Six Gulf energy ministers say there are 'very encouraging' signs of improvement in global economy.
The current developments and future prospects of the global oil markets were deliberated on Friday by the energy ministers of the UAE, Saudi Arabia, Kuwait, Bahrain, Oman and Iraq.
This came in a conference call involving the Saudi Minister of Energy, Prince Abdul Aziz bin Salman bin Abdul Aziz Al Saud; Suhail bin Mohammed Al Mazrouei, Cabinet Member and Minister of Energy and Infrastructure; Kuwaiti Oil Minister, Dr Khaled Ali Al Fadhel; Bahraini Oil Minister, Sheikh Mohammed bin Khalifa bin Ahmed Al Khalifa; Omani Oil and Gas Minister, Mohammed bin Hamad Al Rumhi; and Iraqi Minister of Oil, Ihsan Abdul Jabbar Ismail. The officials reviewed the continued recovery in global demand and progress made towards implementing the Opec+ agreement.
The Organization of the Petroleum Exporting Countries and allies led by Russia, a group known as Opec+, have agreed a supply reduction pact for those countries who overproduced before to compensate by cutting deeper in the coming months.
At the end of the phone call, the six ministers issued a joint statement where they said the positive signs of improvement shown recently in the global economy are "very encouraging".
Hailing the efforts made by all countries of the world to re-open their economies in a safe manner, the six ministers reaffirmed their full commitment to the Opec+ deal on curbing oil production in order to further speed up the oil market's rebalancing.
They've agreed that the members who made limited progress on compliance during the months of May, June, and July would further deepen their cuts to make up for it.
The six ministers reiterated their thanks to the Iraqi Minister of Oil for his country's cooperation and efforts in rebalancing the oil market, reaffirming the significant role played by Iraq in ensuring the success of the Opec+ deal.
"Full compliance to the Opec + deal, including making up for the limited progress on adherence, would speed up the recovery of the global oil market to the best interest of oil consumers and producers alike, the energy industry and the world economy," concluded the statement.