Most want 9 months vs 6 month of output cut rollover
The Saudi oil minister Al-Falih is on the wires as OPEC meeting underway today and tomorrow:
- already agreed on principles of rollover
- more countries want 9 months than 6 months
- Saudi July all production seen at about 9.7M B/D
- Saudi oil output be below 10 B/D
- OPEC+ conformity will be a lot better in 2H
- demand not necessarily looking grim for 2020
- Iran doesn’t want OPEC to condemn US at this meeting
- we are already seeing oil demand pickup
- it’s all pointing in the right direction
- hopes for agreement on OPEC+ charter tomorrow
- Iran agreed on all issues in meeting with Russia’s Novak
- IRAQ: there’s a glut in oil market, therefore the rollover of output cuts
- there is a unilateralism that’s a threat to OPEC
- we take security of supply for world very seriously
- Saudi’s plan to keep oil production reduced through March
- market share is not the top priority for Saudi Arabia
- we won’t pursue endless production cuts
- we have cut production deepen of
- not Saudi policy to keep cutting output endlessly
- OPEC is more vibrant than ever
- market is not unreasonably tight
- consumers in US, elsewhere find market is very reasonable place