On Sunday, Venezuelan President Nicolas Maduro stated that OPEC and non-OPEC countries were close to reaching a deal to stabilize oil markets. He also said that a deal could quite possibly be announced this month.
At the end of a summit of the Non-Aligned Movement on Margarita Island, Venezuela, where diplomats also met to discuss the oil market, Maduro said that a deal was forthcoming.
“We had a long bilateral meeting with Rouhani. We’re close to a deal between OPEC producer countries and non-OPEC,” Maduro told a news conference.
Also in the said summit was Iranian President Hassan Rouhani. According to the Iranian Oil Ministry news agency, SHANA, he said that Tehran supported any move to stabilize the global oil market and lift prices.
Algeria’s state news agency, APS, reported that OPEC Secretary-General Mohammed Barkindo said in his visit to Algeria that OPEC members may call an extraordinary meeting to discuss oil prices if they reached a consensus at an informal gathering in the country between September 26 and 28, on the sidelines of the International Energy Forum. Saudi Arabia and other big Middle East crude exporters would lead OPEC members in this informal meeting, where they would meet non-OPEC producers led by Russia.
“We think there is a great window of opportunity for a freeze here,” Natixis analyst Deshpande Abhishek said. “It will not just help balance the markets, but it is also a win-win for OPEC and Russia, as Iran is unlikely to add extra production anyway for the next 6-12 months.”
Crude exports from Iran, OPEC’s third biggest producer, jumped 15% in August from a month ago to more than 2 million barrels per day, according to Investing.com, closing in on shipment levels seen five years ago before Western sanctions.
On the ICE Futures Exchange in London, Brent crude for November delivery climbed to $46.32 per barrel, up 55 cents from their previous settlement and off an earlier peak of 46.62. On the New York Mercantile Exchange, crude oil for November delivery was up 58 cents, or 1.33%, at $44.20 per barrel.
These gains are further supported by the reports of fighting around Libyan oil ports. Eastern Libyan forces said they had successfully re-established control over two ports where an ousted faction launched a counterattack on Sunday, briefly seizing one terminal.
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