"It is agreed that there will be too much oil in the market in 2019," Mohammed bin Hamad al-Roumi, Oman's oil minister, told the Wall Street Journal after a cabinet meeting on the OPEC committee to oversee the oil market. The meeting took place in Abu Dhabi on Sunday.
Omer is not a member of the Organization of the Petroleum Exporting Countries (OPEC) but participates in the organization's decisions to regulate production.
The planned cuts make the 15 OPEC countries, mainly oil states in the Middle East, to prevent dramatic price declines.
It was Saudi Arabia and several other oil exporting countries, which met in Abu Dhabi this weekend. One of them discussed cutting oil production by about one million barrels. The decision will be made at an OPEC ministerial meeting in Vienna on December 6. Saudi Arabia must be prepared to take half of this cut, 500,000 barrels.
A Russian supplier
Russian Oil Minister Alexander Novak told CNBC on Sunday that hasty decisions should not be taken.
"The market is volatile and hasty decisions on production reductions can make the biggest impacts," he said.
He does not rule out that Russia, which is not a member of OPEC, can participate in production productions in December.
Saudi Oil Minister Al-Falah said it was too early to say what the conclusion of the ministers' meeting in December would be, but OPEC would not refrain from making the necessary cut.
At the geopolitical level, no less, American sanctions against Iran are creating challenges in the oil market. In addition, a significant increase in oil production in the United States.
Dramatic decrease in North Sea oil
A barrel of oil in the North Sea traded at around $ 85 in the regular market in mid-October, and Friday the price was below $ 70, but ended at $ 70.94. This means a 20 percent drop in prices for less than a month.
It can be read about stock prices in oil-related companies. Equinor (formerly Statoil) fell by 7.4 percent during the period, Aker BP, which has Kjell Inga Røkke as the dominant owner, fell 21.9 percent. According to Finansavisen, this means that Aker BP on paper has become 30 billion kroner less than a month.
The paper called in its IPO last Saturday last month on the stock exchange for stock stalls related to oil.
According to Finansavisen, companies providing services to oil companies also noted the decline in oil prices. For example, the seismic company, Petroleum Geo Services, fell by 34.1 percent. A third of the value disappeared.