Iran voices support for efforts to stabilize oil – CNBC

11 months ago Comments Off on Iran voices support for efforts to stabilize oil – CNBC

Russia pumped a post-Soviet record high of 10.88 million barrels a day in January, while Saudi Arabia’s output was near its record high around 10.2 million barrels a day, said Sebastien Marlier, senior commodities editor at The Economist Intelligence Unit.

Questions were also raised over whether Russia and indeed Saudi-dominated OPEC itself would be disciplined enough to respect the agreement.

“The success of the deal will depend on Russia playing its full part,” said Julian Jessop, Capital Economics’ head of commodities research.

“The track record here is not good — Moscow reportedly reneged on a similar deal in 2001, although the stakes are arguably higher now,”

Russia also failed to respect a similar agreement with OPEC producers in the 1990s, said Marlier.

Meanwhile, OPEC was believed to already be pumping above its previous 30 million barrel-a-day ceiling as producing countries sought to pump up volume to offset losses from sliding prices. The oil cartel was pumping 33.1 million barrels a day recently, according to London-based Capital Economics.

Iran voices support for efforts to stabilize oil – CNBC}