OPEC+ Nations Including Mexico Have Reached An Agreement On Oil Production Cuts

The big Oil Deal with OPEC Plus is done. This will save hundreds of thousands of energy jobs in the United States. I would like to thank and congratulate President Putin of Russia and King Salman of Saudi Arabia. I just spoke to them from the Oval Office. Great deal for all!

— Donald J. Trump (@realDonaldTrump) April 12, 2020

CNBC: OPEC and allies finalize record oil production cut after days of discussion

* OPEC and its oil producing allies on Sunday finalized a historic agreement to cut production by 9.7 million barrels per day, which is the single largest output cut in history.
* The group, known as OPEC+, initially proposed cutting production by 10 million barrels per day on Thursday, but Mexico opposed the amount it was being asked to cut, holding up the final deal.
* Under OPEC+’s new agreement, Mexico will cut 100,000 barrels per day, instead of the 400,000 barrels per day it had initially been asked to cut.
* On Friday President Donald Trump said the U.S. would cut production in an effort to get Mexico “over the barrel.”

OPEC and its oil producing allies on Sunday finalized a historic agreement to cut production by 9.7 million barrels per day, following multiple days of discussions and back-and-forth between the world’s largest energy producers. The cut is the single largest output cut in history.

Sunday’s emergency meeting — the second in four days — came as oil-producing nations scrambled to reach an agreement in an effort to prop up falling prices as the coronavirus outbreak continues to hammer demand. The agreement also ends a price war that broke out between Saudi Arabia and Russia at the beginning of March, which further pressured oil prices as each sought to gain market share.

Read more ....

WNU Editor: This agreement is going to have zero impact in the end. Cutting production by 9.7 million barrels per day in a world where up to 36 millions of barrel of oil is being produced when there is no market for it will only postpone the inevitable. A massive crash in oil prices when every storage facility has finally been filled up with oil, which is now projected to happen at the end of May .... U.S. Oil Storage To Hit Its Limit By Mid-May (OilPrice.com).

More News On OPEC+ Nations Including Mexico Reaching An Agreement On Oil Production Cuts

OPEC, oil nations agree to nearly 10M barrel cut amid virus -- AP
OPEC, Russia approve biggest ever oil cut amid coronavirus pandemic -- Reuters
Record deal to cut oil output ends price war -- BBC
OPEC, allies agree to cut oil output by record amount -- The Hill
Mexico to cut oil output by 100,000 bpd from May-officials -- Reuters
OPEC Reaches "Historic" Deal To Cut Oil Production As Mexico Wins "Mexican Standoff" With Saudis... But It's Not Enough -- Zero Hedge