Organisation of Petroleum Exporting Countries, OPEC, are expected to reach a compromise regarding an agreement to cut production at its meeting holding in Vienna, Austria on November 30.
The members agreed in Algiers, Algeria on September 28 to limit supply with special conditions given to Libya, Nigeria and Iran, whose output has been hit by wars and sanctions. The agreement was tagged “Algiers Accord.”
According to Reuters’ sources, details are to be finalised when OPEC ministers meet. The sources said OPEC officials were working to nail down details of their plan to limit oil supply and gaps over some sticking points are narrowing, a sign of progress in finalising the exporter group’s first such deal since 2008.
With two weeks to the meeting, differences persist over details and the prospect of a supply glut persisting next year has weighed on oil prices, which are below $47 a barrel. Crude reached a 2016 high near $54 after the September deal.
According to a source, it is difficult at some points, but there is no deadlock in sight, adding that what happened in Algeria gave a lot of hope and impetus and people are committed to that.
