Kuwait backs Saudi-Russian decision to extend oil output cuts until March 2018

Kuwait (IINA) � Kuwait's Oil Minister Essam Al-Marzouq on Tuesday affirmed full support for the decision taken by Saudi Arabia and Russia to extend oil output cuts for a further nine months until March 2018.

This followed the release of a joint Saudi-Russian statement on Monday, announcing the two countries' support of an additional nine-month extension of the historic Vienna agreement ending on 31 March 2018, KUNA reported quoting Al-Marzouq as saying in a statement issued by Kuwait Petroleum Corporation (KPC).

The Kuwaiti minister pointed out that this agreement aims to rebalance the global supply and demand by restoring the level of world oil reserve to the rate of the past five years. He said that the Saudi-Russian statement indicated the high commitment of most of the countries involved in the agreement.

Al-Marzouq cited positive signs began to emerge through the April and May data, showing that there is a significant decline in the world oil reserve.

On the impact of this news, the minister said that oil prices rose significantly during the first hours after the beginning of trading on London Stock Exchange on Monday, where Brent crude oil broke the barrier of $52 a barrel for the first time since mid last month.

Source: International Islamic News Agency