Oil prices have declined to 70% since mid-2014 due to excess of supply and low demand. Earlier this month Saudi Arabia and Russia agreed to freeze oil output at January levels. But there’s doubt over what they can achieve.
A meeting between big oil producers in March 2016 is confirmed. Venezuelan officials confirmed that Russia, Saudi Arabia and Qatar have agreed to meet next month.Saudi Arabia has been maintaining its level of oil production, despite falling prices, in a move designed to force higher-cost producers out of the market.
But that’s been very costly for nations that rely on revenue from oil, so there’s pressure for Saudi Arabia and other big producers to co-ordinate a cut in production.
