Earlier in the day, the OPEC+ oil producers agreed to a new deal stipulating a collective reduction in output in a bid to stabilize the market.
"Secretary General #HEMohammadBarkindo highlighted the importance of the historic agreement reached at the 10th (Extraordinary) OPEC and non-OPEC Ministerial videoconference for the benefits of producers, consumers and the global economy," the OPEC Secretariat said on Twitter.
Secretary General #HEMohammadBarkindo highlighted the importance of the historic agreement reached at the 10th (Extraordinary) OPEC and non-OPEC Ministerial videoconference for the benefits of producers, consumers and the global economy. pic.twitter.com/wKH1JPWQg5
— OPEC (@OPECSecretariat) April 12, 2020
The statement quoted Barkindo as describing the video conference itself as "historic," given the extraordinary effects caused by the COVID-19 pandemic on the global economy and oil demand. They required "prompt and decisive response" by the OPEC+ members, he said.
"These production adjustments are historic; they are largest in volume and the longest in duration, as they are planned to last for two years. We are witnessing today the triumph of international cooperation and multilateralism which are the core of OPEC values," Barkindo said.
He added: “these production adjustments are historic; they are largest in volume and the longest in duration, as they are planned to last for two years. We are witnessing today the triumph of international cooperation and multilateralism which are the core of OPEC values.” pic.twitter.com/7yMTTWbgGX
— OPEC (@OPECSecretariat) April 12, 2020
The statement further quotes Barkindo as saying that the OPEC+ deal has "turned a new historic page in the world of oil."
Together with all participating countries in the OPEC and non-OPEC DoC as well as other producers, have turned a new historic page in the world of oil” the SG said.
— OPEC (@OPECSecretariat) April 12, 2020
He noted that this agreement has paved the way for a global alliance with the participation of the G20.
Earlier, Russian President Vladimir Putin held separate telephone talks with US President Donald Trump and the king of Saudi Arabia, Salman bin Abdulaziz Al Saud. The leaders discussed the newly accepted OPEC+ deal and exchanged their views on the oil market situation. After the talks, Trump congratulated both leaders on "great deal for all".
The OPEC+ finalized deal accepted on the group online meeting earlier in the day envisages cutting the oil output by 10 million barrels per day and will become effective 1 May.
