Comments by Russia deputy energy minister, Pavel Sorokin
- We can see first signs of recovery in the oil market
- Return to pre-virus oil demand will take a long time
- Nobody is interested in breaking OPEC+ deal now
- Full compliance may be difficult for some countries
- Violation of OPEC+ deal would bring new collapse in oil
The fall to negative prices in the May contract was brought about by a confluence of black swan events working together. It was pretty much the perfect storm that will probably never be repeated in our lifetime ever again.
Anyway, it will be ironic if Russia is the one to not fully comply to the OPEC+ deal in the near future and bring about added concerns about the oil market.
For now, oil prices are continuing to stabilise and recover with WTI crude up 3.5% on the day to $25.40 currently after a monstrous surge higher in overnight trading.