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Oil prices turn higher after reports of Saudi crude cuts to Asia
08 August 2017 , 16:10Neftegaz.RU560
Oil prices were up slightly on the back of reports on August 8, 2017, that Saudi Arabia is planning to cut exports to Asia next month.
Saudi Aramco will cut supplies to most buyers in Asia by up to 10 % in September, multiple sources with knowledge of the matter have said.
Saudi Arabia 1st announced late last month plans to limit oil exports to 6.6 million barrels a day in August.
That declaration came as the OPEC has struggled to reduce the oversupply of oil in the global market that has weighed on prices for 3 years.
OPEC is in the 2nd day of a 2-day meeting in Abu Dhabi to discuss compliance.
«The reality is OPEC has no way of enforcing the production caps,» said Gao Jian, an analyst at SCI International . «That has been the problem of the cartel for many years now.»
Also expected to be high on the agenda is the possible inclusion of Libya in the output-cap effort.
The North African supplier was given a pass when the deal was 1st forged last fall because production had been curtailed by militant attacks on oil facilities.
But with daily output back to 1 million barrels, other OPEC members are lobbying for Libya to also bridle its production.
Nigeria, another OPEC member originally exempt from the pact, recently agree to begin reining in output.
To read the news in Russian.
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