Azerbaijan likely to Support Deeper OPEC+ Oil Output Cuts

Azerbaijan likely to Support Deeper OPEC+ Oil Output Cuts

Azerbaijan is likely to support further oil output cuts by OPEC and its allies, the country’s energy minister said.

A move described as necessary to balance demand fears after a coronavirus outbreak in China.

Azerbaijan is not an OPEC member but is part of the OPEC+ group.

A technical panel that advises OPEC+ proposed this week a provisional cut of around 600,000 barrels per day (bpd).

“Azerbaijan is likely to support this,” Parviz Shahbazov told Reuters in an interview.

Azerbaijan is not a big contributor to the overall cuts by OPEC+, but its position may shed light on Russia’s thinking as non-OPEC members of the group usually take a unanimous decision.

Meanwhile, Moscow is yet to give its nod to the further cuts.

Producers in the OPEC+ group are to meet in Vienna on March 5-6, although the meeting could be brought forward depending on how the coronavirus outbreak affects oil prices going forward.