Iraq’s Oil Minister Jabbar Al-Luaibi said almost all countries participating in the cut had agreed to extend it, though there was no consensus yet on how long the extension should be. “Some ministers say nine months, some ministers think six months,” al-Luaibi said Sunday in an interview in Jordan. Iraq is OPEC’s second-largest producer; Saudi Arabia, the biggest.
Oil extended gains toward $51 a barrel as Saudi Arabia said all producers participating in output cuts agree on prolonging the deal through the first quarter of 2018. Futures climbed as much as 1.1 percent in New York after advancing 5.2 percent last week, the biggest weekly increase since March. An extension into next year will help producers reach their goal of trimming global stockpiles to a five-year average, Saudi Arabia’s Energy Minister Khalid Al-Falih said Sunday.
LONDON (Bloomberg) -- Oil rose after industry data showed U.S. crude stockpiles declined for a fifth week, trimming an inventory overhang. Futures gained as much as 1.3 % in New York after falling 1.2% on Tuesday. Inventories dropped by 5.79 MMbbl last week, the API was said to report. Government data Wednesday will show a 2 MMbbl decline, according to a Bloomberg survey. The EIA boosted its estimate for average U.S. output this year to 9.31 MMbpd, up from 9.22 MMbpd projected in April.