Oil prices rose Friday after a tough break Iran has agreed that OPEC will cut oil production by a total of 800,000 barrels, while non-OPEC countries led by Russia add another 400,000 barrels of pounds for a total of 1, 2 million bpd OPEC + reduction of production.
At 09:31 AM EDT on Friday, WTI Crude climbed 3.73% to $ 53.41, while Brent Crude rose 4.15% to $ 62.55.
Iran was the last interruption of OPEC negotiations that dragged on Thursday after the members failed to agree on the size of the cutback and who would be released.
After the talks resumed on Friday, Iran continued to refuse to accept the wording that it would "abridge" and insist on "release", leaving it the only sticking point in the OPEC negotiations, while the mediator of the deal, Russian Energy Minister Alexander Novak , Moscow for the meeting that is not part of OPEC, and sat for separate talks with each of the oil ministers of Iran and Saudi Arabia, Bijan Zangneh and Khalid al-Fali.
As the talks began on Friday, it turned out that Russia may be ready to cut oil production by 200,000 barrels as part of a deal with OPEC to cut oil supplies – a higher commitment of 150,000 barrels earlier . Related: The United States becomes a net exporter of oil for the first time in 75 years
Shortly before the meeting between OPEC and non-OPEC partners, various OPEC ministers and delegates began talking to reporters, saying there was agreement in principle for a 800,000-barrel interruption in OPEC from the October levels, with Iran, Libya and Venezuela "special considerations". According to delegates, OPEC will not provide much, and the sources say the deal is for a total reduction of 3%.
Early reports also indicate that the agreement is six months, but will be reconsidered in April 2019.
OPEC and non-OPEC meet behind closed doors and the UAE energetic minister, Suhail Al Maruij, told an open meeting before the meeting that he hoped OPEC-OPEC cooperation would continue for "years."
By Tsvetana Parashkova for Oilprice.com
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