OPEC's Decision Will Impact the Oil Market Positive

"Opec's decision will have a positive impact on the oil market," said Tonhaugen, the Norwegian-based independent research organization Rystad Energy Petroleum Market Research Manager. The meeting, attended by OPEC and OPEC + members led by Russia, was held on 6-7 June. In the meeting held by the teleconference method, the issue of extending an agreement on oil production cuts was discussed. Norwegian-based independent research organization Rystad Energy Oil Market Research Manager Bjornar Tonhaugen interviewed with AA correspondent said that crude oil type of Brent oil fell below $ 16 in April, but prices have increased due to the decision of the Organization of Petroleum Exporting Countries (OPEC). Tonhaugen, who noted that the recovery in oil prices is faster than expected, said in his statement: "Unless a second coronavirus wave shakes the world, OPEC's decision to cut production will be the backbone of the improvement in the oil market." Tonhaugen stated that the oil production in the world will continue to decrease with the OPEC + group, which consists of OPEC and some non-OPEC countries, including 23 producer countries, will decrease the crude oil stocks and the price increase will continue. On the other hand, Tonhaugen emphasized that OPEC member Iraq and Nigeria produced production over the cut amounts in May, and said that it would be difficult for these countries to decrease their production in July, August and September and this situation may cause tension in OPEC.

“Supply fell by 6 million barrels a day in the second quarter”

Ann-Lousie Hittle, Vice President of Petroleum Research at Wood Mackenzie, research and consultancy firm in Scotland, reported that global oil supply fell 6 million barrels a day in the second quarter of the year compared to the first quarter. Hittle stated that the global oil demand, which fell in April due to the coronavirus epidemic, started to rise in May and June. Hittle, who pointed out that the demand for global oil could surpass production in the July-September period with the softening of the measures taken against the coronavirus epidemic, said: "There may be a rapid increase in prices in the second quarter. Global oil demand may increase by 10 million barrels per day in the third quarter of the year." .