OPEC backs biggest oil cut since 2008 crisis, awaits Russia

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OPEC agreed to cut oil output by an extra 1.5 million barrels per day in the second quarter of 2020 to support prices that have been hit by the coronavirus outbreak

But OPEC Secretary General Mohammad Barkindo sought to play down concerns that cooperation with Russia would falter.

It said ministers had agreed non-OPEC states were expected to contribute 500,000 bpd to the overall extra cut. The group said the existing supply curbs should last to the end of 2020.Suhail al-Mazroui, energy minister of the United Arab Emirates, said OPEC would not carry the burden of cuts alone and non-OPEC states had to join in. “We are all in this together. So it’s not going to be us making a decision alone,” he said.

That would take prices to a level that would be painful for OPEC states, already struggling with prices at around $50, and also Russia, which has said it can balance its books at $40.

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