Oil prices fall on concerns around transaction OPEC+

© AP Photo / Hasan JamaliНефтяная tower. Archival photoOil prices fall on concerns around transaction OPEC+© AP Photo / Hasan Jamali

NYMEX crude fell Monday night over concerns about investors ‘ perspectives of the agreement on production cuts OPEC+, according to the auction.

As at 22.49 MSK price of January futures for North sea petroleum mix of mark Brent has decreased on 0,86% to 62.18 USD per barrel. The cost of January futures for WTI decreased by 0.55%, to 56.4 per barrel.

«It is widely believed that OPEC 10 countries outside of OPEC will change its production plan for the entire 2018, although Russia your map not open», — quotes Agency Reuters senior market analyst for a brokerage firm in London PVM Oil Associates Varga Tamas (Tamas Varga).

On Monday it became known that the head of the Ministry of energy Alexander Novak plans on Tuesday to continue discussions with heads of Russian oil companies in future transactions OPEC+. The previous meeting of the Minister with oil industry workers took place last Wednesday, November 15, Minister it said: «We discussed and agreed to continue the discussion further to look at some matters concerning the forecast of the market.»

OPEC and several non-organisation countries (OPEC+) to stabilize the oil market agreed in late 2016 in Vienna on the reduction of its oil production to total 1.8 million barrels per day from October levels, of which 300 thousand are in Russia. The agreement was concluded for the first half of 2017, and in may extended for another nine months — until the end of March 2018.

Thus, traders will monitor the meeting of Ministers of petroleum and energy States of all 24 agreement to reduce production of «black gold», which will be held in Vienna on 30 November. In anticipation of this meeting, November 29, there will be a meeting of the Ministerial Committee for monitoring the execution of the transaction OPEC+ and the adjustment of its terms. The Committee is comprised of representatives from only six countries of the agreement — Saudi Arabia, Venezuela, Kuwait, Algeria, Oman and Russia.