Novak commented on the decision of OPEC + to cut oil production in October

MOSCOW, September 5 – PRIME. OPEC+ decided to cut oil production in October by 100,000 barrels per day due to the current market situation, according to technical committee estimates, Russian Deputy Prime Minister Alexander Novak said.

Earlier Monday, OPEC+ decided to cut oil production again by 100,000 barrels per day, returning in October to the August terms of the agreement. The next meeting of the alliance is scheduled for October 5.

According to Novak, this decision was made on the basis of an analysis of the current situation on the global oil market and a report from the OPEC+ technical committee.

“In general, the situation is such that it allows us to adjust. We see that the gross domestic product, the growth of the world economy is also slightly adjusted by our colleagues. Previously it was predicted at the level of 3.5% growth, now the percentage is lower, somewhere around 3.1%, therefore, as part of our agreement, we decided to slightly adjust the quotas, thereby once again showing, among other things, that we have a fairly flexible tool that is used, it can take into account both the need to increase production and reduce production,” the Deputy Prime Minister noted. .

Novak added that OPEC+ will continue to monitor the situation on the market, including in connection with discussions in the G7 countries on the price limit for Russian oil. He stressed that there are a lot of uncertainties in the market now.

“Therefore, we agreed that we will continue to meet every month in order to provide the most rational solutions for the market,” the Russian Deputy Prime Minister concluded.