Russia Ready to Discuss Oil Cooperation With OPEC, Interfax Says

When Will Russia and OPEC Cut Oil Production?

Russia is ready to discuss coordination on oil output with crude exporting nations amid low global prices, Interfax reported, citing Energy Minister Alexander Novak.

OPEC is trying to call a meeting with both its own members and other oil producing countries in February, the news service reported Novak as saying. Russia has confirmed it’s ready to participate, according to Interfax. The ministry’s press service confirmed his comments.

Novak met with the heads of Russian crude producers Wednesday about pricing and output levels and the possibility of cooperating with the Organization of Petroleum Exporting Countries.

Producers see a recovery in oil prices taking a longer time, so it makes sense to discuss the situation, Novak said, according to Interfax. The ministry hasn’t made any calculations on possible cuts to Russian output, the news service reported.

There have been such consultations in the past, but the pricing situation has changed, Interfax said, citing Novak.

Russia in the past year has repeatedly stated its goal of keeping crude production stable even as prices tumble. Still, the slump in prices to a 12-year low has put the country under increasing financial pressure. The Finance Ministry says the nation’s budget deficit, already at a five-year high in 2015, may widen this year as the rout deepens.

Brent crude rose as much as 2.7 percent and was trading up about 0.9 percent at $33.38 a barrel at 12:15 p.m. in London.

Before it's here, it's on the Bloomberg Terminal. LEARN MORE