OPEC+ will continue monitoring oil markets in H2 2019: Al-Falih

OPEC+ is ready to continue monitoring the situation on the oil market in the second half of 2019 as well, Russian TASS news agency reported, citing Saudi Arabia’s energy minister Khalid Al-Falih on Sunday.

Speaking during a press conference, Al-Falih said since the reserves are strengthening, particularly given that the US reserves remain at a high level, the joint efforts of OPEC+ will be continued until June.

Also read: Saudi Arabia is world’s energy ‘shock absorber’: Al-Falih

He said OPEC+ participating countries may reach the 100 percent compliance rate of the crude production cut agreement already in March 2019.

According to the minister, the current compliance rate is around 90 percent. Those countries that have not reached the 100 percent compliance rate have assured him that their results would improve in the near future, he added.

On Sunday a meeting of the OPEC+ technical committee was held in Baku before the ministerial monitoring committee due on March 18.

In December 2018, OPEC+ countries decided to cut production by 1.2 million barrels per day (mbd) from the level of October 2018. It is planned that OPEC nations will reduce output by 800,000 barrels per day, while the remaining countries by 400,000 barrels.

In particular, Russia will cut production by 228,000 barrels per day. The deal covers the first half of 2019 and may be revised in April.