Optimism about possible agreement on oil production freeze shrinking - Russian energy minister

MOSCOW, April 18. /TASS/. Russian Energy Minister Alexander Novak said following talks in Doha that cooperation on oil production freeze might be resumed but possibilities for that are shrinking due to differences between the sides. "Possibilities do exist. But as for reaching agreements, well, judging by today’s heated debates, taking into account Iran’s position, we will not be that optimistic about such agreements," he said. Novak added that the absence of an agreement will not have consequences for Russia. "I believe that for Russia this will have no consequences as our companies keep working with a high competitiveness on the market. We believe that the market situation should balance demand and offer," he said. The minister noted that Russia takes positions of the OPEC countries on possible oil production freeze agreement with understanding. At the same time, he noted that a number of OPEC member states changed their positions on the issue of oil production freeze, and the sides were unable to reach an agreement at the meeting in Doha. Novak said that Iran’s position was not the key cause of the failure at the Doha talks to reach an oil production freeze deal. "How can a country that did not take part in the meeting be a reason for a failure to reach agreements? It didn’t even take part in today’s discussion," he said. Novak said the demand that third countries that were not present at the Doha meeting take part in the freeze agreement was incorrect. He said the absence of agreements on freeze will not affect the change of oil production volumes in Russia as the state does not regulate such issues in companies’ activity. Novak said Russia will watch the positions of OPEC member countries which are first to reach agreement on oil production freeze inside the organization. "Prospects and expectation were that we will be able to reach agreement… On the other hand, consultations will be continued. We shall see which decision is taken by OPEC member countries, whether they are able to reach agreement between themselves that they all must take part in the freeze of oil production," he said. Novak said that in the absence of agreements, the oil market will balance by mid-2017, while with the freeze it would happen three months before. Read more