Kuwait Oil Minister Essam al-Marzouq expected oil prices to rise again in the fourth quarter of next year as crude exporters extended the cut-off agreement.
“Prices will be subject to supply and demand and will maintain current levels” before the end of 2018, the minister told reporters on the sidelines of the ministerial meeting of the Organization of Arab Petroleum Exporting Countries (OAPEC) in Kuwait.
On November 30, oil producers within the Organization of Petroleum Exporting Countries (OPEC) agreed to extend the production cuts for another nine months from March until the end of next year.
The two countries reached an agreement in November 2016 and decided to cut production by 1.8 million barrels a day in an attempt to raise prices after the collapse in 2014. In May, the decision to cut production was extended until March 2018.
The cut contributed to a rise in the price of a barrel of oil to more than $ 60 and reduced stock levels.
Marzouq said the signatories to the agreement would hold an important meeting in June to “study the markets and the possibility of a study to get out of the extension agreement,” and the committee to monitor the implementation of the agreement will meet every two months.