Russia is one of the top oil producers in the world.
Brent oil futures rose 1.58% to $36.09 by 12:21 PM ET (5:21 AM GMT). There was no settlement of WTI futures due to a holiday in the US.
Russian Minister of Energy Alexander Novak said overnight that rising fuel demand, as countries loosen lockdowns, could cut the current global oversupply, estimated at 7 to 12 million bpd, within the next two months.
Russia also reported that it was close to meeting its production cut target of 8.5 million bpd for May and June. As a member of <a href=’https://staging.theenergyyear.com/companies-institutions/opec/’>OPEC, it had pledged to cut production alongside other members of OPEC+ in April.
The next OPEC+ meeting is scheduled for June.
Investors were buoyed, with production cuts finally making a dent in the black liquid’s oversupply.
“There’s definitely a feeling those cuts have come through as well as you could expect…with economies restarting, the focus is on the improvement in the fundamentals, rather than what seemed like a complete collapse in demand only a few weeks ago,” Daniel Hynes, senior commodity strategist at Australia and New Zealand Banking Group, told CNBC.
By Investing.com: https://www.investing.com/news/oil-up-on-back-of-russian-production-cuts-2182222
Arrow Exploration has spud a new production well on the Tapir block in Colombia’s Llanos Basin, the company announced on… Read More
Petronas has made a third oil and gas discovery in Suriname's offshore Block 52, the Malaysian company announced on Wednesday Read More
Japanese power generation player JERA on Thursday announced plans to invest USD 32 billion in LNG, renewables and new fuels… Read More
Chevron is planning to exit its North Sea operations after 55 years of activity in the oil hotspot, Reuters reported… Read More
Seatrium has been awarded a contract by SBM Offshore for the topsides fabrication and integration of an additional FPSO vessel… Read More
Diamond Offshore has secured a USD 350-million extension for an ultra-deepwater drillship deployed for Anadarko Petroleum in the US Gulf… Read More
This website uses cookies.