Falih optimistic about commitment to oil supply cut

Saudi Arabia’s energy minister said on Sunday he was optimistic about continued commitment to the supply cut agreement between OPEC and non-OPEC members.

Saudi Arabia along with other oil producers such as Azerbaijan will continue to work together to manage oil market stability, Khalid Al-Falih said on the sidelines of the joint ministerial monitoring committee meeting in Baku.

“We will not allow energy security to be challenged by any event, but at the same time we will not leave investors, and oil and gas companies to stay bewildered not knowing what tomorrow is going to bring in terms of stable environment where investments can flow to the sector,” he told reporters. “I am obviously optimistic that implementation of our OPEC+ agreement will improve, it’s already strong by historical standards,” Falih said.

Overall conformity with the cuts in the first two months of this year are less than levels seen in 2017 and 2018 but the oil producers “will catch up very soon,” he told reporters.