Russia’s Decision to Cut Oil Output May Cause Global Prices to Surge to $100, Analysts Warn

Russia’s decision to reduce oil production in March by 0.5 million barrels per day may lead to a $3-5 per barrel increase in world oil prices and possible jumps to $95-100, as well as a decrease in the discount on Russian Urals oil, experts warn “Russia’s decision to reduce production will lead to an increase in oil prices, since this volume cannot be compensated for by other producers,” the Center for Energy Development noted. According to the center’s experts, the reduction mechanism will be the same as during the OPEC + deal, when Russian companies reduced production proportionally, depending on…