OPEC’s talks with non-cartel oil producers to give no results

OPEC’s talks with non-cartel oil producers to give no results

Baku, Azerbaijan, Jan. 29

By Elena Kosolapova - Trend:

The talks of OPEC with non-cartel oil producers won't give any results, said Nikolai Ivanov, head of the energy markets sector at Russian Institute for Energy and Finance, speaking to Trend Jan. 28.

This week, OPEC urged non-cartel countries to jointly solve the problem of oil excess on the market. On Jan. 28, Russian Energy Minister Alexander Novak said that in February, OPEC plans to hold a meeting with participation of the non-cartel oil producing countries, and Russia is ready to participate in it.

"OPEC is in fact on its last legs," Ivanov asserted. "Saudi Arabia is taking steps that other countries perceive as unfriendly. There are very strong contradictions within the OPEC itself."

The expert reminded that most of OPEC countries are not pleased with the current low oil price.

He added that Nigeria, Algeria, Angola, Venezuela are among them.

"In particular, Arab countries do not suffer," he said. "The Arabs are able to reduce the price upon the long-term contracts."

Ivanov also said that currently OPEC must somehow save reputation and pretend that it is somehow trying to act in the common interests of the organization's members.

"Their actions are unlikely to result in anything," he said. "But it is necessary to imitate some activity. It is necessary to negotiate, meet in Vienna and make statements."

Ivanov added that OPEC Secretary General Abdalla Salem El-Badri's initiative to negotiate with different oil producers contradicts to OPEC's previous actions.

Saudi Oil Minister Ali Al-Naimi said earlier that only efficient producers should stay in the market, Ivanov recalled, saying that in other words, Saudi Arabia didn't want to subsidize inefficient producers within OPEC.

"The Saudis didn't want to share their part in the market and told about it directly. After Saudi Arabia has showed its true intentions, it is unlikely that anyone would believe it," said Ivanov.

In addition, the majority of traditional fields in the world do not allow reducing oil production smoothly, according to him.

For example, he said, if the production is cut in Russia, the specifics of the old Siberian fields won't allow increasing the output later.

"Therefore, the negotiations between Russia and OPEC are absolutely meaningless," said Ivanov.

