OPEC, non-OPEC agree to extend production cuts for 9 months
Baku, Azerbaijan, May 25
OPEC announced it would extend cuts in oil output by nine months to March 2018 on May 25, CNBC reported.
The move, which was then ratified by non-OPEC producers, was the base-case scenario for the market and means the 1.8 million barrel per day supply cut will roll over until the first-quarter of 2018.
Oil prices extended earlier losses shortly after the announcement as traders reacted to the developments.
At around 16:35 London time, Brent was trading 3.02 percent lower at $52.36 a barrel with the US West Texas Intermediate (WTI) benchmark edging down by nearly the same amount to sit at $49.75 a barrel.
Brent and WTI futures prices have tracked 13 percent and 14 percent higher respectively since this month's lows were reached on May 4.