27 October 2017, Sweetcrude, Lagos — The Organisation for Petroleum Exporting Countries, OPEC and non-OPEC, Russia especially, could be on the way to achieving their target, as oil almost hit $60 per barrel on Friday.
Oil hit almost $60 on Friday following comments from Saudi Arabia that it supports an extension of the cut deal to the end of 2018, according to Jeffrey Halley, senior analyst at futures brokerage OANDA.
Brent was unchanged at $59.30 by 0840 GMT, after Thursday’s rise to $59.55, its highest since July 2015.
U.S. light crude oil was down 4 cents at $52.60 but still 25 percent above its June 2017 low. U.S. crude prices have been capped by rising U.S. production.
OPEC’s daily basket price pegged at $56.45 a barrel on Thursday, compared with $56.33 on Wednesday.
Saudi Arabia’s Crown Prince Mohammad bin Salman told Reuters on Thursday the kingdom would support extending the output cut in a bid to stabilise oil demand and supply.
OPEC and some non-OPEC producers including Russia, pledged to reduce their production by around 1.8 million barrels per day, bpd until the end of March to drain a global supply glut.
OPEC is expected to discuss extending that agreement at a meeting in Vienna on Nov. 30.