Related Articles
Forward article link
Share PDF with colleagues

Opec holds output steady amid talk of new price war

The 30 million barrel a day (b/d) ceiling was retained, and prices dropped as a result of the announcement

Opec’s decision here in Vienna on 27 November to keep its 30 million barrel a day (b/d) ceiling intact makes market share, not price, the group’s priority. Oil prices fell sharply on the news and analysts say Opec’s move could spark a deeper sell-off in the coming weeks. Opec’s announcement, and the market’s immediate reaction, will ring alarm bells from Russia to Canada’s oil sands, with high-cost supply now directly in the firing line. In London, Brent plunged by about 9% within an hour of the decision, trading just above $71 a barrel (/b), before recovering some ground. WTI dropped below $70/b for the first time since mid-2010.  Saudi Arabia, the group’s biggest producer, led the decisi

Also in this section
Peak demand and oil's long-term trap
19 January 2018
Fixating on the timing of a peak in oil demand is misplaced. Rather, the peak's significance is in shifting the paradigm, from perceived scarcity to perceived abundance. And it poses a problem for low-cost producers
The end is nigh for oil
12 January 2018
Fossil fuel merchants including oil companies are living on borrowed time, argues a new book
US energy: what to watch in 2018
3 January 2018
Oil production, trade, renewables and technology top our list of major questions facing America's energy industry heading into the new year