Trump has accused OPEC artificially inflating oil prices

TASS, April 20. The President of the United States Donald trump is unacceptable artificially inflated oil prices by OPEC. About it he wrote on Friday in his Twitter.

“With a record number of oil everywhere, including the total [oil] ships at sea, oil prices are artificially very high. [There is] no good, and it can’t be acceptable!” said trump.

On the background of statements of the President of the United States the price of Brent oil has stopped growing and has moved to decrease. 14:33 Moscow time, Brent prices fell 0.6%, to $73,3 barrel.

On Friday, the Ministerial monitoring Committee of OPEC+ directed the OPEC Secretariat to present new targets for the transaction to reduce oil production. In addition, the Committee received from Kazakhstan and Iraq assurances that they will lead the reduction of production in accordance with their quotas.

According to the IEA, Iraq in 2017, reduced production only 43% of the plan, its quota in the agreement is 210 thousand barrels per day. Kazakhstan, which recently introduced the largest field Kashagan at the end of the year, not only did not fulfill the quota, according to the Agency, but also increased the production.

OPEC countries agree to reduce production in early 2017 to 1.8 million barrels of oil a day to October 2016. For the past seven months the plan is overfulfilled including at the expense of falling production in Venezuela and several African countries.

Agreement to reduce oil production between 24 countries valid from January 2017 and already extended twice. Under the deal, its members should reduce production to total 1.8 million barrels per day (by October 2016, taken as baseline). The agreement is valid until the end of 2018.

The parties to the transaction seek to reduce the oil reserves in developed countries to an average for five years. At the beginning of 2017, the surplus reserves exceed 380 million barrels, according to the International energy Agency. In February of this year dropped to 30 million barrels and by may can reach a target level or even fall below it.