Cairo- Oil markets’ trading underwent uninterrupted movements on spot and futures contracts. Aside from the trading session, movements were mass prior to the scheduled meeting in Algeria among Organization of the Petroleum Exporting Countries (OPEC) and Russia on the sidelines of International Energy Forum to held end of September.
Moreover, prices of crude Brent inched USD50 per barrel. The stability of oil prices will be the main topic in the meeting to be held on Friday between Saudi Arabia’s Energy Minister Khalid al-Falih, Algerian Energy Minister Noureddine Bouterfa and OPEC secretary general.
Bouterfa called earlier for raising prices above USD50 per barrel and he actually succeeded. This is a positive sign for the upcoming International Energy Forum and the meeting among oil producers on the sidelines of the forum, in case stability was maintained.
Russian average oil production was close to 11 million barrels per day (bpd) in the period of September 1-7, two industry sources told Reuters on Thursday.
One of the sources said the increase was due to restored output volumes at joint projects, known as production sharing agreements, between some Russian and foreign companies, as well as other factors. Russian oil output was down to 10.71 million bpd in August from 10.85 million bpd in July. Saudi crude oil output dropped from 10.67 million (bpd) in July to 10.6 million (bpd) in August.
Last Monday, Saudi Arabia and Russia sealed a deal to cooperate in the oil market especially reducing oil output; this deal led to a sharp lift in prices.
Energy Minister Alexander Novak on Thursday predicted that oil prices will fall during the next winter because of the mysterious oil market situation.
“Urgent events that might take place make it impossible to predict the market supplies but we are still confident that in 2017 the supply-demand balance will be reached”, Novak said in an interview with TASS.