Oil prices rise as faith in supply cuts grows

  • Date: 27-May-2020
  • Source: Arab News
  • Sector:Oil & Gas
  • Country:GCC
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Oil prices rise as faith in supply cuts grows

NEW YORK: Oil prices rose on Tuesday, supported by growing confidence that producers are following through on commitments to cut supplies and as fuel demand picks up with coronavirus restrictions easing.. Russian Energy Minister Alexander Novak is due to meet oil major producers on Tuesday to discuss the possible extension of the current level of cuts beyond June, sources familiar with the plans told Reuters.. The RIA news agency said Russian oil production volumes were near the country's target of 8.5 million bpd for May and June.. OPEC+ countries are due to meet again in early June to discuss maintaining their supply cuts to shore up prices, which are still down about 45% since the start of the year.. "OPEC+ is pulling the most weight by far, effectively reducing supply by nearly 9 million bpd while non-OPEC+ crude supply is down by more than 3.5 million bpd from March levels.". The company is the largest airline in Latin America.