AlKhobar – Ten days before the decisive meeting to be held in Vienna, expectations to reach a global agreement that shall return balance to the oil market have risen; Iraq, Iran, Russia, and Algeria stated that an understanding will likely be reached among the major producers of oil concerning the primary agreement struck in Algeria in September.
Iraq and Iran were the two main parties to obstruct major producers from reaching a final deal on OPEC’s reduction of oil output to 32.5 and 33 million barrels per day based on the Algeria talks; Iran by holding to its right to increase its production while Iraq by refusing to use secondary sources in the market.
Iran’s oil Minister Bijan Zanganeh has expressed optimism prior to the upcoming OPEC meeting and said that $55 per barrel is achievable for crude if both OPEC and non-OPEC producers cooperate.
After meeting with OPEC’s Secretary-General Mohammad Sanusi Barkindo, Zanganeh said that he received more signs on the possibility of reaching an agreement.
Iraq’s oil Minister Jabbar al-Luaibi told the Wall Street Journal that he is optimistic about OPEC’s meeting. He said he met with OPEC Secretary General Mohammad Barkindo in Abu Dhabi, hashed out some of their problems and reached a satisfying deal.
Algerian Energy Minister Noureddine Boutarfa said that Algeria’s agreement will be maintained when ministers meet in Vienna, reported Bloomberg on Friday.
Russian Energy Minister Alexander Novak said that a Russian agreement with OPEC is possible concerning the output to support oil global prices rates. His comments came following a meeting with his OPEC’s counterparts.
Abdul Samad Al-Awadi, an oil expert, said that people should await the ministerial meeting in Vienna on November 30 to know the results.
According to the ministries’ statements, OPEC has approached the conclusion of the first agreement since 2008 to restrict the oil output while all countries show flexibility with Iran’s will of increasing its production.
Iran has been the main obstruction in striking this agreement aiming at grabbing exemptions as part of its efforts to recapture its share in the oil market after the sanction’s lift in January.