ST PETERSBURG (Reuters) - Countries signed up to a global pact on oil production cuts will reach a consolidated decision on what will happen when the existing pact expires at the end of June, Russian Deputy Energy Minister Pavel Sorokin said.
Sorokin, in an interview with Reuters, said that in any event, cooperation will continue between members of the existing pact — which includes OPEC and some major non-OPEC producers, led by Russia.
He said a decision on the future of the deal would be made based on whether the global oil market is balanced. He said the situation on the market should be clearer by the time of a G20 meeting scheduled to take place in Osaka at the end of June.
Speaking on the sidelines of last week’s St Petersburg International Economic Forum, Sorokin said one of the market factors to be taken into account will be the state of trade relations between China and the United States.
“We will take a decision based on what the market needs,” he said, in comments that were cleared for release on Monday. “We will take a consolidated decision; in any case cooperation will continue.”
Additional reporting by Katya Golubkova and Vladimir Soldatkin; Writing by Christian Lowe; Editing by Andrew Osborn