OPEC Prepares To Extend Oil Production Cuts

Wochit Headline News - May 19, 2017

As OPEC nears the end of their first production cut in eight years, six months have not been enough to cut storage glut caused by years of oversupply.

According to global inventory estimates of crude oil, storage tanks are filling back up after oil traders began to empty millions of barrels onto the market in January.

But by March, an International Energy Agency report shows that inventories across industrialized nations remained above a five-year average.

That inventory build-up has been caused by speculation, as traders began using storage to make quick money between cheat spot-prices for oil and more expensive contracts for future deliveries..


Recent related news

Some non-OPEC members allied with OPEC in the oil production cuts could become official members of the cartel in the future, the UAE’s Energy Minister Suhail...
1 week ago • OilPrice.com
SINGAPORE (Reuters) - Oil markets on Thursday were weighed down by rising U.S. crude production and inventories, but prices were prevented from falling by...
6 days ago • Reuters India
SINGAPORE (Reuters) - Oil markets edged up on Thursday as expectations that OPEC will extend production cuts at a meeting at the end of this month outweighed...
6 days ago • Reuters
Ecuador has temporarily shelved its idea to ask from OPEC later this month to be exempt from its share of the production cuts, because the cartel’s supply...
5 days ago • OilPrice.com
Short bets on Brent crude jumped by the most since June last week, signaling the return of uncertainty that OPEC will agree to extend the oil production cut deal...
1 day ago • OilPrice.com
The majority of OPEC members are in favor of the cartel extending the oil production cuts, but a final decision will be made at the highly-anticipated meeting on...
1 day ago • OilPrice.com

You might like