Oil producers’ Doha meeting to positively affect oil market – expert

The upcoming meeting of oil producers in Doha will be very important and it will pave way for positive changes, according to a Russian expert.

The meeting will bring positive changes in the volume of production and lead to growth in oil prices which will reach $50-$60 per barrel by summer of 2016, Alexander Razuvaev, director of Analytical Department of Russia's 'Alpari' company, told Trend Apr.13.

The expert believes that Saudi Arabia will make a decision regardless of Iran's position.

"Russia and Saudi Arabia have agreed on the oil output issue. As for Iran, it partly spends the funds it receives from oil sales on purchasing weapons from Russia," he said. "Currently, Russia is rearming the Iranian army with quite new weapons. So Russia gets part of the money received from the export of Iranian oil."

Oil producing countries plan to hold a meeting in Doha on Apr.17 to discuss freezing the oil output at February level in order to stabilize the prices.

During the meeting in Doha on Feb.16, Russia, Saudi Arabia, Qatar and Venezuela agreed to freeze the oil output at January levels if the other producers follow the suit. Ecuador, Algeria, Nigeria, Oman, Kuwait and UAE expressed readiness to join this initiative.

Earlier, Saudi Arabia, the largest oil exporter in OPEC, said it will freeze the oil output without Iran's participation. Iran for its part, has said it won't join the output freeze initiative.

Source: Trend

You may also like...