Novak: Without the “OPEC +” agreement, the oil market would collapse

The Russian Deputy Prime Minister, Alexander Novak, stated that the global oil market would have collapsed without the “OPEC +” group agreement, due to the excess production of black gold.
In an interview with a Russian TV channel, the senior official indicated today, Friday, that the global oil market would have collapsed without the agreement, to the point where there would be no room for oil storage.

He added that the “OPEC +” agreement, in which oil production was organized for a period of five years, paved the way for re-attracting investments to the oil industry, as well as restoring confidence in the oil sector.

Novak indicated that the “OPEC +” group will continue to increase supplies to the market to meet the growing demand for crude.

On his expectations for the next year, the Deputy Prime Minister said that Russia expects a recovery in the balance of supply and demand in the global oil market in 2022.

At a meeting held at the beginning of this month (December 2021), the “OPEC +” group agreed to move forward with the planned increase in oil production in January 2022, at a volume of 400,000 barrels per day.