the point of view of the volume cuts, inventories decline, shortages on the market, and to adjust the figures," Novak told reporters.

"And to look into the possibility of the adjustment of the cuts by taking into account demand," he added.

Novak is a part of the Russian delegation headed by President Vladimir Putin in Austria.

© Reuters. Russian Energy Minister Novak attends a session of the St. Petersburg International Economic Forum

Earlier on Tuesday he met OPEC Secretary-General Mohammad Barkindo in Vienna. After the meeting he said that OPEC and Russia share a common view on the oil market.

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