---

Follow the author on Twitter: @E_Kosolapova

Subscribe to Trend in Google News! Subscribe
Weekly review of main events in Azerbaijan’s ICT sector
Weekly review of main events in Azerbaijan’s ICT sector
Cost of manufactured computers up in Azerbaijan
Cost of manufactured computers up in Azerbaijan
Turkmen enterprise releases its first tablets and smartphones
Turkmen enterprise releases its first tablets and smartphones
Loading Bars
Latest
Iraq schedules crude shipments for March loading amid strong demand: Official
Italy's Berlusconi hospitalised in Milan since Thursday
Turkey sees increase in number of real estate purchased by Kazakh citizens in 2021
Talks between Taliban and Western and Afghan representatives underway in Norway
Azerbaijan shares data on number of vaccinated citizens
Iran’s Bahar Azadi gold coin price rebounds
Azerbaijan confirms 1,697 more COVID-19 cases, 526 recoveries
Some 72 COVID-19 cases recorded among those arrived at Beijing Olympics
Thai PM to visit Saudi Arabia as diplomatic relations thaw
US Navy says it detained ship delivering cargo for Houthis from Iran
Biggest problem with US is its support to YPG: Defense minister
Russia confirms over 63,200 COVID-19 daily cases
Azerbaijan prioritizes creation of food safety through local production
Azerbaijani Defense Ministry presents weekly review (VIDEO)
Expat doctors worked alongside Kuwaiti counterparts to revive Kuwaiti health sector: Dr Riyadh Khan
Iran reveals COVID-19 data for January 23
Weekly review of main events of Azerbaijani financial market
Weekly review of main events in Azerbaijan’s ICT sector
Iran discloses volume of electricity generated by Gilan Combined Cycle Power Plant
Weekly review of Azerbaijani precious metals market
Azerbaijan commissions new military facilities (PHOTO/VIDEO)
Tickets are available for two bus trips to Azerbaijan’s liberated Aghdam city
Tank and artillery shells found in Azerbaijan’s Samur-Absheron canal (PHOTO/VIDEO)
Bosphorus Strait temporarily closed in both directions
One person killed, two hurt in Budapest hospital fire -police
Intercity bus plunges into abyss in Turkey’s Istanbul city
An extra meal and snacks twice a day was all it took to improve falling nutrition levels in this tribal district
Almost all Kazakhstan remains in COVID-19 ‘red zone’
Nadal beats Mannarino in battle of left-handers to reach last eight
Azerbaijan holds training exercises in commando military unit (VIDEO)
Georgia reports 9,696 coronavirus cases, 5,408 recoveries, 28 deaths
Training session for reservists continues in Azerbaijan (VIDEO)
Iranian currency rates for January 23
Arab League delays annual summit as COVID-19 bites again
Turkey plans to hold next meeting within "3 + 3" format - Erdogan
New Zealand PM Jacinda Ardern cancels her wedding amid new Omicron restrictions
S.Korea says Iran to regain UN vote after delinquent dues paid with frozen funds
Electricity generation of Iran’s Bandar Abbas TPP surges
Uz-Kor Gas Chemical opens tender for purchase spare parts for analyzers and gas detectors
SCO to consider draft program proposed by Uzbekistan
Iran-Russia annual trade to increase to $10 b from $4 b
Kazakhstan confirms 14,012 new COVID-19 cases in 24 hr
French EU lawmaker Collard joins far-right presidential candidate Zemmour
Pfizer, Moderna boosters up to 90% effective against Omicron: CDC
Turkey’s Turkovac to be tested as booster for Pfizer-BioNTech jab
Guinea junta establishes council to lead transition to elections
Visit aims to rebuild trust with Lebanon: Kuwait foreign minister
UK records 76,807 new COVID cases, 297 deaths
EU Commissioner for Energy to visit Azerbaijan
Pfizer CEO sees annual COVID vaccine rather than frequent boosters
US Dept of State plans to begin evacuation of US embassy staff from Kiev on Jan 24
Blast hits western Afghan city of Herat, killing at least six
Georgia’s coal imports from Kazakhstan triple
Presidential administration of Georgia submits candidates for election commission to parliament
Remittances to Uzbekistan in 2021 totaled USD 8 bln
Iran seeks long-term, all-out ties with Turkey - Raeisi
Massive California wildfire triggers evacuations, closes highway
Italy's Berlusconi decides against running for president
Azerbaijan, Iran talk military cooperation
Azerbaijani chess player continues to lead in Tata Steel Masters tournament
Serviceman of Azerbaijan Army dies in non-combat conditions
Number of Turkish jobseekers in Uzbekistan revealed for 2021
UAE stops all private drone activities, light sports aircrafts
Airbus cancels $6bn contract with Qatar Airways
German conservatives elect right-winger Merz as new party leader
Non-hydro renewables overtake hydro for first time in Turkey
Record-breaking indicators in non-oil sector - what is secret to success of Azerbaijan's economic strategy?
Iran shares data on exports from Aras Free Trade Zone
Kazakhstan names damage caused to business as result of large-scale rallies
Georgia publishes COVID-19 data for January 22
Iran’s Bahar Azadi gold coin price dips
India now allows 6 people to register on one number for Covid vaccination
Azerbaijan shares data on number of vaccinated citizens
Azerbaijan confirms 1,614 more COVID-19 cases, 610 recoveries
Azerbaijan changes rules for quarantine control of Covid-19
India's Karnataka approves design & launch of nano-satellite by govt school students at Rs 1.9 Cr
‘One Modi cannot change a country, need more icons like him’: Himanta Biswa Sarma
Seizing of illegally stored weapons from citizens continues in Kazakhstan - interior minister
Azerbaijani border serviceman commits suicide in military hospital
Iran unveils details of agricultural export
Kazakh Armed Forces performing tasks to ensure public order in regions with “red” level of terrorist threat
Tokyo hits record 10,000 COVID cases, Japan over 50,000 for first time
Number of COVID-19 infections in Russia surpasses 11 mln since pandemic began
Kazakhstan developing measures to reform Samruk-Kazyna Fund's activities
PMO records surge in load/unload operations at Iranian ports
S&P predicts gas production growth in Azerbaijan through 2025
Turkmen medical enterprise discloses production data
Azerbaijan to hold auction for Ferrum Kapital CJSC's bonds
Kazakh president talks need to continue work to reveal all circumstances of recent riots
Kazakh oil and gas company to purchase helium via tender
Iran reveals COVID-19 data for January 22
Oil price spikes likely in 2022 amid inventory tightness midyear
7 killed, 16 injured in massive fire in central Mumbai high-rise
Oil demand to be robust in coming years despite net-zero strategies
India reports 3,37,704 new Covid cases, 488 deaths in 24 hours
Number of COVID-19 infections in Russia surpasses 11 mln since pandemic began
OPEC+ focus to switch away from propping up prices
Iran shares data on buy/sell operations at its Mercantile Exchange
Most people feel I-T exemption limit could be raised from Rs 2.5 lakh: India's KPMG
Turkmenistan’s Balkandokma complex doubles cotton yarn sales
All news