Translated
OPEC President Abdel Majid Attar expects prices to recover from 2021 amid global economic growth, according to expectations from international financial institutions
Opec’s current president and Algerian Energy Minister Abdelmajid Attar said Monday that opec’s goal is to keep oil prices above $40 a barrel by the end of 2020.
On the sidelines of an activity in Algiers, Attar said the OPEC+alliance decided to defend the oil market and take all necessary decisions to ensure price stability by the end of 2020, and to keep the level of a barrel above $40.
Earlier On Monday, crude oil prices turned lower in the early week, driven by the announcement of Chinese data, which showed domestic economic growth in the third quarter below observers’ expectations.
At 1010 GMT, Brent crude futures for December delivery were down 0.68 per cent, or 29 cents, to $42.64 a barrel, compared with Friday’s
close.
U.S. West Texas Intermediate (WTI) crude futures for December delivery fell 0.68 percent, or 29 cents, to $40.84 a
barrel.
“The 23rd meeting of the joint ministerial committee for follow-up opec+ will be devoted to following up on the commitments of production reduction commitments by the signatories of the April agreement,” Attar
said.
In April, OPEC+countries reached an agreement on unprecedented production cuts of 9.7 million barrels per day from early May to the end of July, which shrank to 7.7 million barrels per day from early August and continued through the end of 2020.
“Oil prices will recover from 2021, with global economic growth of 4.6 percent, according to the expectations of an international organization and financial institutions (not
named).
“There is hope that the epidemic will improve in 2021 and that there will be a vaccine against the coronavirus,” he
said. “Caution must be taken in analysing the evolution of the global economy.”
“Global oil demand fell by more than 9 million barrels per day in 2020 and a production surplus of 2 million barrels, due to slowing demand, particularly in the air and land transport sectors,” he
said.
On Thursday, the OPEC+follow-up committee will hold its 23rd meeting to discuss oil market developments and the production cut
agreement.