Kirill Dmitriev, chief executive of Russian Direct Investment Fund, attends a session of the St. Petersburg International Economic Forum (SPIEF), Russia. Photo by: REUTERS/Maxim Shemetov/File Photo
Kirill Dmitriev, chief executive of Russian Direct Investment Fund, attends a session of the St. Petersburg International Economic Forum (SPIEF), Russia. Photo by: REUTERS/Maxim Shemetov/File Photo

Moscow, Riyadh "very close" to deal on oil output cuts

By Xinhua Time of article published Apr 7, 2020

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MOSCOW - Russia and Saudi Arabia are "very close" to a deal on oil production cuts, Kirill Dmitriev, CEO of the Russian Direct Investment Fund, a sovereign wealth fund managing 10 billion U.S. dollars, said.

"I think the whole market understands that this deal is important and it will bring lots of stability, so much important stability to the market, and we are very close," Dmitriev said in an online interview with CNBC.

OPEC+, a group of 24 oil-producing nations made up of the 14 members of the Organisation of Petroleum Exporting Countries (OPEC) and 10 other non-OPEC members, including Russia, are expected to hold a video conference on Thursday to discuss oil output cuts.

Dmitriev told CNBC he recalled Russian President Vladimir Putin's suggestion for a combined production cut of around 10 million barrels per day in an online meeting with the country's oil producers on Friday.

Russian President Vladimir Putin, left, shakes hands with Kirill Dmitriev, head of the Russian Direct Investment Fund during their meeting at the Novo-Ogaryovo residence outside Moscow, Russia. Photo by: Alexei Nikolsky, Sputnik, Kremlin Pool Photo via AP

During a phone conversation last Monday, Putin and U.S. President Donald Trump exchanged views on the world oil market and agreed on consultations between their energy ministers.

Following the call, Russian Energy Minister Alexander Novak and U.S. Energy Secretary Dan Brouillette discussed ways to reverse the global market slump in a phone conversation held last Wednesday.

Oil prices plunged to multi-year lows after OPEC+ failed to agree on new output cuts in Vienna last month, partly leading to a collapse in the global financial market.

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