GENOA (Pakistan Point News / Sputnik - 30th November, 2020) Minister of Oil of Iraq Ihsan Abdul Jabbar Ismail expects the global energy market to recover within three to six months after the pandemic, according to his speech to MED 2020 virtual conference on Monday.
"It was a very challenging time in the last five-six months due to COVID-19 lockdown. But there are some hopes that the energy market will recover within the next three to six months," the minister said.
The minister also expressed Iraq's commitment to the OPEC requirements
In April, oil prices dropped to $20.18 per barrel amid the decrease in demand caused by the pandemic. The negative trend forced Russia and Saudi Arabia to initiate an agreement among the OPEC+ countries aimed at cutting oil production and stabilizing the market. The OPEC+ deal came into force in May, resulting in reduction in oil production by 9.7 million barrels per day for three months. Starting from August, the alliance agreed to continue cutting output more gradually - by 7.7 million barrels per day - until the end of the year, and later - by 5.8 million until the end of April 2022.
However, it is still unclear whether the OPEC+ will proceed with easing of the cuts or will retain the current quotas in light of the second wave of the pandemic. The final decision is expected to be made at the annual OPEC+ ministerial meeting, slated for December 1.
