Oil prices to be $40-$60/bbl in next 3 years
Baku, Azerbaijan, Feb.6
By Leman Zeynalova – Trend:
Given the global supply and demand tendencies, oil prices will vary between $40 and $60 per barrel in 2017-2019, according to the forecasts of Russian Finance Ministry.
World oil prices are rising on Feb.6. The price of April futures for Brent crude oil rose by 0.11 percent and stood at $56.87 per barrel as of 03:42 EST. Meanwhile, the price of March futures for West Texas Intermediate (WTI) oil has increased by 0.24 percent to $53.96 per barrel.
Oil prices are supported by the optimism about compliance with the OPEC output deal.
Earlier, Russian Energy Minister Alexander Novak said that the country has reduced the oil production by 117,000 barrels per day.
The total reduction of oil output in January stood at around 1.4 million barrels per day, he added.
During a meeting in Vienna, Austria, on Nov. 30, 2016, OPEC members decided to implement a new production target of 32.5 million barrels per day. Later, non-OPEC countries agreed to cut the output by 558,000 barrels per day during the meeting held Dec. 10, 2016.
Eleven non-OPEC countries – Azerbaijan, Bahrain, Brunei, Equatorial Guinea, Kazakhstan, Malaysia, Mexico, Oman, Russia, Sudan, and South Sudan – agreed to reduce the oil output.
OPEC and non-OPEC countries pledged to start implementing the deal from Jan. 1, 2017 for six months, extendable for another six months.
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