Russia said there was a "very solid foundation" for extending cooperation between Opec and non-Opec countries at a meeting Friday of oil producers in Saudi Arabia. Oil kingpin Saudi Arabia said a "consensus" was emerging for a long-term cooperation agreement.
"We have created a very solid foundation for cooperation between Opec and non-Opec countries in the future even beyond the declaration of cooperation," Russian Energy Minister Alexander Novak said in the Saudi Red Sea city of Jeddah. He was referring to a cooperation agreement between the 14-member Opec cartel and 10 non-Opec producers, led by Russia, to cut oil production by 1.8 million barrels per day to reduce oversupply.
The deal - which is due to run out at the end of 2018 - has succeeded in reducing a global glut of oil and pushed prices to over $70 a barrel from less than $30 in January 2016. "Both consumers and producers of oil are expecting us to retain this solidarity to ensure stability and growth of the market," Novak said at the start of a ministerial committee meeting to assess the compliance with the cuts.
Russia is the world's leading producer of crude oil, pumping around 11 million bpd and its approval of the alliance is crucial to its success.