MOSCOW: Moscow will consider the possibility of withdrawing from the OPEC oil production cut deal after the global oil market rebalances. Iranian Oil Minister Bijan Namdar Zanganeh said earlier that Russia could withdraw from the deal before the end of 2018.
“We believe that as soon as the ultimate goal is achieved, which is the balancing of the market, we will start considering gradual withdrawal or exit from this deal,” Novak said. “Only after that further actions are to be considered and taken,” he added.
According to the Russian energy minister, the market rebalancing “might start to happen starting from the third or fourth quarter” of 2018.
In late 2016, OPEC (the Organization of the Petroleum Exporting Countries) and 11 independent oil-exporting countries, including Russia, reached an agreement to reduce oil production. The purpose of the agreement is to reduce global oil reserves to five-year average levels.
