Oil prices rise as production cuts begin worldwide

Key pricing contracts in the North Sea and Russia have rallied in recent days, though there are still concerns that the world is on the brink of filling its storage capacity. Major producers were due to start output cuts on May 1, but some, including Saudi Arabia, are now curbing output early.

Futures rose by almost $2 in New York to around $14 a barrel. Russian oil companies will cut output by about 19% from February levels, the nation’s Energy Minister, Alexander Novak told the Interfax news agency. Even at $10 a barrel, some countries are having difficulty selling their oil, highlighting the collapse in demand globally.

 

Source: https://www.worldoil.com//news/2020/4/29/oil-prices-rise-as-production-cuts-begin-worldwide

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