Oil Spikes On Confusion Whether Saudis Propose 5% Production Cut

Headline hockey continues in the energy complex as earlier confirmation of a pending OPEC meeting possible in February has seen more color added, via Reuters, that Saudi Arabia made a proposal that OPEC members cut production by a maximum of 5%. There remains confusion however as Bloomberg reports simply that Russian energy minister has said they “may discuss it,” as opposed to being a specific proposal.

Reuters seems confident that The House of Saud has backed down and prosposed the cut…

  • RUSSIAN ENERGY MINISTER STATES THAT SAUDI ARABIA MADE A PROPOSAL TO REDUCE OIL OUTPUT BY EACH COUNTRY BY A MAXIMUM OF 5%

But Bloomberg is less confident that this is an actual proposal…

  • RUSSIA’S NOVAK SAYS OPEC MEETING MAY DISCUSS 5% OUTPUT CUT: RIA
  • NOVAK: 5% CUT TALKS MAY INVOLVE ALL OIL PRODUCING NATIONS: RIA
  • NOVAK: OPEC, PRODUCER MEETING WOULD BE MINISTER LEVEL: RIA

And further, Interfax reports that this is nothing new…

  • NOVAK: SAUDI ARABIA 5% OIL CUT PROPOSAL WAS MADE EARLIER: IFX
Crude is surging on the confusion…


via Zero Hedge http://ift.tt/1SdBclp Tyler Durden

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