US President Donald Trump said that he intends to continue negotiations on the volume of oil production in the world in the coming hours.
“[Now] we will answer a few questions, after which I will return to the negotiations about oil and the situation with airlines,” Trump said on Thursday at the beginning of a White House briefing.
Also, the US leader noted that OPEC+ may announce agreements on oil production volumes soon. “They will probably announce something today or tomorrow. It may be good, or it may not be so good, one way or another,” Trump said. He also expressed the opinion that Russia and Saudi Arabia “get along well” in the current OPEC+ talks. “I think they get along very well,” the Washington chief of staff said.
Earlier in the same briefing, Trump said he had a “very good conversation” with Russian President Vladimir Putin and Saudi King Salman bin Abdulaziz al Saud.
As follows from the draft OPEC + agreement OPEC+ countries will limit production by 10 million barrels per day – from 43.8 million to 33.8 million barrels per day. The plan assumes that Russia and Saudi Arabia will reduce oil production by equal quotas – by 2.5 million barrels per day from the level of 11 million barrels per day. Thus, in May-June, their production should reach 8.5 million barrels per day.
On Thursday, the OPEC+ countries discussed the situation on the market and the reduction of oil production during a video conference. The previous OPEC + agreement ended at the end of March. It was not possible to extend it due to disagreements between Russia and Saudi Arabia, which could not agree on the terms of continued cooperation. After that, OPEC countries began to increase oil production, while global demand for oil fell sharply due to the coronavirus epidemic. As a result, oil fell to $22 per barrel for the first time in 20 years.